Monday, October 19, 2009

Dear Sumiko Tan

I read about your plight on your latest Sunday Times column. Sometimes it is terrible when your company tells you that there is a pay cut due to the "recession" and the next moment you realize that they are declaring a special dividend of 9 cents for their stock.

I would advise you to find your colleague at the Business Times and talk to them about investing in shares. Teh Hooi Ling is a good source of information cause after all she did write 4 books on how to invest called "show me the money". I am pretty sure you can get heavily discounted copies of her book which is published by Rank Books. if you think that buying her book is not a meaningful investment, you could access the company's data base and print all her previous columns. i mean, if SPH cut your pay, that does not mean you can't print enough of her columns and bind it into a book and label it "research expenses".

Also, if you wait a while more, maybe SPH would have developed the free retail portal, as part of their collaboration with SGX. Hopefully, by developing SGX's website to incorporate exisitng SPH portals such as AsiaOne and ShareInvestor, does not mean more work for the people over there at BT (those cunning bosses).

Personally, is ShareInvestor working out? Because I read that SPH put in $19m to buy it from The Lexicon Group and Michael Leong. The last i heard, the lexicon group is going into the korean disco business while michael leong went on to write a book about making $1,000,000 from stocks. maybe you can ask him for a copy of the book too.

the STI has hit 2,700 recently, maybe you could try to buy into DBS's STI ETF rather than individual stocks. if the market goes on right this year, you could be looking at returns on your capital better than fixed deposits of lehman minibonds. the latter required class actions and spending sometime at the hot and humid hong lim park before getting the returns.

but if you do intend to buy stocks the same way you select your wardrobe then there is still upside for many of the local stocks. as for stock ideas, you can visit Steven Lim's website, where the very talented gentleman has a segment dedicated to stock picks. maybe you can find out where is he going to talent scout or pluck eyebrows. but i pray that he does not strip into his yellow trunks and do that act he so oftens pulls out.

wishing you pleasant week ahead.

a follower of your column.

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