[INVESTMENT] WAITING FOR THE RIGHT PITCH

 In the world of investing, valuation and timing are everything. 

Lately, I've been adopting a strategy of caution, recognizing that the stock market has become red-hot and overpriced. Instead, I am focusing on individual companies and patiently awaiting the right opportunity to strike.

The Sizzle and the Fizzle of a Hot Market

Over the past months, the stock market has been on a seemingly never-ending rally. The soaring valuations, the rapid rise of meme stocks, and the euphoria surrounding the latest tech darlings have all contributed to what some are calling a "hot" market. It is a market where everything seems to be rising, and it is easy to get swept up in the excitement.

However, seasoned investors know that this level of exuberance can be a double-edged sword. While the allure of quick gains may be tempting, it is important to remember that markets can turn on a dime. The higher they climb, the farther they can fall. This is where the principle of patience comes into play.

The Value of Individual Company Analysis

In a hot market, it is crucial to take a step back and remember the fundamentals of investing. One of the cornerstones of successful investing is conducting thorough research and analysis of individual companies. This means looking beyond the market's overall performance and diving deep into the financial health, competitive position, and growth potential of the companies you are interested in.

By focusing on individual companies rather than blindly chasing market trends, you can identify hidden gems that may not be on everyone's radar. It is during times of market frenzy that these opportunities often arise, as they can be overshadowed by the noise of the hottest stocks.

Waiting for the Right Opportunity

Patience is a virtue that can be particularly rewarding in the world of investing. While it may be tempting to jump into the market headfirst during periods of high excitement, sometimes it is best to bide your time. When the market is overheated, prices may become detached from underlying fundamentals, creating a potential risk for investors.

By remaining patient and disciplined, you position yourself to capitalize on opportunities when the market eventually cools down or when specific companies become undervalued due to temporary setbacks or market sentiment shifts. In essence, it's about waiting for the right pitch to come your way.

The Wisdom of Warren Buffett

In the words of the legendary investor Warren Buffett, "You don't have to swing at everything – you can wait for your pitch." This timeless wisdom reminds us that in both investing and baseball, success often comes to those who exercise patience and selectivity. Not every investment opportunity is worth pursuing, and not every market situation warrants immediate action.

As I continue to watch the stock market from the sidelines, I am reminded of the value of patience and prudence in the face of a hot and overpriced market. By focusing on individual companies, conducting thorough research, and waiting for the right opportunities, I aim to make well-informed investment decisions that align with my long-term goals.

The current state of the stock market may be enticing, but it's essential to remain level-headed and discerning. In doing so, you can increase your chances of making wise investments when the time is right. Remember, you do not have to swing at every ball thrown at you, and in investing, it's often the well-timed swings that lead to victory.

[INVESTMENT] MY FAVOURITE STOCK

Investing in the stock market can be a rewarding journey, and discovering a gem within a specific industry is an exhilarating experience. That is the satisfaction of most investors in life.

To participate in the "My Favourite Stock Contest" of INVESTINGNOTE.COM, #myfavstock is ….. [DRUM ROLLING…..] RCE Capital Berhad (RCECAP). 

This company has emerged as my favourite stock, and its outstanding performance in my portfolio has cemented my belief in its potential. 

RCECAP'S REMARKABLE PERFORMANCE

Since my initial investment in August 2019, RCECAP has delivered an exceptional return on investment of 97.49%. This outstanding performance showcases the stock's ability to generate substantial gains and demonstrate its potential for long-term growth.

RCECAP'S IMPRESSIVE PE RATIO

RCECAP's PE ratio is a standout characteristic that sets it apart from its peers in the same industry. With a relatively low PE ratio, it signifies that the stock is attractively priced compared to its earnings potential. When I invested in this company back in year 2019, its PE ratio was only around 6x. However, now its PE ratio has grown substantially to about 12x.

 

ATTRACTIVE PRICE TO BOOK RATIO AND DIVIDEND YIELD

I believe one of the key reasons why RCECAP stands out among its industry peers is its compelling Price to Book ratio and Dividend Yield. And this is also the main reason I invested in RCECAP since year 2019.

