How to Calculate Your Share Consolidation?

I was thinking about writing this blog for 2 days but I am really busy.

As a financial blogger, I feel I should do my part in helping the public who does not have exposure with share consolidation.

Wait! Am I a financial blogger?

No matter what. Let's Begin.

Taking Yongnam as an example.

In order to see the price before the share consolidation on ChartNexus or Lim&Tan Station, you can go to setting and click on disable for "Stock Split".



Take note that your portfolio with your brokerage might not have your average buying price after consolidation because the stock code might change.

IMPORTANT:

YOUR CDP ACCOUNT WILL ONLY UPDATE 3 WORKING DAYS LATER OR MORE ON THE NEW CONSOLIDATED UNITS AND NOT THE NEW CONSOLIDATION PRICE!

In this case, you either refer to the average price in your excel sheet of trade journal or you have to contact your broker to check your Contract Note for that counter to do the necessary calculation.

Let's start with the Scenario now.

If you have purchased Yongnam at 0.245 at 100000 shares, the purchased value will be $24500 less brokerage fee.

During a Consolidation, your share values does not change but the entry price and number of shares will.

You can refer to this pdf on Yongnam consolidation

http://yongnam.listedcompany.com/newsroom/20150430_192043_Y02_AU95PG50WRRSOEYV.2.pdf



Yongnam is doing a share consolidation of 4 into 1.

In Yongnam case, shareholders are allowed to trade odd lot. The only way is through your broker and there is a demand and supply issue.

TAKE NOTE:
1. Some consolidation will round off and you will lose shares because of the round off. (tio jiak!)

2. Some consolidation will allow you to buy odd lots to make it whole. Yes. Through broker again. They are your life line.

You can refer to the image below.



Let's start with the calculation now.

Remember your purchased price is at $0.245 at 100000 shares, the purchased value will be $24500 less brokerage fee.

A share consolidation of 4 into 1 calculation will be:

Shares: 100000/4 = 25000 shares (this will be reflected in ur cdp account evenutally)

Price: $24500/25000shares = $0.98 (this you have to update your cdp account yourself)

The new price and new number of share is important because after the consolidation to $0.58 on 20th May 2015, you are actual in red and if you SELL 100000 SHARES AT $0.58 YOU HAVE JUST NAKE SHORT AND MIGHT BE PENALISED WITH A FINE WITHOUT COVERING BACK ON THE SAME DAY.

You can text me on Facebook if you don't understand the statement above.

Really need to rush to gym.

TAKE NOTE:
Even when the CDP have not update the new number of consolidated shares, you are suppose to sell the correct consolidated number of shares DURING THE SHARE CONSOLIDATED PERIOD.

Invest and Trade Safely Everyone!

A Policy Holder Concern about Exlcusion.

After reading the facebook post by Raymond Ng​ below...

">15 years ago, when I bought AIA insurance with critical illness coverage, AIA asked me to go to their appointed medical clinic to check up. Upon clean bill, AIA accept my application.

Now, insurance pass the responsibility to consumers. If known illness not declare, it may end up not able to claim the insurance.

Why not insurance take up the responsibility to have their doctor conduct check up first before accept the insurance application? If there is exclusion per medical check up, stated it in the agreement up front.

In that way, both insurance company and consumer will have peace of mind."

https://www.facebook.com/raymond.ng.3538/posts/1161242603902535?comment_id=1161445150548947&ref=notif&notif_t=like

I approached my professional friend Christopher Tan​ and had a discussion.

It is true:

Under the life or general insurance policy, there is usually a non-dispute clause. This clause states that the insurance company cannot dispute a claim on grounds of non-disclosure after a lapse of one or two years from the issue of the policy, "except in the case of fraud". Some claim officers argue that non-disclosure is fraudulent. They are mistaken. If challenged in court, they are likely to fail.

What you need to do before purchase of any policy is to declare as true as possible your current health status and the above non-dispute clause will be valid.

Alternatively, you can now approach your insurance planner to check whether you have any exclusion status and/or whether the non-dispute clause is in your current policy.

You can also do a comparison of the policies you need at

https://www.facebook.com/diyinsurance.com.sg?fref=ts

Last but not least,

You can check out my old post on

In What Situation our claim might not be valid?

Insurance Yourself Safely Everyone!

