Monday, January 19, 2015

Wa, Liquidity in the SGX!

Wa, I think this reduction in the board lots is really giving SGX a lot more liquidity than what I usually see last time! It feels so unusual to me, ahaha!

I went shopping today and picked up these counters at my target prices in less than an hour (from my list yesterday):

CSE Global
Global Logistic
Golden Agri
SATS
Second Chance
World Precision

They are all just nibbles which might lead to bigger things, but I think the entry prices are pretty attractive already. However, now that I have some skin in the game, I will be watching theses tickers a lot more carefully!

I see a lot of chionging into the big names like Keppel and Sembcorp. I also see all the REITs going green. I think REITs these days are being over-touted to uncles and aunties as the replacement for second property investments.

I personally believe that REITs are better than second property investments in terms of total returns, but they are both different and I can see how things might end up very badly for the retail herd unfamiliar with the massive volatility of stocks. Most people that are not familiar with how volatile things can get will not have the stones to hold through a massive drop.

Anyway, it doesn't really bother me. Most REITs look fair or over-valued to me now, so I'm being very selective about them. If other investors cannot take the heat when it's finally going to be uncomfortably hot, then it will be people like me that will so kindly appear to offer to help them unload their "nonsense property investment" at deep discount prices.

Buy low, sell high! Buy high, sell higher also can, but do you really think you're good enough? I know I'm not, I am but a tiny grain of sand on this massive beach. I'm a price taker, not a market mover, haha.

4 comments:

  1. Hi GMGH

    Did you attempt to buy them using the 100 shares offered by the market today?

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    Replies
    1. Hi B!

      Yes, I bought exactly 100 shares for each of those counters. It really is a nibble!

      So I can confirm that the 100 shares / board lot is already in effect.

      I use SCB as my broker, so no commission fee nightmares for me :)

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    2. Man, im trying to get keppel corp, unfortunately the broker fee is $10, so i will have to buy it -$0.10 from the price i wanted,.

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    3. Hi jfree,

      Don't be disheartened! A few cents here and there won't make a huge difference if we are in it for the long run! I think it is better to be in and slightly off your mark, rather than to miss the boat altogether!

      At least that's what I tell myself when it doesn't reach my target price and I have to chase a bit :P

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