CONCLUSION

As a long term investor, I believe that RCECAP has the potential for sustained growth and offers an enticing investment opportunity. Its outstanding performance and promising valuation metrics make it a standout choice in my portfolio and reinforce my confidence in its long-term prospects.

#myfavstock

Disclaimer: The information provided in this article is for informational purposes only and does not constitute financial advice. Investing in financial markets carries risks, and individuals should conduct their own research or consult with a financial advisor before making investment decisions.

[INVESTMENT] The Thrill of Establishing a Small Capital Fund of RM6,000

Lately, my partner and I agreed to sett up our own fund, with initial seed capital of RM6,000.00 based on the following three (3) guiding rules and principles:-

(a) Buy good assets; 

(b) Buy them reasonably low; and 

(c) Enjoy life. 

Regardless of its size, we believe it can open our doors to a range of opportunities. RM6,000 may seem like a small sum, but it holds immense potential when wisely invested. We may disclose our fund portfolio here, with his consent. 

Embarking on the journey of setting up a small capital fund of RM6,000 is an exhilarating experience filled with excitement. With this modest amount, we can dip our toes into the world of investments and witness our hard-earned money grow.

This fund will mostly be investing in stock market and further injection of money (into this fund) will be needed as agreed between us. This endeavor also offers a valuable lesson in discipline and patience. I will be tracking the performance of investments and witnessing the process of gaining valuable knowledge about risk management, diversification, and the power of compounding.

In addition to financial benefits, establishing this small capital fund can bring a sense of empowerment and independence. It provides us with an opportunity to take control of our financial future and work towards achieving our goals, be it saving for a dream vacation, starting a business, or building a nest egg for the future.

While RM6,000 may be considered a modest sum, the act of setting up a small capital fund unveils a world of possibilities and serves as a stepping stone towards financial growth and personal fulfillment.

[APPLE PROJECT] DELIVERING EXCEPTIONAL RETURNS ABOVE THE BENCHMARK

Established in September 2021, the Apple Project (fund) has rapidly made a name for itself. 

With a strong focus on capital growth and a strategic approach to portfolio management, the fund has consistently outperformed the market, delivering an impressive total return of 24.86% as of 14.06.2023. 

This remarkable achievement is even more striking when compared to the S&P 500 benchmark return of a mere 0.27% as of 14.06.2023.

The Apple Project has exhibited exceptional performance since its inception, positioning itself as a standout choice for one of my portfolios. 

This Apple Project has quickly made its mark in just two (2) years plus by consistently outperforming the market and generating exceptional returns. As it continues to grow and evolve, I believe this Apple Project remains strong in its missions of delivering superior returns and generating long-term value.

Disclaimer: The information provided in this article is for informational purposes only and does not constitute financial advice. Investing in financial markets carries risks, and individuals should conduct their own research or consult with a financial advisor before making investment decisions.

[INVESTMENT] THE END OF CHEAP MONEY

I hope you all are in good health and high spirits. As we navigate the ever-evolving landscape of the global economy, I wanted to address a significant shift that is currently taking place—one that has far-reaching implications for our portfolio. We find ourselves at a pivotal moment: the end of an era characterized by historically low interest rates and abundant liquidity, often referred to as "cheap money."

Over the past several years, we have witnessed an unprecedented era of monetary policy where central banks across the world have maintained accommodative measures to stimulate economic growth and stabilize financial markets. These measures have undoubtedly played a pivotal role in bolstering our portfolio’s companies' expansion, driving investment opportunities, and enhancing shareholder value.

However, it is important for us to acknowledge that this era is drawing to a close. Central banks have started to recalibrate their policies, gradually shifting away from the era of cheap money. As economies regain strength and inflationary pressures rise, we anticipate a gradual tightening of monetary policies and a subsequent increase in borrowing costs.

While this transition may pose challenges, we believe some of the good value companies are well-prepared to navigate this new landscape. Our focus will be on those companies with prudent financial management, operational efficiency, and innovation which can position themselves for resilience and growth. We have diligently optimized our capital structure, diversified our investment, and proactively managed interest rate risks to mitigate potential impacts from rising costs.