Big Boys Don't Cry BUT They usually make people cries.

Big Boys Don't Cry BUT They usually make people cries.

Short term trade will depends on 3 group of people in the market. 1. The BBs (Accumulate/Distribute) 2. The Traders (Long/short) 3. The Investors (Buy and Hold "Most of the Time") Don't be the person who are made to cry. Trade and Invest Safely!

Let me share my views on TP or you can said Esc P (Escape Price) before I go run some errand.

Let me share my views on TP or you can said Esc P (Escape Price) before I go run some errand.

THIS IS  BASED ON TRADING.

TP is usually based on your open position/s or your projection of the counter.

1. You can choose to TP at the next historical resistance/simple moving average in the chart if you  feel the trend is still down trend (in a buy position) . Do the reversal in a short position.

Most retailer will see historical support or resistance as a guage.

2. You can choose to take partial TP if your plans and position allow.

This is especially so when you see momentum but you are not sure you are right a not.

3. You can ride your full position or partial position when you did homework and know there is a reason for more buyer to bring up the price.

This is especially so when you have a good margin of safety by buying at support instead of buying into resistance.

4. After you open your position and you see poor momentum or closing price is lower then opening price, you have to be mentally prepare to use ESC Price to lower the loss.

This is especially so when you buy with hope and you already see pump and dump in action.

Escape Price can range from the last low of the previous price action or your trailing stop criteria.

Escape Price could be the matching price if you fail to close your position at the price you set for yourself.

Point 4 is also applicable to all the above 3 points as a follow up.

Last but not least, you can check out my earlier post on Stop Loss which is also applicable for all the above 4 points.

http://kenichiwealthmanagement.blogspot.sg/2015/06/let-me-share-alternate-view-in-stop.html

Trade and Invest Safely Everyone!

Let me share an alternate view in Stop Loss before i go take a nap.

Stop Loss so you can Bounce Back.

Let me share an alternate view in Stop Loss before i go take a nap.

1. If the marco market is bearish,

2. The counter you hold does not seem to have interested party to buy.

3. The counter you hold have consistent selling.

Why wait for the stop loss to hit then cut?

If your stop loss is $800/- at 0.035 and the currently the Bid Price is 0.036 and the Ask Price is 0.037.

You can cut at 0.036 if you dun see people buying up at 0.037.

In the above example, you saved $200/- from cutting at $600 instead of the original $800 you intended to.

Alternatively, you can spend the $200/- on your family and know that the money do good the right way.

When you keep the loss small, is easier to earn back the money.

You can also bet that there will be a rebound after a shake up but if you already feel stress and start hoping, you know the result liao.

Oh, i never mention short because it takes skill and timing and/or sometime scrips to short so i won't even suggest it here.

In fx, a short is a good alternative to hedge the position.

Position control of hedging might even bring winners on both long and short.

Trade and Invest Safely Everyone!

The below shows an example of no buy up at 0.037 but a constant sell down to 0.036.

The 1% Rule

The 1% Rule

Let's Go Straight to the point.

If your Capital is $30 000 and you are applying the 1% rule.

This means the amount of money you are willing to pay and not receive is $300. 

Excluding Buy and Sell:
Brokerage Fee, Clearing Fee, Access Fee and GST(7%) Fee.

Let's be more conservative in an open position in Trading.

The below example excludes the above fee which indicate the amount paid will be more then $300.
By text book theory, any Stop Loss is usually 2 pip below the lowest low.

With that, 1 pip will be $150 since the maximum you are willing to pay is $300.

If Stock A Entry Price is $1.00 and the Stop Loss is $0.98 which is $0.02/pips.

$300/$0.02 = 15 000 shares

In order to keep to the 1% rule of your capital you can only purchase 15 000 shares.

There are other ways of reading the above material to suit your own risk reward.

The important thing is to mange your risk well and mange your money well.

Trade and Invest Safely Everyone.

Time to start my Golf Lesson. Nibble only.

Time to start my Golf Lesson.

Nibble only.

A Most Basic Investment Idea of mine.

A Most Basic Investment Idea.

I hope this Idea of mine can bring encouragements to investment.

One thing about investment is definitely TIME and with time comes UNCERTAINTY.

We only pick up "business" we know and we can be "quite" sure it wont close door.

The important thing is what price we buy into and whether you have a cushion to give you back your principal amount.

