Aug 10, 2007

Why I am fail in investing in Bursa Malaysia?

Current instable in market let us revisit the experience I learn and post somewhere last year in other forum.

The purpose of the article is share my fail experience to all to avoid you continous losing money in your investing career. Regardless where you are and who you are.

1. Don’t Ever Think of borrow money or bank loan or bank overdraft , Market fluctuation will make u crazy and heart attack
2. Don’t invest in warrant. Or anything so call tools for financing. Unless you are gambler (for gambler advice you go casino, atleast the change is 50% to 50%). The only exception is you are rich enough and holding substantial volume of that counters.
3. Don’t ever invest in small cap with no strong background (Big Cap holding or rich man holding). Only permissible when they are trace records .
4. Don’t ever buy at first day of IPO of any stocks, the change going south after first day is 80% (don’t believe, try yourself)
5. Don’t ever think of speculate or listening to rumours.
6. Don’t trust any body or word from any body, only trust yourself, of course you must prepare yourself before you can trust yourself.
7. Don’t try to win the market , you only can follow the market except you are riches can control that particular counter (syndicate).
8. Only invest in high growing, potential sector counter, don’t go again market.
9. Only Buy Big Cap with strong branding or industries with inelastic demand
10. Only buy with any high dividend counters, money won’t cheat you.
11. Don't invest in "IT stocks", The industries is highly competitir and you may win 50% over nite or you may lost whole at last, Good example is AKN MSG , Redtones.. high may be 3.00 now only 30 cent. just imagine you left 10% after all, I am not pin point to any counter at the movement,. Just for sharing.
12. Don't invests in sector you donno or you don't know how the Company operation.
13. Don't buy the stocks which you donno the owner!.
14. Don't buy the industries, highly dependance on Raw Material Price and Highly dependence of few customers
15.buy small caps only when they got strong owners or big caps subsidiary.