They made a loss last quarter. Rule of thumb is never invest in a company which made a loss until after 3 years. People are afraid new power suppliers will enter.

But I'll buy this share if it drops to RM8-9.

If it's at RM8-9, it's already at a huge discount. RM8 reflects a P/E of 12 which is suitable for a non-monopoly company.

Still waiting for the supposed global economic crisis prophecy to all in..

Most profitable companies with ROE above 15% are private.
KLSE lacks short selling (we have short selling only). No options (only warrants).

If want more choice, try US market.

Don't use Malaysian IB for global stocks. They charge crazy high fees and most don't have real time. Use others like Ameritrade or Charles Schwab.

Gold is one of the lousiest investment out there. Warren Buffett himself doesn't invest in gold because the returns are too low.

There's someone on Lowyat who regretted investing in gold via the banks.

Gold returns is around 2% per annum. In fact, 5 year average is -0.68%. If you invested in gold 5 years ago, you would have lost money without even factoring in the opportunity cost of interest from fixed deposits.

You are better off putting the money into a 1 month or 3 month f.d to be honest.

Ameritrade and Charles Schwab are big in US. They are unlikely to cheat you. They do have physical office. Charles Schwab is known to have one of the best customer support out there.

To open Charles Schwab, you need at least $20,000 (Around RM100k+). I don't have that kind of money (I'm only 23). If you have you can enjoy commission free ETFs or <$5 per trade.

Ameritrade has no restriction. I am actually opening an account with them but there seems to be a problem with one of their online forms. I heard Ameritrade has some sophisticated tools for investing. They have commission free ETFs too but Charles Schwab is still preferable over Ameritrade. So, people usually use Charles Schwab to trade but Ameritrade to research.

For the common investor, they can only invest in bonds using a bond fund.
If you are a sophisticated investor with high net worth (>RM500k to invest), you can invest in individual bonds directly.

Why Econpile? It looks overvalued to me at PE 46 and it has a loss quarter. The rule of thumb is never invest in a company that has a loss within the last 3 years.

Advcon looks great especially their cash flows but their gross margins are too slim in a competitive industry.

Sunway Construction has their own piling business. I think it's common for property developers to have their own machinery.

Well, is piling business really that great? I think construction doesn't have good prospects right now.

I don't quite understand this.
Can't we just use something simple like Holding Period Return formula?
It's clear cut and simpler.

Example: Those people buying AirAsia's shares for the RM0.90 special dividend after the announcement. Assume no transaction cost.

Let's say share price is RM2.90 before ex-dividend. An investor buys 1,000 units @ RM2.90 using RM2,900. Ex-dividend price is RM2.00.

This investor sells all his shares 1,000 units @ RM2.00 receiving RM2,000.

Holding Period Return
= (2,000 + 900 - 2,900) / 2,900 * 100%
= 0%

This makes sense because buying before and ex-date should not give you anything.

I don't think it sucks entirely. In what way it assumes all investment done on one particular date?

Let's say you invested in ABC Bhd:

1 Jan 2019: 1,000 @ RM1 (RM1000)
1 July 2019: 2,000 @ RM2 (RM4000)
1 Nov 2019: 1,000 @ RM3 (RM3000)

30 Nov 2019: Dividends received in cash
= RM0.02 per share (0.02 X 4,000 units) = RM80

Price at 31 Jan 2020: RM2.3 per share. You decided to sell all units at this price.

HPR=(2.3x4000 - 8000 + 80)/8000 X 100% = 16%

Note: You can also calculate HPR for each transaction.

HPR is already a good enough measurement for most investors here. With the time saved, find ways to increase income better. If your total portfolio doesn't even reach RM100k I think it's not even worth using such a complex formula.

Also, Dietz Formula is a CFA Level III topic. It's used for portfolios that are HUGE and probably not for individual portfolios. If you want to proceed with it, you should hire a professional.

Should be your income tax you filed last year because profit from daily trading is taxable.

Note that trading is high risk and you must demonstrate consistent profits for a few years for banks to approve loans.

Best is consult the bank.

Not all information is disclosed to investors and companies are not required to disclose every single detailed information.

Why? Because competitors will take advantage of some critical information. So, they usually disclose just enough information to meet the MFRS requirements.

Of course. Or else how do you tell if the company is a good investment?

Annual Audited Reports are more important because it has been 'checked' by auditors.

Quarterly reports give an information of what is going on throughout the year before the Annual Report is out but it might not be trustworthy because it hasn't been checked.

If you're young and don't have much to invest, invest in yourself first (i.e. education). If you have extra money, just save it in a fixed deposit. You only invest if you can afford to lose the money. Meaning you don't need it for emergencies, to buy a house or a car.

For s start you can paper trade. Meaning you plan to buy how many units of a particular stock at what price. Then, you write it down on paper but do not actually trade it. Then, few months later you come back and see how much you made/lost.

There are numerous ways to evaluate a company such as:

1) EPS growth: There must be growth in EPS for share price to rise
2) Gearing: Highly geared companies are risky and can go bankrupt especially in recession
3) Payout ratio: How much a company is paying out from earnings as cash dividends. Low payout ratio means most is reinvested into the company (Apple does not pay dividends). High payout ratio especially when above EPS is unsustainable.
4) Market capitalisation to GDP: Used to see if a company is overvalued in it's sector/country

Last 2 advice:
1) Distinguish between investing and trading. Trading is speculation especially those penny stocks.
2) Don't be afraid to cut loss when your stock is down -8%. Warren Buffett's rule is to never lose money!

Fact: Most people make losses and they cannot beat the market. So you should just invest into an ETF which is safer but gives lower returns. As long as it's above inflation, it's good enough.

You're better off with index ETF.

I'm sure all investment banks offer this. Maybank has it too.



AmBank:



Ambank's minimum requirement is 50,000 units.

Anyone knows how much IB pays if we lend securities?

EDEN now very volatile. It's Muhyiddin stock hahaha. If he's the new PM, confirm skyrocket.