How much is 5% dividend from a $20k investment?

Ans: $1000/-

$1000 * 20 years = $20k when we never reinvest the dividend. Yes. We are not even compounding here.

Did you take back your investment capital after 20 years?

After 20 years, is it free money?

What are the chances 20 years later the position did not appreciate?

Is all in our mindset and approach.

I hope this will benefit everyone here.

Good Night.

Frasers Centrepoint raising S$200m from bond issue. What you need to know if you are applying.

Frasers Centrepoint raising S$200m from bond issue. What you need to know if you are applying.

For starters, it will be good for you to know how Bond Price Move even though in this application you will get it at par value.

Bonds are generally issued in multiples of $1,000, also known as a bond's face or par value. But a bond's price is subject to market forces and often fluctuates above or below par. If you sell a bond before it matures, you may not receive the full principal amount of the bond and will not receive any remaining interest payments. This is because a bond's price is not based on the par value of the bond. Instead, the bond's price is established in the secondary market and fluctuates. As a result, the price may be more or less than the amount of principal and the remaining interest the issuer would be required to pay you if you held the bond to maturity.

The price of a bond can be above or below its par value for many reasons, including:

• interest rate adjustments;
• whether a bond credit rating has changed;
• supply and demand;
• a change in the creditworthiness of a bond's issuer;,
• whether the bond has been called or is likely to be (or not to be) called; or,
• a change in the prevailing market interest rates.

If a bond trades above par, it is said to trade at a premium. If a bond trades below par, it is said to trade at a discount. For example, if the bond you desire to purchase has a fixed interest rate of 8 percent, and similar-quality new bonds available for sale have a fixed interest rate of 5 percent, you will likely pay more than the par amount of the bond that you intend to purchase, because you will receive more interest income than the current interest rate (5 percent) being attached to similar bonds.

- See more at: http://www.finra.org/investors/bond-basics#sthash.3GbDfoSb.dpuf

Next, you need to read up on what you are buying. Please do not buy because everyone say can Buy or Not.

Read the proper announcement.

http://infopub.sgx.com/FileOpen/Frasers%20_Centrepoint_launches_first_Retail_Bond_%20offering_12May15.ashx?App=Announcement&FileID=349449

If you got any Questions which you need accurate confirmation or answers,

For media queries, please contact:

 Frasers Centrepoint Limited

Gerry WONG / Karina CHOO / SIEW Lay Eng
Tel: +65 6277 2679 / +65 6277 2677 / +65 6277 2678
E-Mail: fclgroupcomms@fraserscentrepoint.com

In General, for this Frasers Centrepoint bond issue,

Only Apply if you can lock in for 7 years. 

1.apply from atm like ipo or ibanking
2. minimum $2000 for retailer
3. coupons will be issued into the bank account by default semi annually
4. after 7th year you won't receive coupons from the bond you hold and you have to redeem back from the issuers or sell into the bond market.
5. Additional info from Chang Han Thomas

Kenji, need to add that u can bid a min of 2k, thereafter multiples of 1k. That means can bid of 2k, 3k, 4k, but not 4.5k or 2.2k

6. Opens now till 20th May 12pm, with a minimum of $2000, and subsequent increase of $1000 thereafter.
7. Date of Trade 25th May.

One more thing to add : just like IPO, need to pay a little transaction fee to the bank. Also need a CDP account if not,you can't apply. from Chang Han Thomas

So the main idea is not to apply it at the last minute so you have enough time to rectify any issue with the application.

Redemption Part

1. Automatic redemption. 2. You'll get the standard sgx announcement that such and such bonds are redeemed back. 3. Auto refund back to your bank account 4. (if the issuer choose to redeem early) starting from the 4th year , your yield would actually be 3.85% from the earliest with gradual decrease to 3.65% by 2022. 5. For every $1 bond, if you redeem on the 4th year on 22nd May 2019, you get a total of 8 coupon payments of $0.01825 each. So the total coupon payments is $0.01825*8 = $0.146. You will redeem back at $1.01825, so you make a capital gain of $0.01825. In total, you get 0.01825 + 0.146 = $0.16425 over 4 yrs. Your returns is therefore 0.16425/1 x 100% divided by 4 yrs = 4.10625% pa source from my facebook discussion with .Chang Han Thomas

Lastly, is it suitable for everyone?

