Beautiful red day today. Meanwhile at China O.O"

China share market is crashing spectacularly lol

Hoping for a much bigger reaction to Greece than this. Not even 1% drop.

HK -1000pts already -4%

Malaysia bila lagi?

Well, this is disappointing. Was hoping for bad news to drag the market down. Now have to wait for contagion effects from Greece and Puerto Rico to take place...

KL anti-gravity very strong. But, I suspect those institutional investors might be running out of bullets soon. lol

Meanwhile, doing my part in EPF withdrawal for unit trust investment every quarter to help reduce EPF clout.

Wa liao, Shanghai almost 10% drop so far today alone. This is madness lol

Hope will tank even more. My TP = RM7.00

Finally, after so long, a bear market is starting. Time to break out my war chest which been accumulating for a few years.

EPF anti-gravity force super strong...

Agreed that at current earnings, it looks cheap. However have to bear in mind that for Maybank & Public Bank, current earnings are actually at record high which may not be sustainable. Banks will be affected by loans deterioration soon due to high household debt amid higher living cost. Plus, we don't know how much loans exposed to the O&G sector which some may go bad...

Agreed. I am a Graham/Buffett follower as well

I am very close to entering MBB and other shares at my TP. Right now, although prices are reasonable for some companies, there is just too little margin of safety at these prices for my comfort. And the only thing between me and my TP is EPF trying their very hardest to support the market... lol

Does anyone know how much bullet the institutions still have to support the market? Like limitless... >:(

Guess govt didn't learn anything from China about the effects of govt intervention in stock market.

Doesn't look like it.

It's just that thanks to QE which fuel the bull market since last crisis, there just too much liquid funds sloshing around the world. Now that US is about to raise interest rates, all these money is rushing back to US, causing wild forex fluctuations. Doesn't help that China's growth is starting to normalised and there's so much competition among oil producers.

Good news is that US economy seems like back on growth track.

Bad news is if there is a financial crisis coming, almost everyone of us will not see it coming.

I feel like since I can't control macro factors, I shouldn't worry about it. I only need to be concerned about what I can do so I can sleep at night.

The best action to take now, IMO, is to take up a higher % of cash position. I am willing to sacrifice 3-4% annual returns for a few years, so that I can gain, hopefully 50-100% returns in the future.

I am praying hard for one too. Except I want a meltdown lol

I agree with you that good investors always proper analysis before putting money into companies. Ascertaining that the company is good is one thing, the entry price is quite a different thing altogether!

I want to buy many companies, but at current market valuations, most of them are overvalued or lofty future earnings potential already priced into the share price. I do not believe in earnings that are yet to materialize. There is simply little to zero safety buffer if something unexpected were to happen to the company's business.

Another way of putting my point is that the market must meet my valuation of the company in order for me to buy, not the other way around. Example, if I value Maybank at 7.00 and current market price is 8.30, I will not try to justify buying Maybank at 8.30 (stability, large market player, blue chip, low bad loans etc). It is exactly the fact Maybank is doing well now that I must anticipate it may not do well in the future. That's why I will only buy Maybank at RM7.00.

That is why I am hoping for a meltdown, so that the market will meet the valuation at which I am comfortable at buying..

Value and price are 2 different things. When there is a price meltdown, it doesn't necessarily mean the value of the company deteriorate on a 1:1 ratio as well. Historically, markets has always overreacted when there were good and bad news. I aim to profit from these over-reactions, in this case a price meltdown. So far, there has been several companies where this has happened in recent months due to GST scare, namely Padini, HLInd. Current cases where I believe an overreaction has happened but the price has not reverted back to mean are banking stocks such as AmBank & CIMB.