shit thats bad! that drops him out of the top 5 richest man! im sure he was second few months back!

http://biz.yahoo.com/etfguide/081118/95_id.html

Yes he has, I dunno if you watch TVB but there is a topical programme called "Hurgh jern chap" , which is a current affairs programme, it showed university students who dumped their studies to 'invest' in the stock market..

It showed a chap who had retired at 33 and a 22 year old both who had made a ton of money, both had written books stating how easy it was to get rich.....the problem is for every one person to be wealthy needs 100s of losers, while my bosses make £350,000 or 3990000HKD equiv a year , they rely on the much less well paid staff like me and my peers.

Then there was this older man who was an investor too who was sucessful but retired from everything , as in effect he said the Hang Seng was no longer actually an investment market but it was more like a gambling den......


If you step back , the big problem is that such 'investors' do not add value and thus their business models are completely flawed...

Chef adds value by turning raw ingredients into an edible meal,
Toyota adds value by making steel into cars...
Hell even 141 WGs add value ie happiness and pleasure to us.

What do investors do? , speculate which adds no value = high chance of failure.

those kebabs shops in rusholme are making a killing!

make more than restaurants just by selling cheap donna meat!

even if the english and other others dont go eat there, they still have thousands of their own kind going in to eat!

fancy opening one with me?

hehe... you mean opening one in HK or UK?!
actually i won't mind a donna every now and then
yes i am actually thinking of starting my own business too. but i am not so rich so i need to think of what to start and what to do.  

Kennichi, no i have not watched that show on TVB but your view on value adding does make sense to me.  
i like this idea.  and i this makes me think, warrent buffet really didn't make all his fortune from his investment.
in fact from his insurance business right?

w00tiger, yes this is kind of my strategy too and i have to stick with that...
i put almost 70% of my money on HSBC at almost HKD150 a year ago ouch!
worth to buy? just when i thought 85 was low just 3 months ago, now it is HKD76.
should i jump off the cliff?

open a brothel??

Goddamn, is that actually true? Why didn't somebody tell me that 25 years ago? I've always earned good
money from my profession and if I'd just put my savings in the bank, I'd be a far wealthier man today.  

Apologies ... I should qualify that before someone else corrects me! ... 80% of active traders (who buy and sell) make less money than they would by being passive.  The top traders make lots of money, and that money comes from the pockets of the rest.  

As a whole, stock markets do rise, more than inflation, so your stocks will have worked for you unless you've been very unlucky - the winners should have outweighed the losers.  

But "A Random Walk Down Wall Street" points out that if you look at the performance of the entire Managed Funds industry as a whole, it underperforms by just exactly the amount of their management fees ... conclusion: it's a zero-sum game, you lose what they take out, and fund managers don't add anything to the system.  So yes, most people will do best by buying Index Tracker funds.  They have the lowest management fees, so you get to keep more of the underlying gain in the stocks.  

If your portfolio's outperformed the market, be thankful, and consider rebalancing it before the long term averages catch up ...

kebab shop?

JB & STG,

Brothel that sells Kebab???




On side note, I don;t understand why people still jump into the market knowing that it is going to get worse...at least in the next forseable 12 mths.

Based on the past few mths historical share index movement and performance, price drop seems to be greater than the gain.
I stopped talkin bout shares/funds with fellow colleagues.......waste gas. Every time when the index increase on certain particular day....they always shouted " I should have bought this or that share and make this % of gain today"........
"If everybody knew what is going to happen earlier, there will not be beggars on the street" (chinese saying)

One company will do VERY well, Norinco , the Arms industry in China,

As there is lots of very bad news coming about Japan's exports have crashed 27.9% this means Japan can't buy as much stuff from China, (food , wood , steel) this means high unemployment in China , as a side this means cheaper WGs much cheaper....

two nasty effects from this:

If China can't buy US and European debt due to falling exports , the whole world money system crashes as the US and EU rely on Chinese people in factories putting savings into the bank for the PRC government to loan out to the US and EU.


Lots of young people who are jobless and have no social security net as enjoyed in the EU and US (limited but still there) , mean 10s of millions of angry young people which can stoke revolution, 2000 years ago Sun Tzu said you should never surround an enemy so that they have no escape as they have nothing left to lose and therefore make a very dangerous enemy to encounter.


Its going to be bloody , Norinco supplies weapons to the PRC government.....


The world is getting to be a nastier place , and resource grabs are already happening (Iraq) , those who do not grab resources end up being weaker and therefore based upon game theory you grab as many resources as you can just like China has been doing in Africa....

Presently there are enough resources to grab independently however when the resources start to get scarce and two armies arrive wanting to grab the resource war breaks out.

yau jo gee, mo hat yee

me like

me too man...

i'm always the beggar!

tell me what you do for a living and what qaulities you have, and il show you how to make some money out of it.

i mean it!

lol... thats a good chinese saying...
jbourne : double ouch for HSBC at 150. HSBC is a good stock and still can average down (if u have enough to average). If i'm in ur shoe... i will definitely average down my cost.

If i'm not wrong .. china has 1.3 billion people which is 1/4 of the world population. If US and Europe not buying stuff
from china .. i think they still can rely on own consumption. Anyway, china made stuff is still cheaper than those same stuff made from other country like japan or even US. China will be future TAIKO in asia and maybe world TAIKO . All asian country will follow china's lead so i guess i should invest more on china's fund. They still have room to grow. Thats what i think.

I have no idea mate.  

A master Cao Yan Chao (曹仁超）said, "always average up not down"

Yes China's internal consumption should be the only hope for its drive of economy.

I have only been investing for 5 years.  

So far in my investment I have broken even, i.e. i am back to the amount of money I have put in.

No they can't I originally thought that yes sure they can do what Europe and the US has done ie to expand credit and to stir up the internal market to absorb the output...

But there is a fundamental problem 3 fundamental problems infact:


#1
Henry T Ford problem, in that Henry T Ford realised one day that it was pointless making products for people that nobody could afford, and thus he paid his work force very well for the time and as such they could all afford model T fords, which was good.....your average worker in China cannot afford the things that they make, take for example the Iphone made in China

UK£ 1 = 10.0835163 Chinese yuan

These babies sell for £400 sans contract = 4000Yuan , for a phone wages in China are circa $200-$300 USD per month, cost you 3 months wages to buy a phone, and thus internal demand cannot satisfy internal output.

#2
Increasing the wealth of the people means an increase in money supply, ie more money chasing after fewer goods, as said if you want to make people able to afford your goods you have to pay them more.... this has two effects:

#A you stoke inflation possibly tipping it into hyperinflation , inflation has a trigger of 25-45% whereby it turns into hyperinflation which is bad , devaluing currency = imports of food/oil and materials become expensive and thus you again lose your economic advantage.

#B You lose your inherent economic advantage , china has only ONE advantage is that it is a low wage low tax country, you start ramping up wages you lose BOTH of these advantages.

#3 Saturation point , ie how many phones , TVs , PCs do you want/need?, a person in a factory can produce multiple items a day, at most even in western homes you get 5-10 TVs , and again this relates back to point 1.

are u a good talker in person kennchi??

if you talk the way you type, u may be of use to me

remember boys, winners create headlines, while losers follow them!

brought a horse racing newspaper last week, and saw alot of tips! alot of people surprisingly follow these tips! but if its on the papers read by many, then its no longer a tip!

certainly not at such low price!

to bet big to win big is not what i call a tip!

to bet small and win big is what i call a tip!

they even clamied the tip to be from the stable itself

it was a favourite too

From your post #1, I thought you were making 15 - 20% pa. Now you say you're even after
5-years of investing. Sounds like me.