Moreover, we are proactively identifying and capitalizing on emerging opportunities in the evolving market conditions. By remaining responsive to changing economic environment, investing in risk and management, and optimizing our portfolio, we are confident in our ability to deliver sustainable growth and maximize our portfolio value.

It is crucial for us to recognize that while the end of cheap money may introduce new challenges, it also brings forth fresh prospects. The return to a more normalized interest rate environment signals a healthier and more balanced economy. We are optimistic that this transition will pave the way for increased stability, better risk management, and a more sustainable long-term growth trajectory.

We trust that we have built a resilient and forward-looking portfolio, ready to embrace the challenges and opportunities that lie ahead. As we bid farewell to the era of cheap money, we embark on a new chapter filled with promise and the potential for even greater achievements.

We look forward to sharing our progress and accomplishments as we navigate the evolving financial landscape.

Happy weekend and stay safe.

MNMLH

27.05.2023

[INVESTMENT] #lifechangingpost - INVESTINGNOTE.COM

In today's fast-paced and information-driven world, articles and posts are flying everywhere from social media platform. Be it informative, verified or unverified, such articles and posts possess the power to inspire, enlighten, and even alter the course of our lives. 

One unremarkable evening, while browsing online, I stumbled upon an article titled "The Superinvestors of Graham-and-Doddsville" Intrigued by the title, I dove into the words woven by Warren Buffett, unaware of the profound impact they would soon have on my life.

This article was written by Warren Buffett and published in the Fall 1984 issue of Hermes, the Columbia Business School magazine. It was a treasure trove of wisdom, offering insights into the world of long-term investments. It is highly regarded in the investment community and has become a classic piece that continues to inspire and influence investors around the world.

In the article, Buffett challenges the efficient market hypothesis, which suggests that it is impossible to consistently outperform the market. He presents a compelling case by highlighting a group of successful investors, often referred to as the "Superinvestors," who were disciples of Benjamin Graham and David Dodd. Who is Graham and Dodd? Graham and Dodd were pioneers in the field of value investing and had a significant influence on Buffett's investment philosophy.

Buffett uses these Superinvestors as examples to illustrate that it is indeed possible to beat the market consistently through a disciplined value investing approach. He emphasizes the importance of a long-term mindset, patience, and a focus on buying undervalued securities with a margin of safety.

By showcasing the track records and investment strategies of these successful investors, Buffett makes a strong case for value investing and demonstrates that it is a viable and profitable approach to investing in the stock market.

Buffett's article has had a significant impact on me as it encouraged me to consider the merits of value investing and challenge conventional wisdom. As I delved deeper into the article, its messages resonated within me on a profound level. It ignited a spark of inspiration that had been dormant within, nudging me to re-evaluate my approach to investments and life decisions.

While the article presents a strong case for value investing, it is important to note that individual results may vary, and investing involves inherent risks. It's crucial for investors to conduct thorough research, understand their own risk tolerance, and consider a diversified approach to investment.

This article that sparked my inspiration and changed my life decisions acted as a catalyst for personal growth. It demonstrated the immense potential of a single piece of writing to shape our perspectives, alter our trajectories, and ignite the fires of motivation within us.

Apart from the annual Letters to the Shareholders of Berkshire Hathaway, I cannot wait for more articles from the legendary Warrant Buffett.

#daretodream #lifechangingpost #challenge #dream #story #interesting #win

[APPLE PROJECT] Performance as of 07.05.2023

PERFORMANCE

As of 07.05.2023, we are far outperformed the S&P 500.

PROSPECT

1. Strong Financial Performance: Apple has consistently reported robust financial results, driven by strong iPhone sales, growing services revenue, and a loyal customer base. The company's financial stability and profitability were seen as positive indicators for its future prospects.

2. Diversified Product Portfolio: Apple offers a wide range of products, including iPhones, Macs, iPads, wearables (such as Apple Watch and AirPods), and services (such as the App Store, Apple Music, and iCloud). This diversification helps Apple mitigate risks and tap into different market segments.