The yield and returns are easy to beat if you are savvy in investment.

This product is suitable for people who want a peace of mind and have a plan 7 years later for that ROI.

Like what me and Chang Han Thomas agrees on.

Always do what you are good at and make more money from it.

Then you can use other vehicle to let that money work for you in returns.

Invest and Apply Safely Everyone.

Why am I interested in personal finance? (restricted access)

Why Don't People Care About Personal Finance (feat Cheerful Egg and Xeolyenomics)

Busy Year for me but it will be great to share why some people don't care ( or to me simply Don't Know how to care) about Personal Finance.



Let's start with this: "SAVING FOR A RAINY DAY!"

This is the only thing I can remember from my academic years....hmm..wait from my Primary School Education.

I couldn't recall more on any Financial Advices other then to get a good paying job or make more money to start a family.

Nothing was taught on:

1. getting the correct property or properties with or without grants

2. using my CPF to assist me in my retirements

3. getting the right type of insurance depending on my needs or dependants

4. using my medisave to get an integrated shield plan that gives better coverage

5. getting various tax relief that benefits my families member or doing charity

6. how to invest slowly and accumulate wealth

7. how to avoid Get Rich Quick Scams

The list goes on and do add into the comments if i missed any.

I am not blaming the Education System for not teaching us how to care about our Personal Finance.

We have Good Education System that make our people reputable in their diploma or degree certificate but that does not highlight to our people that Personal Finance is more important then just getting a job or Saving money for a Rainy Day.

I apologise if Personal Finance is one own self responsibility to find out and if they did not make the effort to make this discovery, they are to be blame for their own demise.

To be honest, Not every one are born equal and that is why a good directional guide will help them and the choices will be theirs to make.

In fact, Singapore did provide many sources of information to educate the public on CPF, getting HDB grants and Personal Finance.



The problems lies in the solutions and information is there but the AWARENESS to the public is not there.

Beep! Beep! Beep!

My timer for my 30 minute write up is up so I will finish this article soon.

I really like how Singapore have Television show case Pioneer Generation Video to create awareness

https://sg.news.yahoo.com/video/pioneer-generation-video-featuring-mark-024313328.html

We might thought this is the only education video available but if we check online there are more useful education videos like those below on CPF.

https://www.youtube.com/user/CPFvideos?gl=SG&hl=en-GB

A Good way to start is to shows video (in school) or on tv air time or online on where good informations can be found for individual needs.

The Good Direction will help more people to know how to care about their Personal Finance and use the good resources provided by Singapore to make our country a better home.

Good night Everyone!

Earnings Per Share

Earnings Per Share (EPS) is the single most important variable used in determining the earnings power of a company. 

In calculating earnings per share, the dividends of preferred stocks need to subtracted from the total net income first.
Companies also reported diluted shares in their financial reports. Diluted shares include the shares of convertibles or warrants outstanding.
But investors need to be aware that Earnings per Share can be easily manipulated by adjusting depreciation and amortization rate or non-recurring items.
Earnings per share without Non-Recurring Items , which better reflects the company's underlying performance.

Compared with Earnings per share, a company’s cash flow is better indicator of the company’s earnings power.

If a company’s earnings per share is less than cash flow per share over long term, investors need to be cautious and find out why.

Price Earning Ratio

• The P/E ratio can be viewed as the number of years it takes for the company to earn back the price you pay for the stock. For example, if a company earns $2 a share per year, and the stock is traded at $30, the P/E ratio is 15. Therefore it takes 15 years for the company to earn back the $30 you paid for its stock, assuming the earnings stays constant over the next 15 years.
• In real business, earnings never stay constant. If a company can grow its earnings, it takes fewer years for the company to earn back the price you pay for the stock. If a companys earnings decline it takes more years. As a shareholder, you want the company to earn back the price you pay as soon as possible. Therefore, lower-P/E stocks are more attractive than higher P/E stocks so long as the P/E ratio is positive. Also for stocks with the same P/E ratio, the one with faster growth business is more attractive.

• If a company loses money, the P/E ratio becomes meaningless.

• Investors need to be aware that the P/E ratio can be misleading a lot of times, especially when the underlying business is cyclical and unpredictable.

Story About Monkeys & Goats and How it Applies in the Stock Market

Read the story and you will understand.

