Wednesday, August 10, 2011

The Market and Me

The market is highly fluctuated at the moment. Put it this way i am not well prepared at present. My cash level is not high enough to take advantage of it. I still not willing to lower further my cash level until that is really a big steal. If the steep drop of share market happen in September or October it would be better as my source of fund will flow in by then. To me this round of sell off is the correction at the bull market as the profitability of businesses is not affected, only the prices of share went down. It is an opportunity to be exploited.

Besides, i also need fund for my property investment. Although i decided to pull out one of the condo i booked earlier this year due to pricing issue, i am still looking for investment elsewhere. This year i still not buy any property yet as my decision is hold back by this earlier booking. Since this is off, i am prepared to move ahead. There are some similarity between share and property investment, there are only buy the good ones and hold until the market appreciate it. Although the selection criteria are different but the principles are the same.

Both Public Bank and Hartalega reported fabulous financial results but the market still did not appreciate them. As the market is not efficient, however it long term it will. I still believe in this if not i will out from share market long time ago. The price performance of Public Bank and Hartalega is nowhere close to the performance of GLIC companies. Some say they are vomit blood companies as their share prices barely move. I still long on both counters not because i want to prove them wrong but to make money. I wont sway my believe and strategy. As long as they deliver good financial result i am prepared to hold for long term.

I did not update my blog for months because i have nothing to say. Buying share is not day to day business, most of the time doing nothing is doing somethings. My family members and friends are also at the same boats, i rather being conservative to make sure the boats are safe.