Choose your REITs carefully, bro,... Chances for a REIT to go bust today will be lower !

Worst that can happen is it stays where it is and not being able to give out dividends for the next one year or more. Or,... the REIT will do an equity fund raising.

I think it's more of whether an investor is KEEN on investing or not. Whether is necessary for one to invest for income in the long run or not,...

If the 'need' is there, and not just a want, I think an investor will try the moment 'signs start to appear', regardless of how future events may turn out.

This need may be for additional income, or necessary income for survival, or to set a track record for himself (and his co-investors if he 'helps' others to invest) or even for a reason as simple as to blog for the world to see.

Added : I have been catching falling knives too. I even had to top-up two margin calls recently,...

This post has been edited by Hansel: Apr 27 2020, 09:56 AM

Agreed, bro,...there will be risks, as in everything,.... we just have to invest with money we can afford to lose,... or use the best of our experiences and knowledge gained over the years of investing to eek out whatever we can from the mkts.

REported today :-

SINGAPORE (Apr 26): Twenty members of the Port Authorities Roundtable (PAR) from Asia, Europe, Middle East, and North America came together on Friday to declare their commitment to keep their ports remaining open during the Covid-19 outbreak.

According to a press release by the Maritime and Port Authority of Singapore (MPA) on Friday, the Singapore-initiated declaration calls for maritime countries – running major ports such as Abu Dhabi, Antwerp, Tokyo, Guangzhou, Busan, Barcelona, Bangkok, Los Angeles, Rotterdam, and Shanghai – to collaborate and share best practices so that port operations can remain undisrupted.

Through this declaration, the countries commit to ensure that merchant ships can continue to berth at their respective ports and keep the global supply chain going. They will also share experiences in combating Covid-19, amongst other terms.

Quah Ley Hoon, CEO of the MPA says that it is important to keep Singapore’s ports open and goods moving. “Port authorities have to take enhanced precautions for their ports and on ships, as well as manage the stress faced by our seafarers and maritime personnel,” she says.

“We have come together to make a declaration of our commitment, exchange experiences and share best practices. This virtual declaration by members countries across different geographical regions is also a first for the PAR”, she says.

“We came out of the session gaining more valuable knowledge to ensure that necessities and essential medical supplies continue to be transported seamlessly across the world and into our respective countries,” she adds.

Singapore, ranked as the world’s second-busiest container port, after Shanghai, is a key node in the global supply chain. Singapore’s trade volume is more than three times its GDP.

The secret is if the sentiment can hold-up till the actual recovery comes,...

After years of human history in investments,... the mkt has become highly forward-looking today !

How much helicopter money can the Feds drop from the sky ? This becomes the question then,... and if this dropping of helicopter money can be maintained TILL ECONOMIC ACTIVITIES START PICKING-UP AGAIN, then prices can be maintained.

I think helicopter money is not the only reason why asset prices keep increasing, though, by no doubt, this could be one of the main reasons.

Thank you for the opinions, bros,... There are just too many ways that we can take this thing. The final motive of wanting to predict this outcome is to be able to make the best decision on when to go in.

For myself,... I have started going back in to the mkt since mid-March, and am still buying-in after every day or thereabout.

Bros,... this discussion will never end,... better to decide what to do. And do it,...

Just like many things we discuss in many threads inside Lowyat for many years,..



Got tired of it already,...

Emm,... bro,... the biggest advantage of investing into the stock exchange is the ability to pullout quiackly when situations changed. The liquidity is there,... provided the mkt is NOT halted like what The Philippines did a few weeks ago.

If you invest into properties, you can't seasily sell of your property for funds.

And,............. in the world today,... don't know-lar,... I observe landlords everywhere are being targetted. If times are bad, it's not easy to collect collect rents or evict tenants anymore. Countries will formulate laws and temporary measures to PROTECT THE TENANTS rather than the landlords !

So,......... looks like no point buying more properties,... better just buy one big hse to stay in, one holiday house and invest the rest.

Actually, no one knows for sure what will be the final outcome of printing so much money (USDs) out there. The only thing we know,.. or rather I'll speak for myself,.. I know,... is based on this action since 2008, the economy has managed to 'come back up' and asset prices grew and grew. This is the observation,... based on historical events,...