Note - This story isn't quite the same as the monkey story you may have got in one of those chain-forwarded emails.

So there was this village where one day a man appeared and said that he wanted to buy monkeys. He said that he would pay Rs 100 per monkey. The villagers caught all the monkeys in the neighbourhood and sold them to him for a hundred rupees each. Soon another man appeared and said that he would pay Rs 200 for each monkey. But there weren't any more monkeys around. They were all owned by the first man. So the villagers went to him and said that they were willing to take the monkeys back and return his money. But the monkey owner was unwilling to sell. The villagers raised the offer price to Rs 150 per monkey, then Rs 175 and finally to Rs 199 but the man just didn't want to sell, even though he clearly didn't have any use for the monkeys. Eventually, just to see whether he would sell, they offered him Rs 200 but he still refused.

The villagers were puzzled by this. Finally, one of them figured out that there must be someone else who was going to come to the village and offer even more money for the monkeys. Convinced that this was the real explanation, they went and offered the man Rs 300 for each monkey and sure enough the man accepted. Joyous at having landed such a good deal, they quickly paid him off before he changed his mind and took possession of the monkeys. The man went away with his money and lived happily ever after. The villagers waited for the next buyer. And waited… And waited... But no one ever appeared who wanted to buy a monkey.

But wait.

If you think you've guessed the moral of the story, you are wrong because the story isn't over yet.

There was another village nearby. In this village a man appeared one day and offered Rs 1000 each for a goat. Now goats were valuable, but not as much as a thousand rupees so the villagers sold the goats to this man. A similar thing happened here too. A second man appeared, offered Rs 2000 for each goat, the first man refused and eventually the villagers ended up buying the goats back for Rs 3000 each. Here too, the two men disappeared and no one ever came and offered so much money for a goat again.

But there was a difference.

Goats aren't monkeys. They could be milked every day and the milk was good and healthy. Even the goat droppings could be used as fuel (not sure of it though). When the goats eventually grew too old to be milked, the villagers could kill them for mutton. All in all, it wasn't a complete disaster.

But the monkey-owners were not so lucky. Since these weren't demat monkeys, they actually had to be kept in one's house. The monkeys ate too much, shouted and shrieked all day and sometimes bit people.

Eventually, when it became clear that the monkeys were worthless, their owners abandoned them and tried to forget about their losses.

And that's the Moral of the Story.

In the stock markets today, there are good companies that are overpriced and there are worthless companies that are overpriced. If you are going to be a fool and pay absurd prices because you think that a greater fool will appear in the future, make sure you buy a goat and not a monkey.

Note– The story is sourced from here.

Are you a Lender?

There are 3 type of people who borrow from you.

1st type: Those who borrowed.

They want to pay but will never be able to pay back.

2nd type: Those who borrowed.

They got money to pay but they don't want to pay back.

3rd type: Those who borrowed $50, return $20.
Then borrow $70 to match up to $100 dollar.
Returned $50 and later borrowed $150 to match up to $200 till they are not able to pay back.

The Best Way to make a Person FORGET you is to Lend them Your Money.

Lend Safely Everyone!

No Debt is Always Good.

No Debt is Always Good.

Before anyone mentioned about Opportunity Lose which can be a double edged sword.

I am not saying one should not borrow to buy a roof over their head.

In fact, you need to borrow to buy a Roof over the head in Singapore.

The problems only start when one borrow just to be able to BUY but without a plan (no. of years) to clear the loan.

Yes. You can buy the property for capital appreciation or rental yield.

If this property is your only roof and you have to downgrade or purchase another appreciated property to stay in, the game might not be to your advantage if you are still in Debt!

The same goes for Second Property, as long as the Debt existed, the Property belongs to the Bank.

P.S. Debt Free is a Beautiful Word Many use but in Actual Fact it is No Debt.

Invest Safely Everyone!

Never put all your Eggs into One Basket.

Never put all your Eggs into One Basket.

By Diversifying your money, you get

1. Peace of Mind
2. to withstand market fluctuation and maybe the fluctuation become an advantage
3. to choose the type of investment that gives u better opportunities
4. to have a proper life.

Start Small, Think Big and mistakes can always be rectified into a Solution for a Better Future.

What are your plans when you make your First Pot of Gold?

What are your plans when you make your First Pot of Gold?