3. Innovation and Brand Strength: Apple has a reputation for innovation and design excellence. The company's ability to introduce new products, enhance existing ones, and create a strong brand image has been key to its success. The loyal customer base and strong brand recognition contribute to Apple's continued growth.

4. Services Revenue Growth: Apple's services segment has been growing steadily and becoming an increasingly significant part of its business. Revenue from services such as the App Store, Apple Music, iCloud, and Apple Pay has been expanding, providing a recurring and high-margin revenue stream.

5. Expansion in Emerging Markets: Apple has been focusing on expanding its presence in emerging markets like China and India, where there is significant growth potential. These markets have a large population and increasing purchasing power, presenting opportunities for Apple to increase its customer base.

Photo by Zhiyue on Unsplash

It's pertinent to note that the business landscape and market conditions can change rapidly. Therefore, it's always advisable to stay updated with the latest information, news, and financial reports to assess the current and future prospects of Apple Inc.

[INVESTMENT] #inmywatchlist - INVESTINGNOTE.COM

In participating the "Dare to Dream Challenge!" from investingnote.com, following is the story that I wanted to share in which I have posted:-

IN MY WATCH LIST - ALLIANZ MALAYSIA BERHAD

A diversified Insurance Company which I have been observing since the beginning of this year - ALLIANZ MALAYSIA BERHAD.

Allianz Malaysia Berhad is a leading insurance company in Malaysia that provides a wide range of insurance products and services to individuals and businesses. With a strong presence in the Malaysian insurance industry, Allianz Malaysia is well-positioned to capitalize on the growing demand for insurance products in the country.

Allianz Malaysia's product portfolio includes life insurance, general insurance, and investment-linked insurance plans. The company also offers Islamic insurance products under its Allianz Takaful brand. With a diversified product range, Allianz Malaysia caters to the insurance needs of different customer segments and provides a comprehensive solution to their insurance requirements.

 

One of the key strengths of Allianz Malaysia is its brand reputation and strong market position. The company has been operating in Malaysia for more than 40 years and has built a solid reputation for its quality products and services. Allianz Malaysia is also part of the global Allianz Group, which is one of the largest insurance companies in the world. This gives Allianz Malaysia access to the global resources and expertise of the Allianz Group, which further enhances its competitive edge in the Malaysian insurance industry.

FINANCIAL RESULTS

Another strength of Allianz Malaysia is its strong financial performance. The company has consistently delivered strong financial results, with a track record of profitable growth and stable returns. In 2021, Allianz Malaysia reported a net profit of RM370 million, a 21% increase compared to the previous year. The company's total assets also grew by 11% to RM18.7 billion in 2021, reflecting its strong financial position.

Allianz Malaysia's investment strategy is focused on generating sustainable long-term returns for its shareholders. The company invests in a diversified portfolio of assets, including fixed income securities, equities, and alternative investments. Allianz Malaysia's investment approach is conservative and risk-averse, which has helped the company to maintain stable returns over the years.

VALUATION

In terms of valuation, currently Allianz Malaysia's stock is currently trading at a price-to-earnings ratio (P/E) of 8.212. Allianz Malaysia also offers a dividend yield of 6.115%, which is attractive for income-seeking investors.

CONCLUSION

Overall, Allianz Malaysia Berhad is a solid investment option for investors looking to diversify their portfolio with exposure to the Malaysian insurance industry. With its strong brand reputation, diversified product portfolio, and solid financial performance, Allianz Malaysia is well-positioned to deliver long-term value for its shareholders.

#daretodream #inmywatchlist #challenge #dream #story #interesting #win

The article is intended for informational purposes only and does not constitute investment advice or a recommendation to buy, sell, or hold any securities. Investing in stock market involves risks, and one should always conduct hjis/her own research and seek professional financial advice before making any investment decisions. The information provided in the article may not be up-to-date or complete, and it is subject to change without notice.

[INVESTMENT] INVESTMENT - ART OR SCIENCE

Lately, I came across a big name, FUNDSMITH.

Fundsmith is a global equity fund that was founded by Terry Smith in 2010. The fund follows a value investment approach, which is a strategy that seeks to identify undervalued companies and invest in them for the long term.

