Invest 01: The beginning

by - February 29, 2016

A painful toll

I enjoy reading investing journey by YY - in beginning of this year she loudly declares - "Ever since toll rate has increased, I decided not to save money in FDs". [ That time, the silk highways rose to RM1.80 from RM1]

That became the reason I believe I must ride in the money market (while avoiding tolls, I just felt the pain every time I pass thru one) instead of purely saving money. Before, I was more interested in Internet-of-things, innovations, and creativity - non-conventional entrepreneurship.

There was a few dividend counter that interest me but the drop in shanghai composite and DJIA scares me (into buying something too expensive). KLSE was surprisingly resilient. Are we all really such a mature market that all the equity are outstanding and we don't sell any equity we bought? Or maybe because only the rich own the equities?

High goes higher?

Financial advisers around me seem to have this view that however high price I pay today, it will be higher tomorrow. Is that possible? Yes, it is possible if our central banks choose to print money until we can be at par with Indonesia ..... Sure, it will widen the gap between the rich and poor but that will keep the share market and all the gov linked funds intact - anyway, that's not for me to worry.

Is our financial capacity strong?

Back in 2007, Bear Sterns was holding $20 billion daily liquidity just one week before it became $0 and need JP Morgan to come to the rescue - and for Fed to use non-conventional measures to break the panic. For KLSE, the economist would agree that it has been boiling - it's just a matter of trigger point. It is however in my view that panic will not happen this year.

Lyn Select fund

My investment income for this two month is as follow:

Jan - REIT RM 255

Feb - REIT RM 337 | Trade gain 360

It's not a lot and I did make a mistake in buying PARKSON, of which I sold it on the second day when they post a loss quarter.

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