Thus, better to invest in specialized/focused equity funds and create yr own rojak by Asset Allocation

Thus we need to continuously learn / be open with ideas - that's why we're here in this forum gua
Different folks, different strokes, different point of views & reality - thus, lots of possibilities to learn/share

This post has been edited by wongmunkeong: Feb 24 2012, 01:42 PM

In addition to what Pink posted,
er.. isn't FSM "an agent", not a Fund House per se that "publishes" the funds?
Thus, FSM has no actual "powers" to affect the approved max units in market, right?

Just curious and hope to be corrected if i'm mistaken

er.. bro.. what has gold gotta do with FSM?

hedging against FSM's funds (bonds, money market & equities)?
er.. the logic being?

I thought gold was traditionally (rightly or wrongly) for hedging against USD & inflation. What has gold as a hedge against FSM's funds?
Or
U are just posting for the sake of posting? My apologies if i'm mistaken here

Hope is not a very good strategy for anything

And when EVERYONE runs towards something.... it may be time to run the other way?
heheh - just thinking... looks / smells / sounds familiar about the "be greedy when.." + "be fearful when.."

i thought interest rate is inversely related to bond prices.. er.. yields meh?

This post has been edited by wongmunkeong: Jul 13 2012, 10:02 AM

Fleshing out Pink's feedback -
My Personal Shopping Rules to abide to:
1. When no sales / value - just buy "enough" to meet requirements (balanced nutrition / Asset Allocation? )

2. When prices are sky high - cut down on requirements or SWITCH product for product of more value and buy way less (tighten the belt / ooo Asset Allocation too hehe)

3. When sales / good value - buy more and stock up, using the unused $ from (1) & (2).

I'm a shop-a-holic (for assets & bargains)

This post has been edited by wongmunkeong: Jul 14 2012, 10:23 AM

"See food" wong reporting in

Emerging markets - as in BRICs + Chile + Eastern Europe etc?
hehe - first off, my opinion isn't worth the tissue paper i doodle on as i dont focus on these other than China, Eastern Europe (collectively) & Brazil.
Ok ar economically (comparatively) - if looking at specifically at China/HK, Brazil and India. Hey, 3% to 7% expected growth is helluva more than US & EU
Market-wise, it's near a low and i'm still chugging along with my TwinVest (no fear/greed),
while holding back some dry powder for Luxor EU ETF and CIMB C25 price VS NAPS to go lelong (greed) hehe.

IMHO, Asia would be where some of the newly minted cash will flow. In addition, some countries, although hit by drop in export, have the critical mass of internal consumption to keep them chugging along - eg. Indonesia & Thailand. Thus, we are lucky to be in Asia this century hehe.

GE in MY? That's the prob lor - if keep holding back (a lot) or if fear/greed.. see the thing moving and go
Then jump in and kabloey!
BTW, although i'm "holding back" some dry powder, my Fixed Income assets held are still within my planned asset allocation boundaries, though on the higher side ie. 38%+/-

All just a view of a common Joe yar - no professor-i or IQ200 fler (mine's just about 124 to 138, depending on which tests results )
Please be kind to me

This post has been edited by wongmunkeong: Jul 14 2012, 12:21 PM

For a quickie view of DCA Vs pure Value Cost Averaging Vs TwinVest (25% DCA + 75% VCA) in Up/Down market Vs Up Up market Vs Down Down market
https://docs.google.com/spreadsheet/ccc?key...NBR3lNR3c#gid=0

The principles behind TwinVest:
1. DCA is generally ok but why put in same $ blindly when markets are high (ie. over valued)?
When it slides down, ouch.
Should hold back some for EXTRA usage (ie. unused allocated capital) when it slides right?

2. VCA is generally ok to put in more $ when market slides but when market keeps going up and up, participation / buying may not be executed

3. Thus, a combination of both


MAJOR differences between DCA vs TwinVest:
a. DCA: Allocates $1K pm and USES $1K per month to buy in

b. TwinVest: Allocates $1K pm and uses a calculated amount based on price/NAV
IF calculated amount < allocated pm, put aside extra unused capital for future usage (when market slides)
IF calculated amount > allocated pm, tap into the unused capital UP TO THE available (don't worry - EXCEL's IF THEN ELSE takes care of this)

c. Thus, the major difference = actual quantum of $ injected into investments (buy in) per period, even though same amount of $ allocated AND same periods executed.