Fundsmith's investment philosophy looks simple and it built on three key principles: 

(1) buying good companies;

(2) not overpaying for them; and 

(3) doing nothing. 

Yes, you saw it right, DO NOTHING!

Fundsmith's investment approach is grounded in the belief that investing in good companies is a better strategy than trying to time the market or pick individual stocks. The fund takes a long-term view, with a typical holding period of more than five years, and has a concentrated portfolio of around 20-30 stocks.

Fundsmith's value investing approach has proven to be successful, with the fund delivering strong returns for its investors since its inception. However, it is important to note that value investing can be a challenging strategy, and investors should carefully consider their own risk tolerance and investment goals before investing in any fund or individual stock.

INVESTMENT – ART OR SCIENCE

The above really caught my attention in Fundsmith and I dogged through its website and read the letters to shareholders. The letters are easy to understand and most importantly provided me some insights to the Fundsmith's investment approach.

For value investors, the key to generating returns from revenue growth is to identify companies that are undervalued BUT have the potential for strong revenue growth in the future. This can be a challenging task, as there are many factors that can affect a company's revenue growth, including competition, market conditions, and changing consumer preferences.

Investing can be considered both a science and an art. On the one hand, investing involves looking at the company's financial performance, its competitive position in the market, its growth prospects, profitability, cashflow, assets to determine its value, analyzing data, conducting research, and applying mathematical models to make informed decisions about where to put your money. This aspect of investing is more of a science.

On the other hand, there is an element of creativity and intuition involved in investing that can be seen as art. Successful investors often rely on their instincts and experience to make decisions that are not solely based on quantitative data. They also need to be able to navigate the complex dynamics of the market, including behavioral biases and human emotions, which are not easily quantifiable.

Investing can be seen as both a science and an art, and successful investors need to be able to balance both aspects in order to achieve long-term success.

[INVESTMENT] #myidol - INVESTINGNOTE.COM

A world-renowned investor, philanthropist, and business magnate who has inspired many people around the world, including myself - Warren Buffett. The CEO and Chairman of Berkshire Hathaway.

Buffett's investment philosophy emphasizes the importance of long-term thinking, value investing, and a focus on fundamental analysis.

As my idol, he has likely had a profound impact on my life and my approach to investing, business and life. He looks for companies with strong competitive advantages, stable earnings, and a strong management team.

Born in 1930 in Omaha, Nebraska, and began his investment career at a young age. His early investments in stocks and businesses laid the foundation for his future success.

One of the most remarkable aspects of Buffett's career is his consistency. He has been able to generate superior returns for his investors over many decades, even during times of economic turmoil. His ability to identify undervalued companies and hold them for the long term has made him one of the wealthiest people in the world.

Another most famous aspects of Buffett's investing style is his aversion to technology stocks. He famously avoided investing in companies like Google and Amazon because he did not understand their business models. Instead, he has focused on investing in traditional companies with strong brand recognition and a loyal customer base.

Buffett is also known for his philanthropy. He has pledged to give away most of his wealth to charitable causes, and has already donated billions of dollars to support education, healthcare, and other social initiatives. In addition, he has advocated for higher taxes on the wealthy and for a more equitable society.

As my idol, Buffett likely represents the values and principles that are important to me. His legacy is a testament to the power of hard work, discipline, and integrity in business and in life.

#myidol #valueinvestor

[INVESTMENT] Thank you for featuring #iamshareholder

 

[INVESTMENT] #iamshareholder - INVESTINGNOTE.COM

In participating the "Dare to Dream Challenge!" from investingnote.com, following is the story that I wanted to share in which I have posted:-

KPJ HEALTHCARE BERHAD

‌

That was about 5 years ago, I dated a doctor. We were together for about 6 months. During that time, I had disposable income and decent savings which I can invest in stock market. Due to my boyfriend's occupation, I felt like owning a piece of his business and therefore I decided to invest in healthcare industry.

‌

KPJ HEALTHCARE BERHAD (KPJ) $KPJ(5878.MY) came into my mind. I did a few couple hours of research on its financial and then waited for the right time to acquire KPJ’s shares. My first acquisition was back in August 2019. My second acquisition was in August 2020.

