It's all about the dum dum dada dum dum...
If you're an avid observer of the market, you'd understand why I'm not quite enthusiastic anymore to post my stock positions. I lost some, if not all, my optimism for the market to take some drastic move up in the short term. To say that the market is bleeding is definitely an understatement. This business is really not for the faint of heart. However, while all the others are stampeding out wherever exit they may find the nearest, I decided to go long. As a matter of fact, I increased my positions after I got both my last pay from my previous company and my first paycheck from my current company.
You say I'm crazy. I say, it's a matter of perspective really. If your position in the market involves preserving your capital to be the highest priority, then getting out of the market is probably your best choice. The charts are ugly, the optimism is waning and everywhere you look there's carnage.
And then there's madness. Stocks which had been losing or missing earnings targets climb new highs, accumulating 30x and more price per earnings. The ones whose fundamentals are pretty much intact are taking nosedive plunge. Sometimes I look for reasons. But I guess reason is not part of the game in these instances.
Still, why I poured in some of my hard-earned cash into a crazy market? Because I believe even the craziest markets will correct eventually and soon realize it's folly. Or it could go the other way around (that's when I will come to realize my own folly).
Would I recommend getting involve in the market? I'd say, Yes and No.
Id say Yes, if you have the heart to stick to your trading (or investing) plan and working them out to your best advantage. I am not in the position to talk about these things, so I'm not gonna expound more on that (Try searching "Trading vs Investing". You'll get a lot of ideas from experts and "experts"). For the noobs, individual stock-picking is a bit more risky than mutual funds. MFs are managed by expert managers who understand the market. If you picked a good MF, there's always a good chance that you will constantly beat the market index ( see http://icap.com.ph/factsfignavps.asp for the comparisons of MFs in the country today).
I'd say No, if you have other alternatives that will provide a decent return with relatively lesser risk. Lesser risk means a feeling that you can sleep perfectly well without worrying how the market will react to Libya's persistence to create bad news everyday for example.
On that last note, perhaps it's worth noting that the Philippines, through the Bureau of Treasury is offering a 5-year and 10-year RTBs (Retail Treasury Bonds) at 6% and 7.375% coupon rates respectively starting last February 22 and will end on March 1 this year. Issue date is on March 3, 2011. You can call BPI hotlines to inquire of the offering.
So despite the market being a bitch, I guess it's really an opportunity to position in the undervalued issues. Or as they say, if a window closes, lots of others would surely open. But make sure you'd keep your watch to those uninviting windows, as they may throw open one day and you'd surely do not want to be the last one to get in.
You say I'm crazy. I say, it's a matter of perspective really. If your position in the market involves preserving your capital to be the highest priority, then getting out of the market is probably your best choice. The charts are ugly, the optimism is waning and everywhere you look there's carnage.
And then there's madness. Stocks which had been losing or missing earnings targets climb new highs, accumulating 30x and more price per earnings. The ones whose fundamentals are pretty much intact are taking nosedive plunge. Sometimes I look for reasons. But I guess reason is not part of the game in these instances.
Still, why I poured in some of my hard-earned cash into a crazy market? Because I believe even the craziest markets will correct eventually and soon realize it's folly. Or it could go the other way around (that's when I will come to realize my own folly).
Would I recommend getting involve in the market? I'd say, Yes and No.
Id say Yes, if you have the heart to stick to your trading (or investing) plan and working them out to your best advantage. I am not in the position to talk about these things, so I'm not gonna expound more on that (Try searching "Trading vs Investing". You'll get a lot of ideas from experts and "experts"). For the noobs, individual stock-picking is a bit more risky than mutual funds. MFs are managed by expert managers who understand the market. If you picked a good MF, there's always a good chance that you will constantly beat the market index ( see http://icap.com.ph/factsfignavps.asp for the comparisons of MFs in the country today).
I'd say No, if you have other alternatives that will provide a decent return with relatively lesser risk. Lesser risk means a feeling that you can sleep perfectly well without worrying how the market will react to Libya's persistence to create bad news everyday for example.
On that last note, perhaps it's worth noting that the Philippines, through the Bureau of Treasury is offering a 5-year and 10-year RTBs (Retail Treasury Bonds) at 6% and 7.375% coupon rates respectively starting last February 22 and will end on March 1 this year. Issue date is on March 3, 2011. You can call BPI hotlines to inquire of the offering.
So despite the market being a bitch, I guess it's really an opportunity to position in the undervalued issues. Or as they say, if a window closes, lots of others would surely open. But make sure you'd keep your watch to those uninviting windows, as they may throw open one day and you'd surely do not want to be the last one to get in.
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