Investment Portfolio

Natural Gas Sector, 5 stocks: http://www.forbes.com/sites/greatspecula...ral-gas/2/

Activist Stocks, 5 stocks : http://www.billionairesportfolio.com/wp-...tivist.pdf

Pharmaceuticals, 5 stocks : http://investorplace.com/2015/03/5-pharm...YGRC9Iw-po

BioTech Stocks, 5 stocks : http://www.wsobserver.com/biotech-stocks...d/7218816/ + http://etfdailynews.com/2015/05/19/abbvi...om-to-run/

Experience tells me one cannot get very wealthy starting with small capital base AND diversification.

To get very rich with little capital, the portfolio have to be very concentrated AND stocks must go up a lot.
So need to have high conviction and conviction must be built by deep research.

Of course, not asking you to concentrated the portfolio at the onset. Buy 5-10 then slowly concentrated by pruning the losers/ harvest matured fruits into
the high potential/high conviction ones.

(18-06-2015, 10:50 PM)opmi Wrote: Experience tells me one cannot get very wealthy starting with small capital base AND diversification.

To get very rich with little capital, the portfolio have to be very concentrated AND stocks must go up a lot.
So need to have high conviction and conviction must be built by deep research.

Of course, not asking you to concentrated the portfolio at the onset. Buy 5-10 then slowly concentrated by pruning the losers/ harvest matured fruits into
the high potential/high conviction ones.

Thanks alot for your reply !

Many of us here rely on Google and annual reports too. How diversified and how much capital to risk is dependent on your own temperament. For you one additional layer of factor to consider is how much accountability is there to your parents, their risk appetite, retirement goals and time to their retirement.

As for the idea of buying an island, just scrap it. there are others like investment return to be 80% of your family's working income or something. An island is rarely a cash generative asset, unless you hit a gold mine or oil field

(18-06-2015, 11:06 PM)CaiGengYang Wrote:

(18-06-2015, 10:50 PM)opmi Wrote: Experience tells me one cannot get very wealthy starting with small capital base AND diversification.

To get very rich with little capital, the portfolio have to be very concentrated AND stocks must go up a lot.
So need to have high conviction and conviction must be built by deep research.

Of course, not asking you to concentrated the portfolio at the onset. Buy 5-10 then slowly concentrated by pruning the losers/ harvest matured fruits into
the high potential/high conviction ones.

Hi Opmi,

Thanks alot for your reply ! So what are your suggestions for my portfolio. Is it too diversified and how much capital would you risk putting into a portfolio like this ? Unfortunately I am not a hedge fund manager in New York, just an individual investor in Singapore and don't have access to tons of super-high speed computers and research. The only thing I have is Google ...

If your objective is to get very rich, then 20 stocks are too many for a concentrated portfolio. As I said, start with 10 then cut to 5.

Given that you are copying from some portfolios posted on some articles, I guess you haven't paid enough tuition fees yet. So it is better for you to learn the ropes first then thinking of getting very rich. So the concentrated portfolio not for you now.

(18-06-2015, 11:15 PM)CY09 Wrote: Many of us here rely on Google and annual reports too. How diversified and how much capital to risk is dependent on your own temperament. For you one additional layer of factor to consider is how much accountability is there to your parents, their risk appetite, retirement goals and time to their retirement.

As for the idea of buying an island, just scrap it. there are others like investment return to be 80% of your family's working income or something. An island is rarely a cash generative asset, unless you hit a gold mine or oil field

Island is a bad idea coz everything need to be imported.

(18-06-2015, 11:15 PM)CY09 Wrote: Many of us here rely on Google and annual reports too. How diversified and how much capital to risk is dependent on your own temperament. For you one additional layer of factor to consider is how much accountability is there to your parents, their risk appetite, retirement goals and time to their retirement.

As for the idea of buying an island, just scrap it. there are others like investment return to be 80% of your family's working income or something. An island is rarely a cash generative asset, unless you hit a gold mine or oil field

Hi CY09, In answer to your questions

(18-06-2015, 11:20 PM)opmi Wrote:

(18-06-2015, 11:06 PM)CaiGengYang Wrote:

(18-06-2015, 10:50 PM)opmi Wrote: Experience tells me one cannot get very wealthy starting with small capital base AND diversification.