‌

Well, there is no “living happily ever after” as we broke up at the end. Yes, sad story and I was in melancholic for feel months.

But one thing I’m sure is that my investment grows, and is still growing, not to mention the dividend I have collected since Year 2019. For the past 4 years, the company survived the Covid-19 instability. It grows to RM1.13 per share now (as at 05.03.2023).

‌

My holding in $KPJ(5878.MY) remained the same and I did not sell any share since my first acquisition. It has been up 28.15% plus RM402.00 of dividend collected, with the initial investment of RM9,170.00.

‌

This is the story how #iamshareholder of $KPJ(5878.MY) 

‌

#iamshareholder

[APPLE PROJECT] AGM of APPLE INC. 2023

Apple Inc. will host the 2023 Annual Meeting of Shareholders on March 10, 2023 at 9:00 am Pacific Time in a virtual format.

[APPLE PROJECT] Performance as of 30th December 2022

My APPLE PROJECT started in October 2021. Since then, the performance has been steady, but up until lately that the share price of Apple for the first time it performs poorly.

My APPLE PROJECT Performance

Value of my Apple Project is down 11.72% since inception.

A bit of history of APPLE

Apple Inc is a company that was founded in 1976 by Steve Jobs, Steve Wozniak, and Ronald Wayne. It has grown over the years to become one of the largest technology companies in the world. It is also credited with making such innovations a part of mainstream culture.

Apple introduces a number of innovations that are still found in modern-day computers and other technology devices today. In many ways, Apple has transformed the way we interact with technology and how we think about it. The iPhone was not only the first smartphone to achieve mass-market acceptance; it also set the standard for mobile devices that followed.

Here are some interesting facts about Apple Inc:

-       It was announced that Apple Inc has been ranked as the most valuable brand in the world. The tech giant was followed by Google and Amazon, The Wall Street Journal reports.

-       Forbes also recently named Apple CEO Tim Cook one of the most powerful people on Earth for a fifth straight year.

-       The company's first product was the Apple I personal computer. It was priced at $666.66, which was slightly less than $1,000 at the time—a number that has been considered unlucky for some time now and which led to Wayne selling his stake in Apple shortly after its launch.

-       The three founders all worked out of a garage (where they had no heat or running water) before moving into their first office space in Cupertino, California in 1977.

-       Apple began operations on April 1, 1976 with three employees: Steve Jobs (deceased), Steve Wozniak (deceased), and Ronald Wayne.

-       The company's first product was the Apple I personal computer kit manufactured by Wozniak's friend Steve Jobs' garage business called Apple Computer Co., which was also incorporated on April 1st of that year.

Forward

We can say that Apple Inc. is an amazing company. With its innovative products and services, it has helped shape the world we live in today. And I still strongly believe the company can continue to be at the forefront of technological advances and has been able to expand globally by providing high-quality goods for all people across the globe.

[APPLE PROJECT] SECOND TRANCE OF USD600 INVESTED

 As I have posted on 22.09.2022, the second trance of USD600 has been invested in APPLE through my eToro platform. The record is as follows:-

 Thus, as of 28.09.2022 my Apple Project for 2022 has been fully executed.

[APPLE PROJECT] SECOND TRANCE OF INVESTMENT

On 22.09.2022 the US Federal Reserve announced another raised in interest rates by three-quarters of a percentage point for the third consecutive time. This may represent another pressure on Ringgit against the US Dollar. It also means that I have to pay more (of Ringgit) for the second trance of USD600.00.

Apart from that, the probability of a recession is high, especially in the Europe which is facing high price of energy. 

I strongly believe the currencies (US Dollar and Ringgit) would normalize in the long term because rates would cool off from its peak, but the thing is that this normalization might take few months or even longer than that. My point here is that if I wait for the "normalization" to take effect, I may miss out the price rally of a great company like APPLE.

Notwithstanding of the above, I am of the view that APPLE has a strong economic moat from its strong royal fans which are willing to spend on its subscription services. This can be seen from its increased in subscription numbers which drove double digit growth in service revenue. 

