SembCorp Industries

(09-12-2014, 06:21 PM)Max12345678 Wrote: Share price looks like falls from a cliff, don't know where is the bottom?

Nobody knows where is the bottom, so don't bother to try finding that out. You should take note that the company is actively buying back its shares recently. I take it that at current price, the mgmt thinks it is a good buy.

(19-11-2014, 01:31 PM)thor666 Wrote:

(19-11-2014, 11:44 AM)greengiraffe Wrote: SCI 7 & 12 yr bonds indicative 3% and 3.7% anyone?

New Bond Issue...

Seriously I don't understand why would anyone buy these long dated bonds at such low yields...

Better off buying mother shares right?

GG

Hi gg,

I am considering getting bonds for my mom as she may not have holding power. I think that might be a reason for people to buy bonds.

Also, very unlikely to happen, but if Sci goes bankrupt, bondholders will be paid first before shareholders.

Personally I would prefer to get stocks but I cannot guarantee for her the volatility.

Sent from my D5503 using Tapatalk

Well, a suggestion for you to guarantee, but consider this suggestion only if your mum wont touch this money for the next 7 years.

Ask your mum to loan you the money. You can pay her the interest of guaranteed 3% coupon from your pocket, you get the use of money for 7 years, which you can invest it in any way you like. If your mum has to loan money to someone, i think it is better to loan it to you than to SCI

(09-12-2014, 08:24 PM)safetyfirst Wrote:

(19-11-2014, 01:31 PM)thor666 Wrote:

(19-11-2014, 11:44 AM)greengiraffe Wrote: SCI 7 & 12 yr bonds indicative 3% and 3.7% anyone?

New Bond Issue...

Seriously I don't understand why would anyone buy these long dated bonds at such low yields...

Better off buying mother shares right?

GG

Hi gg,

I am considering getting bonds for my mom as she may not have holding power. I think that might be a reason for people to buy bonds.

Also, very unlikely to happen, but if Sci goes bankrupt, bondholders will be paid first before shareholders.

Personally I would prefer to get stocks but I cannot guarantee for her the volatility.

Sent from my D5503 using Tapatalk

Well, a suggestion for you to guarantee, but consider this suggestion only if your mum wont touch this money for the next 7 years.

Ask your mum to loan you the money. You can pay her the interest of guaranteed 3% coupon from your pocket, you get the use of money for 7 years, which you can invest it in any way you like. If your mum has to loan money to someone, i think it is better to loan it to you than to SCI

It's a good idea only if he can guarantee to return his mum the money on demand anytime @ current market's price of the bond.

(09-12-2014, 07:47 PM)Ben Wrote:

(09-12-2014, 06:21 PM)Max12345678 Wrote: Share price looks like falls from a cliff, don't know where is the bottom?

Nobody knows where is the bottom, so don't bother to try finding that out. You should take note that the company is actively buying back its shares recently. I take it that at current price, the mgmt thinks it is a good buy.

The company bought back shares in Nov/Dec 2013 and Jan/March 2014 as well, when its shareprice was at 5.20-5.30 range. Did it think it was cheap then? My guess is that the current sharebuyback is seasonal in nature and is more for replenishment of its treasury share bank to get ready for share/option awards for 2014, come mid 2015.

(09-12-2014, 08:56 PM)Temperament Wrote:

(09-12-2014, 08:24 PM)safetyfirst Wrote:

(19-11-2014, 01:31 PM)thor666 Wrote:

(19-11-2014, 11:44 AM)greengiraffe Wrote: SCI 7 & 12 yr bonds indicative 3% and 3.7% anyone?

New Bond Issue...

Seriously I don't understand why would anyone buy these long dated bonds at such low yields...

Better off buying mother shares right?

GG

Hi gg,

I am considering getting bonds for my mom as she may not have holding power. I think that might be a reason for people to buy bonds.

Also, very unlikely to happen, but if Sci goes bankrupt, bondholders will be paid first before shareholders.

Personally I would prefer to get stocks but I cannot guarantee for her the volatility.

Sent from my D5503 using Tapatalk

Well, a suggestion for you to guarantee, but consider this suggestion only if your mum wont touch this money for the next 7 years.

Ask your mum to loan you the money. You can pay her the interest of guaranteed 3% coupon from your pocket, you get the use of money for 7 years, which you can invest it in any way you like. If your mum has to loan money to someone, i think it is better to loan it to you than to SCI

It's a good idea only if he can guarantee to return his mum the money on demand anytime @ current market's price of the bond.

Thank you Temperament and safetyfirst. After checking out my moms profile, she has enough for a small portfolio, with sufficient cash holdings. I would be creating one based on mainly blue chip and mainboard stocks (generally safe and defensive stocks) for an estimated dividend yield of 4-5%. Will be great for her to have some small allowance since I can easily cover her emergency savings were she required to use for urgent case.

I'm still open to bonds myself. Probably will look at a small position in vanguard/Aberdeen bond etf as long term diversification.


Sent from my iPad using Tapatalk

Averaged down again today , let's see how low will it drop ?

it will stop dropping when oil prices stabilizes or rebounds I think

IMHO I observed that how low a stock can go is highly correlated to Price to Book. On the contrary how high it can go has little bearing on Price to Book.

(16-12-2014, 10:52 AM)specuvestor Wrote: IMHO I observed that how low a stock can go is highly correlated to Price to Book. On the contrary how high it can go has little bearing on Price to Book.

Any expert here can share if the tariffs for electricity will drop? I read somewhere there is big supply onstream esp in Singapore

Hi specuvestor, in addition to using the simple pb ratio, for serious investing, it is imperative to do valuation of the company shares ie sum of parts and determine the 'exact' pb and hence margin of safety. Personally i realise that doing this exercise will tend to increase my comfort level to purchasing equities both in a down market as well as in a upswing n will more often than not translate to limiting my downside in these cases.