Saturday, October 28, 2006

A star does not shine temporarily

Osim is a big star in Singapore. It has very high publicity and you can spot its products everywhere.

One of my friends told me that she bought the Symphony massage chair and actually cured her long time neck problem.

I was very impressed by their products. I bought one of its products and also bought some shares. But I sold them when the share shoots up too quickly.


Recently, it came as a shock that it swings into loss. The main problem is in the China market. The copy cats in China made false and exaggerate claims that triggers Chinese government to take some action on them. That affects Osim as well.

But I believe Osim will get over this eventually. Its marketing savvy management and superior products will once again put the company in the good position it once holds.

Friday, October 27, 2006

Economy is very rosy

SIA has net profit increased about 50% and DBS has better than expected profit increasing of 32%.

However SIA has one time gain from selling one of its buildings, otherwise, the profit is decreased actually for the Q2. The oil price has just came down recently from as high as 78 to about 60 now per barrel. If you want to own an airline company, this is the one.

DBS is a good banchmark of Singapore economy. Thus, the economy is very rosy. From yesterday's news, the industrial output is up about 7%.

The rental and central part properties is up about 2.5%.

It is very interesting how the market will perform this time. There is no exciting factor such as the Dot Com that made everyone's blood hot.

I just feel, that this bull is really based on the market fundametal at the moment. Does it mean that the market stil has a long way to go to its top?

Thursday, October 26, 2006

Investment Basics

Investment is one of the very important tasks in your life. No matter how much you earn, if you don't manage your wealth well, you may end up being poor in the end.

I prefer investing in stocks because it allows me to own many businesses without going through the hassle to run the business. The only thing you need to do is to choose the right business and own it by buying its stock. Isn't it such a great way of running your own business?

Some of you may find that my method and the stocks picked here do not sound exciting. Many of you want to get instant gratification of high return. My philosophy is to invest for long run. It is similar to open your own business, you may not break even after starting it for a year or so. Thus, you must be patient as long as you believe that the business is right.

Which stock to buy? It is easy. Looking into those businesses that everyone needs them and no one can live without them. Choose the ones that are doing the best and that other people find difficult to copy it or replace it.

But of course, you have to buy it at the right time and when the stock is under valued. That's the most difficult part. Educate yourself on this aspect by reading a lot of investment books. I am sure you will be very successful if you put your time in it.

Another important thing: Never borrow money to invest. Always invest using your own saved money. Never play with stock !!!

About technology stocks, unless you are sure that you are holding something like google or microsoft at their early stage, try to avoid it. Too many people loose their money on technology stocks. I'll definitely avoid Creative.

For recommendation of stocks to buy, visit http://lifeandart.googlepages.com/index.html