I remember the famous saying by the late billionaire Khoo Teck Puat, "when no one wants it, thats the time to buy a few million"
How many people have the courage and conviction and of course the funds, to put this to action?
Those who dare do so and are proven correct in this coming bear and next coming bull will be very richly rewarded.
How many people have the courage and conviction and of course the funds, to put this to action?
Those who dare do so and are proven correct in this coming bear and next coming bull will be very richly rewarded.
Yes, really, the two demons which will eat away one millions are taxes n inflation. Thus taking calculated risks to protect n grow the money in imperative.
ReplyDeleteNo risk no gain is truth. Whether is big risk small gain or small risk big gain is all very subjective indeed.
It is true that when things are unwanted and has value, you buy it like crazy. However, it is also quite difficult to judge when to buy it and when is it really unwanted. Being small in my capital with early days experience and fund size, it is painful to buy something which has already dropped significantly, then it drops more after buying. So, what is the definition of unwanted is on a grey line.
ReplyDeleteHi kevs
ReplyDeleteUnwanted means no interest in stk or pple simply selling it. Eg...but not to lead you to buy since i might be throwing when u buy...
Eg only har..
Hupsteel went to 14-15c. Book 30c. But sum of parts at least 40c. Its a buy buy.
Yet pple throwing it out at 14c plus. Simply disregarding its fundamentals..imo.
Such stk can buy a few mil n keep.
If drop further due to poor market, but we still can work out its true value. So in actual fact, shd even buy more. Cos cash does have value. Hard assets do have value however bad market may be.
Not sure if this reply answers ur qn.
Cheers
Yes! What you explained is true, find a value stock and buy it. Totally agree!
ReplyDeleteLet say a stock is 1.00 in intrinsic value. And it falls to 0.7, then for me, I would buy. But in most cases that I encountered is that it goes to 0.5. At that time, I scared to buy more thinking it will go down more. But in fact the calculated value is higher. The when the market moves back up to say 0.6, I am unwilling to buy more because I have seen 0.5.
It is a lot of psychology, patience and discipline... a long journey for me to master.