*Official* MasterLeong Thread - Part 2

[Takodoro]

Jsk, overheard an auntie on the bus talking on the phone (I think to a friend?), about warrants and the mother share...suspect is Kris Energy...

Sent from Sony E6533 using GAGT

Hmmmm....I more shock that you are taking bus. I thought you got car?

 

[PoGooo]

the prob is no one know if its ever gonna recover. its not about FIFO or need money urgently. its about opportunity cost. 3 years for example put in FLINT collect 7% dividend and might have capital gain but i also no confident to ask my aunt to do it. i see her lost is at least 20k.

20K?!

Then I really doubt she will want to realise that loss. Haha...let's be honest, if she has that much money to buy that much keppel stocks, she most probably has more than enough passive income from other investments to last her comfortably for the rest of her lifetime.

 

[Genosis]

the prob is no one know if its ever gonna recover. its not about FIFO or need money urgently. its about opportunity cost. 3 years for example put in FLINT collect 7% dividend and might have capital gain but i also no confident to ask my aunt to do it. i see her lost is at least 20k.

Ya.....that's why I divested M1 and Starhub last year and re-directed my funds into Ascendas, FLINT and MCT

Turned out to be my 2nd best investment decision of 2016!!!

 

[MasterLeong]

Can try to advise her and see what she has to say. Master Leong is right though. Most investors tend to hate realising losses. After all, you can never be sure if the stock will soon bounce back or be sure that if you park your money elsewhere, that the other investment would prove to be a wise choice.

u look at punting stock like noble ezra ezion etc... so many still holding at 20-50% paper losses



investors often do not categorize they stocks, if I have to put it simple
should have two types

fifo/trading stocks - MUST SET STOP LOSS AND TAKE PROFIT LEVELS

dividend stocks - as long as fundamentals are stable, no need set stop losses, can keep buying more as it goes cheaper... example SINGTEL

 

[SeVenn]

thats the reason i was thinking to ask her divest. she did average down when it was 8 but not really useful.

Cyclical stock buy at peak is really gg

 

[PoGooo]

IMO there are 2 factors to consider......

1) Do u think the current weakness is a temporary and KC fundamentals will eventually recover?

2) If u think fundamentals will recover, how long will it take? 3 years? 5 years? A decade?

If u answer 'NO' for question 1, then just cut loss and dun look back...

If u answer 'YES' for question 2, then u have ask urself is the funds better utilised in other more promising counters.....

I followed the same process for my M1 and Starhub last year.....and divested both

Good Luck!

Thanks for the advice. Will monitor Keppel closely and will get rid of my stocks as soon as my losses are not so significant

I think I can still spare Keppel a year or so more of monitoring

 

[MasterLeong]

the prob is no one know if its ever gonna recover. its not about FIFO or need money urgently. its about opportunity cost. 3 years for example put in FLINT collect 7% dividend and might have capital gain but i also no confident to ask my aunt to do it. i see her lost is at least 20k.

that's why i often nag and nag that for a solid portfolio

the base must be strong, filled with blue chips reits and telcos and banks to collect a dividend yield of maybe say 5% wwjbh

balance can put into higher risk stocks if one wants

 

[Takodoro]

Ya.....that's why I divested M1 and Starhub last year and re-directed my funds into Ascendas, FLINT and MCT

Turned out to be my 2nd best investment decision of 2016!!!

FLINT not much movement?

 

[Genosis]

Cyclical stock buy at peak is really gg

Agree......shipping is another highly cyclical sector too

NOL never recover from the 2009 GFC

 

[MasterLeong]

thats the reason i was thinking to ask her divest. she did average down when it was 8 but not really useful.

she should had cut losses at $8 instead for KC

its a trading stock, but she aunty she dunno one


Singtel if $5 fall to $3 can add more
KC if $12 fall to $8 does not mean can add more

 

[Genosis]

FLINT not much movement?

No Power of CD symbol yet.....

 

[starfish.starfish]

At least u managed to free up some funds from SCI.....

yup, am actually very grateful that at least sci I managed to break even.
Both were in deep red previously.
Now can add to warchest

 

[PoGooo]

u look at punting stock like noble ezra ezion etc... so many still holding at 20-50% paper losses



investors often do not categorize they stocks, if I have to put it simple
should have two types

fifo/trading stocks - MUST SET STOP LOSS AND TAKE PROFIT LEVELS

dividend stocks - as long as fundamentals are stable, no need set stop losses, can keep buying more as it goes cheaper... example SINGTEL

Keppel used to be dividend stock leh. Now is neither category I think

 

[TheIntelligentInvestor]

3 years get 3% dividends for KC

hope 3 years later the stock price will be higher, if not is gg

cold storage means the positions is dead/written off already

dont see the stock so that u dun feel the pain

Parted way with Keppel Corp at 6.26. Holding for 1 year, brought at ave 5.32. Happy with 23% gain in profit + dividend for a 1 year holding. The uncertainty of future impairments and the 3% div are the main factors of making the cut. Well, with 50k of return fund, its time to look for stable yield & earnings elsewhere.

 

[beatific]

that's why i often nag and nag that for a solid portfolio

the base must be strong, filled with blue chips reits and telcos and banks to collect a dividend yield of maybe say 5% wwjbh

balance can put into higher risk stocks if one wants

Problem is KC was a blue chip....

 

[SeVenn]

Just saw email from broker. Today is until 1230pm

 

[PoGooo]

Average down at 8

 

[jmapsmylife]

20K?!

Then I really doubt she will want to realise that loss. Haha...let's be honest, if she has that much money to buy that much keppel stocks, she most probably has more than enough passive income from other investments to last her comfortably for the rest of her lifetime.

keppel was her only investment. when i talk to her she almost know nth about stocks and i ask so why did she decide to buy certain stock and she say fren intro. i almost faint. i believe i have the ability to ask her to cut loss. just that i dun have confident to ask her to do it haha

 

[PoGooo]

keppel was her only investment. when i talk to her she almost know nth about stocks and i ask so why did she decide to buy certain stock and she say fren intro. i almost faint. i believe i have the ability to ask her to cut loss. just that i dun have confident to ask her to do it haha

Only investment!

I thought aunties always like to advise that you should never put all your eggs into one basket

 

[jmapsmylife]

that's why i often nag and nag that for a solid portfolio

the base must be strong, filled with blue chips reits and telcos and banks to collect a dividend yield of maybe say 5% wwjbh

balance can put into higher risk stocks if one wants

the prob is when she was buying keppel it was a solid blue chips.