Of course, lump sum beats all IF one has lump sum AND the market goes up and up AND one has nuts of steel

This post has been edited by wongmunkeong: Jul 14 2012, 01:31 PM

Yup, similar since it's a combo of DCA + VCA.
Try these - perhaps it'll help:

From fellow forumer: Malformed (i hope U don't mind me sharing these links U found)
http://dividendyieldinvestor.blogspot.com/...nvest-idea.html

The Excel which U can breakdown the formula for easier understanding (U numeric literate, sup sup water):
http://www.deepakshenoy.com/articles/blog/twinvest_test.xls
Please note - use at your own risk. That's the reason why i worry about sharing my Excel for TwinVest - it's interpreted and Excel-ized from Litchello's book (interpretation concerns) + worry about possible copyright issues hehe.
Since this Excel and link aint mine...

This post has been edited by wongmunkeong: Jul 14 2012, 01:47 PM

Eh, the NAV did move 2 inches mar $1 to $0.50 but the value didn't

hehe - U caught on.
There are 2 major "weaknesses" to TwinVest
a. It's just an "entry" rule
Countered by my own exit rules

b. MAJOR distribution and splits does havoc
Ah - so far, no issues with this since i use TwinVest only on ETFs and a few of PM's mutual funds, which have not had MAJOR splits or distribution screwing up the historic NAV vs new NAV badly.

Personally, the distribution adjusted NAV thus far isn't a major impact - been running for PIX, PSSF, PAGF, PFES, PRSEC & PFEPRF.
Your mileage may vary how U manage (a.) and (b.).

Any ideas how to counter (b.)? Preparing in case it happens hehe.

As for SWITCHING to another Equity fund or ETF, TwinVest itself can calculate the new "ratio" - it's another formula to "convert" say, from PIX to PAGF, in a running PIX program

This post has been edited by wongmunkeong: Jul 14 2012, 01:53 PM

U are right.
One has to allocate AT LEAST RM400 to each TwinVest program for mutual funds, since the minimum per investment is RM100 (ie. DCA portion of TwinVest = 1/4 thus, $100*4)

For ETFs & stocks, lagi worse - it is dependent on your EOQ per transaction. Mine's $3K+/-, thus, must have... eeek heheh

Thus, i execute only once a qtr, U too can do this mar - $100 to $150 * 3 mths = near or more than $400 liao
The important thing is discipline to the allocation, ensuring unused allocation availability AND executed every period consistently.

BTW, one of the ways to solve (b.) from my POV is to track the major splits and make changes to the TwinVest formula based on VALUE changes.
Can be done but leceh (lazy baka here)

This post has been edited by wongmunkeong: Jul 14 2012, 02:01 PM

True, until one can do RM3K+ (local stocks/REITs) or RM25K+ (SGX stocks/REITs) per pop (EOQ or cost effective transaction size) and still have diversification of at least 3 sub-sectors every 3 to 6 months, the most cost effective is still mutual funds for now.

Er.. diversification IMHO however is a double-edged sword leh,
average of average
VS
focused good companies only (ie. filtered stocks & REITs buying)

Just a thought

Well, that's the goal or aim mar.
Starting from zero also can what - that's how most people and i started.
It's good to have a goal / target to focus on & track against (to improve or cruise) mar.
Right or right?

Heck, my aim/goal is present value of money $100K (5 figures enough but 6 figures just in case kaka happens) dividends and interest returns.
I'm kinda far away from it too hehe (> 50%+ to go). Hi ho, hi ho, off to work i go (to feed into my investments).

This post has been edited by wongmunkeong: Jul 29 2012, 06:58 PM

Gark lar bro, not Dave

Aiya - wait and see EU any more scares lar hehe.
See (saw, up/down ) what happened 2 weeks ago till now, world markets' reaction to EU's scares and EU's politicians' promises.
"This time, it's different" - ha!

BTW, Shanghai Index down -2.41 points this morning
Shanghai Composite China 2,126.36 –2.41 –0.11%

Another 200 odd points down and i'll start nibbling this sexy thing

This post has been edited by wongmunkeong: Jul 30 2012, 11:45 AM

heheh - also gotta consider whether we can stay liquid longer OR the EU market irrational longer leh
Unless just punting 5% or less of investable assets gua

This post has been edited by wongmunkeong: Aug 1 2012, 09:17 PM

Cool - U'll be at the forefront for US & EU recovery.
Heheh - i've still ZERO exposure to US & EU, not on purpose, just lack focus

Aiya, tak kan 12% become 0%, not direct stocks wor - basket cases

Anyhow, even if 12% really gone, aiya - your 88% still can easily make a recovery AND killing mar right?
U are a numbers guy, definitely something hedged or "counter-balanced" somewhere

This post has been edited by wongmunkeong: Aug 1 2012, 09:51 PM