Stay a Millionaire by keeping the Money in your Safe or in the Bank?

Having a Plan for the Money will serve the Truth Purposes in Reaching your  $1 million Goal!

三羊开泰

三阳开泰
富贵荣华
好运降临

羊羊得意
新春飛羊 
喜氣羊羊 
羊眉吐氣 
名羊四海
才華羊溢
羊年財順
羊年行大運

Happy Lunar New Year Starting with a Happy Reunion DAY!

Knowledge can help you Save Good Money!

I recently received a letter from a Firm to Appoint them to Renew my Existing Trade Mark on my behalf.

The Renewal Fee is SGD500 for each trademark.

I held Four (4) Live TradeMark Personally.

That will cost me a Total of SGD2000 if I render their services.

This firm is providing me a Service which I can actually do it myself with Ease and at a Better Rate.

This is where the "Knowledge can help you Save Good Money!" comes about.

I am not trying to spoil that firm opportunity in making additional income if anyone decided to render the renewal services to them.

I feel it is fair to let the person who render their services knows the actual price they are paying if they can do it themselves.

Look at the information below.

We can actually RENEW Each TradeMark at S$250 per class of goods/services (via eFiling) or S$270 (manual filing) per class of goods/ services.



1. efilling is fast and cheap at $250 which means you can save $250 if you render out the renewal services.

2. manual filing is slightly more costly and slower at $270 but you still save $230 if you render out the renewal services

By having Knowledge I can save $920 to $1000 from this Important Renewal.

Ok. So I know how to Save money but how does this help my readers?

I will show you how to renew your own trademark online.

1. Click on this link:
http://www.ipos.gov.sg/Services/FilingandRegistration/FormsandFees/TradeMarks.aspx

2. Click on TM 19 eFiling as seen in the image below.



3. Log in with your Singpass if prompted and fill in the form TM19 accordingly.

4. Pay online and your Renewal is Done!

If you are not sure on what is the proper step to take, you can always contact me at Tel: (65) 6339 8616 on how to fill the form properly.

Just kidding, the number belong to IPOS so give them a call and you can get all your doubts clear.

Another Good Deed Done!

Give yourself Success.

Have you ever wonder what is the secret behind a Successful Person?

Most people will answer hard work and effort but this is not enough.

***The Secret is to Learn from another Successful Person.

This is true and sad at the same time because this line have been abused by Scammers who wanted you to pay them first then see Result.

Those who are willing to help you will never ask you to pay them.

Another Secret would be to learn from other mistake.

***Mistakes are costly and by learning not to MAKE the same mistake, you gave yourself a better chance of Success.

Bear with me but read this TRUE Story.

I know a Singaporean Auntie who is a round 50 years old.

She know about the Fashion Trend in Singapore and everything about Branded Bag to Shoes.

She currently have a younger Malaysian boyfriend who is 40 years old.

The last time i saw this Auntie, she had bruises around her eyes.

She had them because she had a fight with her Malaysian Boyfriend's Vietnam Female Friend who message him at night.

Sound depressing right?

Let's look at the past:

"The Auntie is very pretty when she was young.

Her First boyfriend is a Jewelry Business Owner who drove a Sport Car and bought her many branded bag.

He passed on in a Car Accident before their Wedding Day.

She did not inherit anything from her Rich Boyfriend.

Her Second Boyfriend is a Low Income Person who passed on leaving her with 2 children. She marry him because she got pregnant when they were together.

Her Third Boyfriend Boyfriend is a divorced, with a Single Child.

They got married too.

She have a Third child with him but he turned to gambling and force her to run  away with all her children.

Currently, all the children are now taken care by her relatives and she does not contact them often.

And now we are back to the Present which she have bruises from another fail relationship. "

What did we learn from the Auntie's Story?

1. Never depend on any Spouse. Unexpected thing can happen anytime, so we must be mindful and not resign ourselves to a fate of depending on another person to live on.

***We can only depend on ourselves for a proper life.

2. Never make a mistake of getting Pregnant and resign yourself to marry a guy who might not be able to take care of you.

Don't get me wrong. I am not saying Low Income or Average Income is no Good. I am Saying having a child needs planning, especially in Singapore.

