Steady steady...ride it out, top up & balance when you can...

I give you an good analogy...

If you see your favorite snack/drink having 50% sale off in the supermarket, what will you do?

Now...

Imagine...

If you substitute the favorite snack/drink to your favorite equity/bond...

Why should you do any different?

This post has been edited by gark: Jun 13 2013, 07:12 PM

No lar investing is my hobby... so i don't consider as 'work' as it is fun for me.

Basics/Beginners

A Random Walk down Wall Street - Burton G. Malkiel (My first investing book read it 3x already)
The little book of common sense investing - J. Bogle
The little book that beats the market - J. Greenblatt
Four pillars of Investing - W. Bernstein

Try these beginner investing book first.. then only move on to the heavier stuff...

Or you want go straight to moderate level..

The Intelligent investor - B. Graham
One up on wall street - P. Lynch
Uncommon Stocks -P. Fisher
The Essays of W. Buffett - L. Cunningham

and many many more....

This post has been edited by gark: Jun 13 2013, 07:50 PM

Your equity lacks diversification and on higher risk scale.

Not necessary have to choose my equity. There is so much other choice.......

Smaller cap companies are usually the first ones to fall during a downturn.... so its higher risk.

Got some in my and sg short term bond.
Got some in my equity...
Most of it in asia ex japan
Some in us equity
Some in china equity
And rest in world ex. Us.

My diversification is not as good as Pink Spider he got better all round...

This post has been edited by gark: Jun 13 2013, 10:43 PM

Oh yeah... i have some frontier equity fund. Very low on brazil and russia, so underweight for me.

Us is 60% of world equity so as long as you have global equity you have exposure.

Thats the risk of investment. China already near pe 8x.... how much more can kaboom,?

Wah fund recommendation depend on your risk tolerance, no 1 size fits all. Global fund is majority developed market.

You are mostly right. Aussie n korea is developed market, taiwan is emerging.

You buying specific country ut meh..... malaysia dont have 1. Sg got lah.

Ya aussie is almost 30% commodity linked so its high.

Got... in 2007... pe 2 also got.

Today kucing mati day.... can last ah?

Malaysia is only <2% of world stock cap leh....

When i reach retirement or near it.. my target allocation will be at least 60% bonds... the older the more bonds.

Near retirement time better take less risk... better safe then sorry otherwise, lose it all and cannot retire, 70 years old still have to work at McD.

Hantam 100% equity when you are young is ok...

This post has been edited by gark: Jun 14 2013, 03:49 PM

VTI ....

Go to Japan, Singapore, and US... since the cost of retirement is high... you see all old unker and auntie working in food service industry...

Google 'VTI'

VTI = Vanguard Total Stock Market ETF = similar to global funds...

Management fee = 0.05% p.a.

You no longer ikan bilis.. already upgraded to ikan kembung...

This one also good fund ...

Not all bond funds is the same...

Higher grade bond funds pay less, but also less volatile.
Investment grade = A-AAA
below investment = B-BBB
Junk Bonds = C-CCC
In default (toilet paper) = D

Bond tenure, the shorter the better, long tenure bond pay more but is more risky, low tenure pays less but less risky.

Currency exposure, local bonds less exposure, foreign bonds more exposure hence more risk.

Govt vs corporate bonds, corporate bonds are less risky than govt bonds, due to corporations ratings are more straightforward than government ratings. Also sometimes government tweak interest rate as they like.

My bond preference....
Corporate Bonds >80%
Ratings minimum BBB bonds & at least >50% above AA bonds
tenure min 3 years, max 5 years
at least 50% in local currency.

Always remember bond is to SAFEGUARD your portfolio not earn big bucks.

There is a MYTH going around that bond is SAFE , but some bonds are more risky than equity.

This post has been edited by gark: Jun 14 2013, 06:48 PM