Friday, August 8, 2008

Quick updates

It was a disappointing day for stocks, as usual. I could only contra off my DBS @ $18.80 for a modest $190 gain after the announcement of 2H results. Today Capitaland took a severe beating and went down 4.7% to $4.86. I am sure it is due to massive redemptions by local and overseas fund managers. Hence, I queued 2 lots at $4.85 and got it. It is their 52 week low. As I am bearish on the property market, I only intend to trade it for modest gains on Monday. Hopefully there is a post National Day rally! If not, I will just keep it and wait out for a better selling opportunity.

For my core portfolio, I have added 5 lots of SPH bought @ $4.02 today as well.

1 comment:

musicwhiz said...

Hi there,

Just came across your blog which was linked through Nuffnang. Thanks for visiting mine recently and also adding a link to mine.

After reading some of your posts on portfolio buy/sell decisions, I still can't really get a handle on your investment philosophy. Are you a trader (speculator) or an investor ? It would seem on one hand that you are going for regular income to act as passive income to work towards financial freedom (S$1K a month) but at the same time, also doing trading and contra (very risky) in the current bear market. Perhaps you can enlighten on your approach ?

I also noted that you mentioned that volatile stocks are risky. Volatility to me assists one in getting a better margin of safety once you assess the underlying business, and thus should be exploited.

It's good that you start investing while young (with a very large war chest of S$300K !) and that you have time to learn from mistakes; but I personally feel it would be good to have a sound framework for buy/sell decisions moving into the future, otherwise it may be difficult to make consistent profits from the market.

Regards,
Musicwhiz

P.S. - Also wondering if you could express your returns (nett all gains/losses) as a % of your total portfolio ? That would be more indicative instead of mentioning $-amount gains. Thanks !