To get very rich with little capital, the portfolio have to be very concentrated AND stocks must go up a lot.
So need to have high conviction and conviction must be built by deep research.

Of course, not asking you to concentrated the portfolio at the onset. Buy 5-10 then slowly concentrated by pruning the losers/ harvest matured fruits into
the high potential/high conviction ones.

Hi Opmi,

Thanks alot for your reply ! So what are your suggestions for my portfolio. Is it too diversified and how much capital would you risk putting into a portfolio like this ? Unfortunately I am not a hedge fund manager in New York, just an individual investor in Singapore and don't have access to tons of super-high speed computers and research. The only thing I have is Google ...

If your objective is to get very rich, then 20 stocks are too many for a concentrated portfolio. As I said, start with 10 then cut to 5.

Given that you are copying from some portfolios posted on some articles, I guess you haven't paid enough tuition fees yet. So it is better for you to learn the ropes first then thinking of getting very rich. So the concentrated portfolio not for you now.

Yup, sounds about right ... I'll probably start with about 10 first. How many sectors would you suggest? 10 stocks in 2 or 3 sectors ?

(18-06-2015, 11:39 PM)CaiGengYang Wrote:

(18-06-2015, 11:20 PM)opmi Wrote:

(18-06-2015, 11:06 PM)CaiGengYang Wrote:

(18-06-2015, 10:50 PM)opmi Wrote: Experience tells me one cannot get very wealthy starting with small capital base AND diversification.

To get very rich with little capital, the portfolio have to be very concentrated AND stocks must go up a lot.
So need to have high conviction and conviction must be built by deep research.

Of course, not asking you to concentrated the portfolio at the onset. Buy 5-10 then slowly concentrated by pruning the losers/ harvest matured fruits into
the high potential/high conviction ones.

Hi Opmi,

Thanks alot for your reply ! So what are your suggestions for my portfolio. Is it too diversified and how much capital would you risk putting into a portfolio like this ? Unfortunately I am not a hedge fund manager in New York, just an individual investor in Singapore and don't have access to tons of super-high speed computers and research. The only thing I have is Google ...

If your objective is to get very rich, then 20 stocks are too many for a concentrated portfolio. As I said, start with 10 then cut to 5.

Given that you are copying from some portfolios posted on some articles, I guess you haven't paid enough tuition fees yet. So it is better for you to learn the ropes first then thinking of getting very rich. So the concentrated portfolio not for you now.

Yup, sounds about right ... I'll probably start with about 10 first. How many sectors would you suggest? 10 stocks in 2 or 3 sectors ?

You need to focus on the industry which you have the most info or working experience on. Buffett circle of competence applies here. go out of the circle, prepare to pay for transgression.

e.g. for the past 10 years, lots of VBs here made money on property stocks coz the info is publicly available and the calculation is relatively simple.

(18-06-2015, 11:34 PM)CaiGengYang Wrote:

(18-06-2015, 11:15 PM)CY09 Wrote: Many of us here rely on Google and annual reports too. How diversified and how much capital to risk is dependent on your own temperament. For you one additional layer of factor to consider is how much accountability is there to your parents, their risk appetite, retirement goals and time to their retirement.

As for the idea of buying an island, just scrap it. there are others like investment return to be 80% of your family's working income or something. An island is rarely a cash generative asset, unless you hit a gold mine or oil field

Hi CY09, In answer to your questions, my parents are already long retired - they probably have anothe 10-20 years to go. I am their only child so have 100% accountability, their risk appetite I would say is conservative to average. In terms of networth, we probaby have a combined net worth, house, car, stocks, investments, cash included of about 25-30 million USD. Retirement goals : Simply to grow family wealth conservatively ... A small island for fun would be cool if I can afford it 25 years down the line, who knows? My personal dream is to achieve a net worth of 100 - 200 million USD in my lifetime, almost entirely through trading and investing (as that is I believe the best way to get rich short of starting my own company and eventually to migrate to either America, Canada or a Western European country to have a family. I spend very little money, am single and have no particular vices so expenses are not such a big problem. Assuming you were in my position, how much capital would you plow into such a portfolio or would you fancy such a portfolio or if not, what kind of portfolio would you create ? Thanks alot !

Cai GengYang

by posting that kind of net worth, a lot of people will come asking to drink coffee with you...hahaha...

trading and investing is one of the fastest way to lose a family wealth. esp you dont earn it yourself.