AJI RM15

What difference between Nominee Account vs Direct Account?

Direct mean the share is under your name.
Nominee is not.

Check out this blog: https://malaysiayounginvestor.blogspot.com/...cdsaccount.html

It pretty much sums up the differences between Nominee and Direct CDS.

If you are still confuse with which to choose, then you wouldn't go wrong with Direct CDS since I believe you are just exploring stock investing/trading and direct CDS pretty much gets the job done

This post has been edited by Ziet Inv: Aug 11 2020, 09:48 PM

Let's post here.

I believe that there's a huge fallacy regarding dividends. You can lose money if one blindly invest just for dividends. Hold on. Take a breather cos I made a huge statement.. stay calm...let's do it one step at a time. Ok?

The 100% sure win statement is directed at dividend investing. Ok? There's no need to compare other things cos we would just agree.

So it's just dividend investing and Maybank.

So dividends and Maybank.

Does it really work? (let's see)

Do you think 3 years is a good time frame? Ie. If I invest in maybank some 3 years ago, it would show some positive returns in 3 years time. ( 3 years of collecting dividends woh.. surely it will show an investment in Maybank would yield a great return, yes?)

Ps.. going out.. chat tomorrow

Tbh, you are right NOW because banks are hit hard now.
I cant win you in this argument, because u choose the timeframe.

But if you let me choose the time frame, I will pick 2009-2011, then I win? from both capital gain and dividend
If I pick the peak at 26 JUly 2013 (RM 10.7) and peak at 8 May 2018 (RM 10.7), then I win? from dividend

U pick a fight that u will win, of course u will win

But still, I wont buy maybank now, because to me it is not undervalued yet. My pick is the extremely hard hitted CIMB with hin leong and hontop scandal in this crisis. Perfect double hit combo to fck the price.

For now, I can only pray that the banks counters will drop more (especially if the QRs are bad), so I can buy more. Also there is no guarantee that the price wont drop more in 2021, 2022 and so on, suddenly 1 corporate might bankrupt leading to one off reduced earnings again.
Again I would like to emphasize that there is no 100% winning strategy here.

But still, I wont buy maybank now, because to me it is still overvalued yet. My pick is the extremely hard hitted CIMB with hin leong and hontop scandal in this crisis. Perfect double hit combo to fck the price. Above RM6, I will never buy MBB

For now, I can only pray that the banks counters will drop more (pray that the QRs will be bad), so I can buy more. Also there is no guarantee that the price wont drop more in 2021, 2022 and so on, suddenly 1 corporate might bankrupt leading to one off reduced earnings again.

Again I would like to emphasize that there is no 100% winning strategy here.

Of course, you get to choose the time frame.... and you choose the peak? LOL!

I was gonna handicap you and let you choose the lowest price of the said year... ie... lowest of 2013 and lowest 2018.

2009 period? That was when the market crashed la.... any one stock also can win lo (which will make any case study pointless!)

Let's look at the assumption you can buy at the lowest in 2013.... which should be around 8.90 in Jan 2013.

Purchase Jan 2013. Price RM8.90

Dividend received since = 0.33 + 0.535 + 0.57 + 0.54 + 0.52 + 0.55 + 0.57 + 0.64 = 4.255

Price today = 7.46

Current *loss* (Sorry 'paper loss' is still loss lol) = 7.46 - 8.90 = 1.44

Total dividend = 4.255

Therefore TOTAL current gain = 2.815

That's about just a CAGR gain of 3.5% for 8 years.

Yup it's a win but that's a 8 years of investing ... is it worth it? is it the best investment for your money?

>>>>>

If bought at peak July 2013... 10.70

Earn one less dividend ... ie wouldn't receive the 0.33 dividend.

So total dividend = 3.925

Current loss = 7.46 - 10.7 = 3.24

Therefore TOTAL current gain = 0.685

Yup... still a gain... but barely


***********************************

For 2018, we just do the lowest price la...

Purchase June 2018. Price 8.70

Dividend received since = 0.57 + 0.64 = 1.21

Current price = 7.46

Current loss = 7.46 - 8.70 = 1.24

Total dividend = 1.21

TOTAL current LOSS = 0.03

*cough*


===============================

Well? Are you surprised with the results?

Not forgetting the fact I deliberately chose the lowest price of the year.... ie the assumption the investor is so good that he/she is able to buy at the lowest price of the year....

Like I said you are right NOW. Because the current sentiment does not favor bank. Maybe 1 year later, you will be wrong.

Just like buying gloves now will certainly get you fcked 1 year later

I buy on weakness for counters that have very high chance to rebound. Dont just buy shares for dividends at high price.

To me maybank share price is still too high (I will only consider if it drops below 6). My preference among the 3 big banks is CIMB

Of course 1 year later I could be wrong. Who knows.

But we are living the moment now. Hence, I am talking now and right now, it is my flawed opinion but I do think it's risky to simply assume investing in bank stocks for its dividends is a great idea.

Maybank RM6 🤤🤤🤤🤤

For me its below RM5.87. If it doesnt drop to the price, who cares? CIMB is still here for catch

what's the indicator you look at when qualifying a stock?

what criteria do you have?

let's say for banking stocks, what are the things you look at?

For now
P/B and P/E for the big 3s (MBB, PBB, CIMB), safer bet.

Before pandemic, one might include ROE too. Before pandemic higher ROE banks are preferred.
But higher ROE also means higher financial leverage, not sure if having higher financial leverage is good during pandemic.
So for now P/E an P/B.

You can also use CAGR, but banks dont really grow much anymore. So we dont use CAGR here

which of the 3 banks you mentioned has the lowest PB? suspect CIMB has the lowest and PBB highest.

Yeap, you can check it online

For P/B just take current price divide current NTA
For P/E, I use EPS for 2019. cause this year confirm fck up. Their EPS should recover in 2021. So current price divide 2019 EPS