Bought Action Asia

Bought 10 lots of Action Asia at $0.145. I think that will screw up my calculations for a while. so for prudence, i will still talk about the portfolio but ex-Action Asia. Will do a separate brief on this company later.

with that purchase, i think i will have lesser ammo for my next year portfolio. I am looking at $4,000 injection for 2010 and I have used up $1450. I am also considering getting some Elite KSB even though i know the transaction costs have come 3 time. maybe i should get 13 to make it 20 lots in total.

meanwhile you guys can check out sharesinvestment.com . There is a post on KS Energy, Novo group as well as China XLX. The write up on the 3 companies warrant a closer look.

It's been a while

so sorry guys as it has been a while since i last posted. was flooded with work and also was out of the country for a short getaway.

from the screen shot above, the STI rose by 2.3%, more than my portfolio's 0.1%. it seems like it is going to take forever for the portfolio to reach $20,000. the bright side is that etika has declared a $0.01 dividend, which i will use it in the coming year to add on the my stock holdings.

i will do a thorough review of the portfolio by the end of the year and possibly suggest themes for next year. right now, i do hope that you guys have stayed invested since like who knows when.

i read that activity is the worst thing you can do to your portfolio due to the transaction costs involved.

on an unrelated note, i bought teh hooi ling's remaining volumes for "show me the money". after a careful reading, i realise that there are some things that need to be critically examined. for instance, when she looks at short term trading strategy, she always assume 1% transaction costs. however i believe that that amount understates real transaction costs for trades of smaller nominal quantity.

also, her favourite low P/B method stock strategy is benchmarked incorrectly in my opinion because some of the stocks are not STI component stocks. however it should be noted that there is a recent piece where her focus was on the component stocks and i feel that the returns benchmarked were more justifiable.

nonetheless, i still think that she makes a lot of sense but just becareful of anyone, yours truly included. because ultimately, we can only suggest and not hold responsibility for your end action.

Ask Me Any Question

Running out of ideas what to write, I will be glad to entertain any questions about stock investing at my email sgxstockpicker@gmail.com. Please do not ask me anything about technical analysis because i am not good with it.

My outlook for the remainder of the year, with 1 plus month left is that there is, I think 2.5% upside maximum (low probability), with higher chances of swings within a tight range as the fund managers try to make small change so that they can answer to their clients. I'm looking at the 2,850 being breached this year, but it is not sustainable.

For those who like me are sticking for the long term, you can start accumulating now as i strongly believe that there will be a bull run that will see the 3,000 mark breached by 30 June 2009. This is the extremely bullish scenario.

The good money is that next year will be most likely up a little year, hence dividend plays are a must if you want good returns as corporate earnings are most likely to return to pre-crisis levels with the exception of shipping and small cap manufacturing. Sectors that are likely to disappoint next year will be the vaguely defined "Green Energy" stocks. Traditional companies in the energy sector such as AusGroup and Rotary Engineering should benefit from the return of investments into the resource sector.

Do email me as i would like to help you improve your stock picking process.

Week 8: Etika, Biosensor Shine; Stratech Disappoints

Most of the results for the quarter are out. Etika and Biosensor shone with their good set of results. Etika's earnings has beat analyst forecast by 5-10% while Biosensors has shown excellent qoq performance. UOB-KayHian has also shown a very positive 9M09 but its shares have remained level around $1.40 plus. I am waiting for that CNY cheer when it should propose a good final dividend of at least 4.5 cents.

Stratech has on the other hand disappointed, with its very poor earnings. This stock has not have any good news flow since appearing on The Edge. Maybe the guy is just tooting his own horn. GMG Global has also struggled. It is a classic case of too many shares not enough earnings.

Elsewhere, Genting and ChinaMilk have also failed to perform. Genting shares have now moved past $1.10 mark as the opening of the casino looms nearer. ChinaMilk has on the other handplunged to the $0.31 mark but there are people betting on a turnaround and have started to accumulate.

2 stocks that you should look out for if you have a 3 months horizon are Yongnam Holdings and Oceanus. No doubt they are punter's favourite, but they also have good fundamentals. Yongnam will recognise more revenue from its IR project and the dividends should come in next year.

Oceanus' TDRs is its catalyst. No doubt that the market might have priced it in, there is still some potential in guessing whether the TDR will be listed at a premium or a discount. Due to its specualtive nature, small bets are in order.

Week 7: More Results Out

Was busy again at work having had to go out of office to followup on people. it was nonetheless a slightly fruitful week as i was kept busy and thus not having to look at stock quotes with the usual frequency.

STI 2,700 looks like a barrier that is in need of a convincing breakthrough. Overall portfolio looked anemic with TPV the only stock shining, breaching the $1.00 mark against the run of play. FJ Benjamin also got sold down to $0.30 level having released a set of 1Q10 results that can is expected of a retailer during these recessionary times.

China Milk is one stock i am glad that i have sold so much earlier. it is now slightly under $0.40 after posting a terrible quarter. it is neither doing well in the high margin bull semen nor the OEM milk. take profit if possible.