So, this is what I am going to do. I intend to slow down the progress of my injection of the second trance of USD600.00 (investment in APPLE). My estimation of the timing would be in the next 4 to 6 weeks. 

Rest assure that I will update again.

#AppleProject

[APPLE PROJECT] iPhone 14 and New Investment 2022

MY APPLE PROJECT

 

As I made a post last year 4th October 2021 regarding my little of My Apple Project, i.e. to buy Apple’s share if a new iPhone series is launched.

 

On 7th October 2022, Apple announced its new iPhone 14 series. Once again, this iPhone 14 does not come cheap. The iPhone 14 Pro Max (256GB) costs about USD1,199.00. Therefore, I will acquire USD1,199.00 worth of share of APPLE.

Here is my plan, I will acquire the share of APPLE in two (2) tranches with each trance worth of USD600.00.

 

PROJECT EXECUTION

 

As of today, first trance of USD600.00 has been invested in APPLE in eToro.

 

The second trance of USD600.00 will be executed in due course.

 

Let’s see how it would turn out to be in the next 10 years, which is YEAR 2031.

 

#AppleProject 

[APPLE PROJECT] Performance as of 26.08.2022

PERFORMANCE

Since the inception of this fund in September 2021, this fund is up 19.12%. 

Overall, this fund is way above the S&P 500 which stands at -362% and also the Dow Jones Index which stands at -3.01%.

S&P 500

DOW JONES

[INVESTMENT] MEMO – 31.03.2022

Hello, hello!

It’s the last day of March 2022.

PEACE TALK

There was some progress in the peace talk between Ukraine and Russia as Russia pleaded that it will "drastically reduce" military combat operations in Kyiv of Ukraine. Most of the western media still have some doubts over this positive progress and some believe this may be a "smokescreen" for the Russian forces to re-strategize in Ukraine.

YIELD CURVE INVERSION

Bloomberg on 28.03.2022 reported that the spread between five-year notes and 30-year bonds inverted for the first time since 2006 when five-year yields rose to 2.63%. Why is this pertinent?

The inverted curve has proven in the past few past major occasions to be relatively reliable lead indicator of a recession. Then,what is “inverted yield curve”?

Investopedia explains that “an inverted yield curve occurs when short-term debt instruments have higher yields than long-term instruments of the same credit risk profile”. It further explains that “an inverted yield curve is unusual; it reflects bond investors' expectations for a decline in longer-term interest rates, typically associated with recessions.”

It this a reference or sign of recession? I do not know.

On top of that, inflation is real even before the Ukraine Russia conflict. And we can feel the impact of inflation now. The cost is that our money is declining in true value over time.

MY INVESTMENT

Having said that, I am maintaining a long time-horizon buying dips in the assets and businesses that I want to hold for the next decade. 

Quoting Benjamin Graham, "In the short run, the market is a voting machine but in the long run it is a weighing machine."

PORTFOLIO

These three (3) months have been a roller coaster riding. Current month for March 2022 our portfolio is up 4.19%. However the overall performance for this year is still down 5.18%. 

Stay safe.

MNMLH

31.03.2022

[INVESTMENT] MEMO - 18.03.2022

Hello, Hello!

In times of this unstable market environment, we also obviously do not know how long the conflict between Russia and Ukraine will last. So I am taking a step back, making coffee, doing a lot of reading and thinking over the past weeks. 

I have read Morgan Housel’s new book THE PSYCHOLOGY OF MONEY and a few classic, LEARN TO EARN by Peter Lynch.

As my portfolio is partially exposed to China market in $BABA (Alibaba) $0700.HK (Tencent) and $03690.HK (Meituan Class B), my portfolio is still down this month. 

The only positive news I know for this week is that China government made a strong signal to stabilize financial market, promising to ease regulatory crackdown, support technology companies and stimulate the economy.

As for the past few weeks, I have added some position in  $TSM (Taiwan Semiconductor Manufacturing Co Ltd - ADR) . Apart from that, nothing much to update.

Happy weekend and stay safe.

MNMLH

18.03.2022