(31-05-2014, 08:11 PM)Retired@52 Wrote: In the past I ignored my own understanding of the warning signs in those S-Chips that I owned. As a result I lost a few Hundred-Thousand Dollars, (my hard-earned Retirement Fund).
I'm still licking my wounds. The warning signs were there but I looked at the false "Fundamentals" and just "buy when people were fearful".
Those of you who are still vested in this company may like to take note of some of the warning signs.
1) According to the financial statement as on 31.03.14 its Cash & Cash equivalents was 388,857,000 RMB which is about SGD 67M. The current market cap. is about SGD 18M.
If I were the boss, I'll take SGD 20M and buy up the shares and delist the company and take the cash box of about SGD 67M. Is this not a warning sign?
2) 30.04.14 > announcement > Resignation of Chief Financial Officer, Tso Sze Wai, Jackson.
3) 26.05.14 > SU QINGYUAN, EXECUTIVE DIRECTOR continued to disposed off some of his shares.
4) There are more which you can see from SGX website.
The above look very similar to those S-Chips I owned & Lost.
Not Vested.
Another example after it hits home sadly which we see someone talking pure logic, so enough warnings have been given. Again there will be a few who argue that not all S-chips are like that. I understand but as retail investors we need to use probability to be on our side. And S-Chips field is full of landmines not worth venturing. We can try to play with dice but not something really bias.