***Being a Single Parent is never easy and it is even worst when you are a Single Mum without marrying.

3. If I am the Auntie, I would choose to be more independent when I am young and to FOCUS on my OBJECTIVE.

What would be my OBJECTIVE?

a. Get out of a life that depends on other people. I want to be INDEPENDENT!

b. Focus on creating a Good Career rather then thinking about LOVE and Relationship all the time. All this can come later when you are successful, if you don;t get the Relationship at a later stage, you are still SUCCESSFUL!

c. Save for a Rainy Day and Save with a PLAN!

It is never about Saving $100K or $200k. It is about HOW you use the money to grow your wealth or provide a Shelter for yourself with a PEACE OF MIND.

d. Never let other PEOPLE handle your Hard Earned money.

There is no such thing as EASY money.

There are many people who blow horns, buy sports car, post Expensive Living Picture online but they DO NOT LAST most of the time.

e. Saving is the mother of all Investment!

Don't talk about investment if you do not fulfill your Basic Needs as follows

i. Your own HDB property.
ii. Hospitalization and Surgical Insurance Covered
iii. A GOOD STABLE income that give you prospect! This is where the hard work and effort comes in.

With the above points fulfill, then looking into investment for passive income is never too late.

It is good to invest small so any mistake in investment can be rectify with small losses.

f. Never never give up on ACTIVE CONSISTENT INCOME!

g. NEVER NEVER NEVER Earn the wrong type of money even if it is "GOOD" Money.

Why? These Good Money might come back to haunt you when you are successful or THEY will be the reason you will be a FAILURE for LIFE!

I have recently told a few friends never to dig a hole for themselves because We all make mistakes at times and the HOLE we dig will prevent us for climbing back up.

Please DO NOT let yourself DOWN!

Last but not least,

FOCUS!

***Focus on Getting yourself OUT of the situation which is bringing you DOWN.

***Focus on Knowing the Right Kind of People who are really helping you and not giving you PROBLEM!

**Another way is to DIS ENGAGE from the WRONG KIND of Friend who might bring you trouble in the future.

**Please bear in mind, there might not be bad people and they might not have intentionally wanted to DRAG you down with them but it is the SITUATION that you expose yourself too. aka DIG A HOLE FOR YOURSELF.

NO ONE OWE US A LIVING!

We have to depend on ourselves to be Successful and that is to Learn from Success People, Avoid TERRIBLE Mistakes and Dis engage Friends who might ask you to help them do unlawful things or get you dragged innocently in to trouble when the police suspects and investigate you.

When you have no proof to prove yourself innocent, you will be found Guilty and Crying will never give you Another Chance.

Only by not putting yourself in such DIRE SITUATION, then you will receive PEACE OF MIND to achieve your SUCCESS!

Focus on the Main Incentives. Look at the Good Point of Annuity and decide for yourself.

One size doesn't fits all.

I have always advice my friend to use their CPF money for property purchase if they really need to.

Cash is King ONLY if you know how to make it work for you.

Always fulfill your BASIC needs like shelter and a proper (which can be a simple and good) life then we focus on investment which should lead to retirement or just focus on retirement plan.

After all the hoo ha about CPF, why not Focus on the Main Incentives.

Look at the Good Point of Annuity and decide for yourself.

I am going to make it short and sweet for this blog.

It is important to know the Annuity you choose actually PAYS you TILL you go heaven BUT there is no free meal so make sure your Retirement Accounts gave you that benefit.

Take this as another retirement portfolio.

Another Good Thing to know is,

1. how the annuity money can be bequested upon death. Take note that the bequested amount (if any) depends on the plan you choose. Will there be changes, we won't know yet.

2. how the monthly payout is protected from creditors which i feel is good to know. Hope no one abuse it though.

Last but not least, you should read up on what CPF Board provided for accuracy.

http://mycpf.cpf.gov.sg/NR/rdonlyres/09EA0C05-C8E9-4705-9D91-E8BD1D12CF1E/0/LIFEBrochure.pdf

Another Good Deed Done.

It is about Enjoying Life, not about Exchange Payout with your Life.

When it comes to buying insurance, you must have an objective for each policy you purchased and it should be a long term plan which you can afford to paid till premium is no longer required for the protection.

The best ROI for insurance is to go heaven as early as possible. *touch wood*

That will definitely not be the main objective unless there was a plan to get Good ROI with that.

