Dear Traders,
This Saturday, I had the pleasure to attend the I Capital AGM at Sime convention center. Mr Tan gave a lively presentation and explained the reasons he was holding the shares in his I Cap fund. He also answered difficult questions from the audience about the world wide stock market collapse.
There was a large crowd of fearful and unhappy investors looking for guidance and someone to tell them what to do. .
They were happy when he said the KLSE would hit 2000 but laughed when he said maybe not in his lifetime. He also compared the politicians running the country as monkeys in a zoo. He has a lot of courage to show a video clip of monkeys dressed as politicians jumping around in a cage with no plan and bikkering among themselves. If he did so in public under the former PM he might have been arrested and his newsletter and fund closed down.
I am making a contrary opinion here: I see more openness in Malaysia as people are not afraid of speaking their minds in the media, Malaysia qini and in public.
This should ultimately be bullish- but not immediately. Nothing prospers in an atmosphere of fear and suppression of ideas
Because of the overwealming mood of fear and pessimism in the large crowd of over 600 at the AGM , I feel we could have a short term rally up until budget day.
Last Friday I sold all of our MayBank shares for all managed account clients and myself. We took a small loss and our dividends covered some of the loss. I sold on the rally last week.
I sold because of the management blunder in their Indonesian aquisition and Bank Negara killing the deal. It looks like Bank Negara is better managed than Maybank.
Even after Bank Negara killed the deal top Maybank management are persisting in their folly and even trying to bring in politicians to overrule Dr Zeti of Bank Negara. Zeti has stood her ground so far
In companies as well as stockmarkets managers and players ego becomes seduced by success- this is what is happening in Maybank. When the time is right I will buy some value companies with good management, dividends, cash flow and the ability to raise prices with inflation and be quick to exit on any danger sign with the funds raised from this sale.
The train is about to leave the station. I congratulate all of you who joined the Man Essential fund. There are a few more seats and the train is scheduled to leave on 8 August. Once the train leaves the station you will have to wait for the next train in November. There is likely to be a lot of volatility in world stock markets/oil/ precious metals/currencies in the months ahead and a ticket on the Man train can put you on the right side of these trends.
This Saturday, I had the pleasure to attend the I Capital AGM at Sime convention center. Mr Tan gave a lively presentation and explained the reasons he was holding the shares in his I Cap fund. He also answered difficult questions from the audience about the world wide stock market collapse.
There was a large crowd of fearful and unhappy investors looking for guidance and someone to tell them what to do. .
They were happy when he said the KLSE would hit 2000 but laughed when he said maybe not in his lifetime. He also compared the politicians running the country as monkeys in a zoo. He has a lot of courage to show a video clip of monkeys dressed as politicians jumping around in a cage with no plan and bikkering among themselves. If he did so in public under the former PM he might have been arrested and his newsletter and fund closed down.
I am making a contrary opinion here: I see more openness in Malaysia as people are not afraid of speaking their minds in the media, Malaysia qini and in public.
This should ultimately be bullish- but not immediately. Nothing prospers in an atmosphere of fear and suppression of ideas
Because of the overwealming mood of fear and pessimism in the large crowd of over 600 at the AGM , I feel we could have a short term rally up until budget day.
Last Friday I sold all of our MayBank shares for all managed account clients and myself. We took a small loss and our dividends covered some of the loss. I sold on the rally last week.
I sold because of the management blunder in their Indonesian aquisition and Bank Negara killing the deal. It looks like Bank Negara is better managed than Maybank.
Even after Bank Negara killed the deal top Maybank management are persisting in their folly and even trying to bring in politicians to overrule Dr Zeti of Bank Negara. Zeti has stood her ground so far
In companies as well as stockmarkets managers and players ego becomes seduced by success- this is what is happening in Maybank. When the time is right I will buy some value companies with good management, dividends, cash flow and the ability to raise prices with inflation and be quick to exit on any danger sign with the funds raised from this sale.
The train is about to leave the station. I congratulate all of you who joined the Man Essential fund. There are a few more seats and the train is scheduled to leave on 8 August. Once the train leaves the station you will have to wait for the next train in November. There is likely to be a lot of volatility in world stock markets/oil/ precious metals/currencies in the months ahead and a ticket on the Man train can put you on the right side of these trends.
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