When you invest in gold producers, you are taking on the risk of the producing company too. You are not benefitting on the direct 'inverse correlation' of gold vs other financial assets. I believe gold is the portfolio stabilizer for the future, not bonds or Treasuries anymore,... JMHO.

I beg to differ when you stated the last staetement as bolded above.

In my deep research in the last few weeks, gold price rose when stocks dropped which is representative of the economy weakening (previously). Look at following trendline (75% accuracy level). QE was FIRST envisaged and deployed in 2008 when the US was hit with the subprime crisis.

It was NEVER deployed before 2008. But the trendline below has always apperaed.

https://sdbullion.com/dow-gold-ratio

My argument earlier was against the very basic fact of the comment of : Gold price rising solely because of QE.

Studies showed Gold price would rice when there is uncertainty in the mkt, and some uncertainties in the mkt included falling DOW, falling GDP nos, etc,... Gold price DOES NOT RISE solely because of QE.

QE is a reaction against a falling economy, with numbers representing indicators as perceived by the policy-makers. When QE is deployed, there would of course be reactions in Gold price too,... and positive AND negative movements in the price will be determined by changes in the economic numbers released, ie as numbers improves, eg business confidence index hikes, Gold price will dip.

I do not doubt QE will move Gold price as in my above para. But to say Gold price moving solely because of QE is wrong. In fact, if we look at things deeper, it's like this : economy falling -> uncertainty rises -> Gold price rises AND QE implemented -> economy improves (hopefully) -> Gold price dips

We must understand that there is always a time-lag and time-lead of when each event happens, and when this lagging or leading occurs, it tends to complicate our comprehension and our understanding of which event causing what to happen.

I would view that Gold price movement AND QE implementations are side-by-side occurences, rather than one being a catalyst of another.

Before 2008, there was no QE,.. but look at the graph, it's clear there in the inversely-correlated nature even in the years prior to 2008. Before Covid-19, Dow movements represented well the economy, hence, we say note the relationship of the economy AND the Dow AND Gold price. But today, under Covid-19, till now, Dow does NOT represent the economy.

Secondly,.. Gold price has always been affected by the economy, which gives rise to economic confidence/uncertainty. Those 'friends' of Gold mentioned above are obvious, as we looked through history.

Thirdly,... that graph of Dow Gold Theory is simple - Dow performance in points vs the price of Gold. Nothing too complicated.

Bro prophet bought one commodity 20 years ago and held on to it through thick and thin,...today, it proved that he bought the right thing that kept appreciating when given sufficient timespan.

Bro,... let me try to speculate on yr investing psychology here,... 'cos I have it too,...

You changed 90% of your FD into Gold in 2002. AND you saw Gold price rose over a few years and at the same time, I'm sure you read and researched a lot abt Gold since this was your major holdings throughout those years.

In 2008, you had sufficient headroom/gap between your average holding price and the then-price of Gold at that time, and with your deep research, you knew you COULD average up to continue the run. Hence, you rolled all of your bankig ctrs to Gold. Which proved to be RIGHT again.

You took some profit in 2011 perhaps due to the fact that you needed the money for investing into something else or for something major that you needed to acquire.

Just curious, bro,... am I right in the above ?

Tks bro,... comments and a question in bold above, bro,...

To further your statement above,... This is the advantage of living in Msia and having our natural expenses in the Ringgit currency ! The secret is how to convert back at the best exchange rate and to access the Ringgit equivalent with the least costs and fees.

Tq bro,... I do not trust too much of these TA analyses. I've always needed FA's to support my TA analyses before I act based on what I see with the lines on a pc of paper with the Y- and the X- axes. In your case, I must say you are at a very strong advantageous position. If the 'cup-and-handle- formation does come true, you will earn more,... but again, still paper profit unless you sell some positions. If you don't sell, paper positions may evaporate at sometime in future, producing paper losses instead.

If your TA breaks support and dives,.. then you just continue to hold your highly green position. No issue,...

And tq again for your first para explanations,....good to know and learn of this investor psych,.... this is indeed something I can relate to my children as I teach them more abt investing,...

How do you mean in the above ? If I am to understand your sentence above, you mean the govt is allowing the MYR to strengthen ?

Is this act possible given the resources of our foreign reserves ?

Well,... the USD will not help Petronas and Gomen if oil price stays at this level ! MYR will keep being devalued naturally when oil price stays low.

All leading to further weakness of economy and the Ringgit,...