So, make sure anyone who purchase insurance do not overstretch themselves.

An example is you can use your Medisave to pay for your Integrated Shield Plans.

https://www.moh.gov.sg/content/moh_web/home/costs_and_financing/schemes_subsidies/Medishield/Medisave-approved_Insurance.html

It is about Enjoying Life, not about Exchange Payout with your Life.

Saving is not about living a pauper's life and forgoing life's pleasures - saving is a lifestyle.

A Right Question is asked when the Right Post is posted.

Hi there,

1. Buy what you need and not what you want.

2. Have a standing order that auto transfer 50% or more of your salary to a bank account you will use for fix deposit and equity investment. (50% is recommended, it can be lesser)

3. Keep to a proper life style by buying discounted items or discounted offers on drinks or food.

4. Use your annual leave to look for part time job which pays good money.

5. Travel at a discount by booking n planning yourself. If you can get a sponsor, even better.

6. Insurance wise, you can focus on what you need at your age and your main objective. eg term insurance which give Good Coverage at a lower fee.

7. Buy HDB before getting your private property. Use the MOP of 5 years to save and grow your capital.

Do all these and you will be richer then many that just spend without proper planning because they pay more for long term Stuffs tt can be Good n Discounted.

Another Good Deed Done!

What does 1 lot of 100 units means to Retailer?

This post is related to the article posted below. http://www.straitstimes.com/news/business/markets/story/sgx-prepares-market-smaller-lot-size-20150113 Taking UOB EOD on 14/01/2014. If we look at market depth now.

When 1 lot is 1000 unit, buyQ 10 lot at 23.23 sellQ 31 lot at 23.34

When 100 unit kicks in, it should be

buyQ 100 lot at 23.23 sellQ 310 lot at 23.34

The buy up at $23.33 for 1 lot wll be 100unit * $23.33 = $2333 + $0.9332 (0.04%) + min amt $20 = $2353.93 but you only get $2333 in your CDP account.

You will need UOB to be selling at $23.76 to merely break even with positive $1.11 less expenses from total cost of  $2353.93 .

Look at the market depth again, I have to add in 23.55 myself for illustration and 23.54 will have 70lot waiting to be clear to even see 23.76 The above calculation means, for retailer who buy in small lot TO TRADE, it will take quite a distance to see profit. Is it really feasible for trading? You have the answer to yourself.

How about people who are doing long term investing? In this case, we will need a different mindset. You will want your money to work for you by compounding the dividend back into your investment. Your main concern will not be how long and at what price to break even. BUT buying at an EXPENSIVE PRICE would be a mistake mainly because what you compounded might not exceed your loss. So when it comes to investing, Always Buy at a Bargain. To make the illustration simple, Let's said UOB give a consistent dividend yield of 2.964% and the investor have decided to let the money grow for 10 years with $2333 worth of units in the CDP account.
**To be honest, 2% cannot fight inflation so please don't buy UOB because of an example I shown.   I choose UOB because it was discussed in a FaceBook post.

After 10 years, the investor will get an ESTIMATED return of 34% return less expenses from the above illustration. This illustration return does not include any capital appreciation (if any).

This  illustration is consider a profit ONLY if at the time you decided to cash out, there is no losses in your position.

At the end of this article, you will understand the smaller lot size is usually not suitable for people to trade but more for people who have a long term investment plan. Invest Safely Everyone! Another Good Deed Done.

My views on Keppel Corp

My views on Keppel Corp and I am bearish bias.

Even though Keppel secures contract to perform second FLNG vessel conversion for Golar on 31st Dec, it is still closely related to oil prices fluctuation.

At $8.35 the dividend yield is around 4.7%

The marco event that cause the downside this time is oil so naturally Keppel Corp is affected badly.

The last upside is based on share buy back by management and one sub stantial share holder Temasek Holdings.

From jan 2015, there isn't any more share buy back activities.

So naturally, when the negative news come the price came lower.

Will it slide further?

Yes, if oil price keep going south. Small nibble by investor will not push up the price.

After this gap down, it will shake off any non-investors if there is any.

I have hope for 19th jan 100 lot size to come in play to inject liquidity into blue chips.

will keppel be one of the selected one? 

Chances are high as long as oil does not drift further south. 

Always know what you are investing in and why you invest into it with a good yield and you will have peace of mind.