New to investing

[opmi]

1st things a newbie invests must correct these 2 misconceptions - "low share price equal to cheap" AND "with my small capital, I can only afford low-priced shares"

If you can do above 2, I think you are already better than 50% of the people who invests in shares...hahaha...

[chialc88]

Good morning, valuebuddies.
You will be a beautiful person,
  as long as you see the beauty in others.
   - Bryant McGill

With SGX 100 shares per lot.
You could own a great bluechip such as SPH at S$275.

The stars seems to be aligned and you should be doing well in current market.

Just don't buy any S-Chip,
read a little bit more in vb.com and identify your favourite stocks.

Instead of spend too much time in reading all the IPO and AR,
focus on your favourite stocks and kick start asap.

[d.o.g.]

With SGX 100 shares per lot.
You could own a great bluechip such as SPH at S$275.

IMHO it is dangerous to simply buy any one "blue chip" stock given that any business can be blindsided by industry disruption and mismanagement can have a big impact even on large, stable corporations.

The STI ETF would probably be a better use of starting capital, if only to understand the inherent volatility in the stock market.

As for SPH itself, personally I think it is overvalued given the clear challenges in the newspaper industry and the less-than-stellar management. Industry problems are bad enough, unproven management just compounds the issue. SPH is worth more than zero but personally I think the "safe" price point should reflect only the value of its real estate and financial investments.

In the long term, I doubt the media side of it can be managed well enough to earn more than nominal profits; the PAP still needs a mouthpiece so it won't be allowed to die, but I don't think it will be allowed to be fully commercial and profit-driven, and the commercial peers overseas are struggling as it is. Mediacorp might well privatize it of course, as was done for SMRT, but that's another story.

As usual, YMMV.

[weijian]

Could you guys share on how you all got started with investing and progressively moved further to become good at investing ?
How do i get started , having set up a cdp account and a trading account ?
My capital is rather small 2k (NSF) , hoping to build it up in the near future , and eventually with a real salary amass enough capital to buy shares. Should I get a penny stock , reit or etf ?
Where do i get started on picking a penny company /reit / etf to analyse ? which one should i choose out of the many available? random or filter through all?
Your inputs are greatly appreciated.

hi slpypnda,
What is really your motivation for starting this early? IMHO, your best piece of advice (and the only 1 you should consider now), is the one that comes from yeokiwi, right at the start of the thread.

[slpypnda]

Could you guys share on how you all got started with investing and progressively moved further to become good at investing ?
How do i get started , having set up a cdp account and a trading account ?
My capital is rather small 2k (NSF) , hoping to build it up in the near future , and eventually with a real salary amass enough capital to buy shares. Should I get a penny stock , reit or etf ?
Where do i get started on picking a penny company /reit / etf to analyse ? which one should i choose out of the many available? random or filter through all?
Your inputs are greatly appreciated.

hi slpypnda,
What is really your motivation for starting this early? IMHO, your best piece of advice (and the only 1 you should consider now), is the one that comes from yeokiwi, right at the start of the thread.

I guess is really to gain experience and effectively learn investing so that once i amass sufficient capital I can start investing asap to capitalize on opportunities-good stocks that are available/ the next economic crisis , as well as the compounding effect

[Temperament]

{The Biggest Lie In Investing That You Believe In | TEDx Talk}

https://www.youtube.com/watch?v=FVrPMEFhF2M

What do newbies think?

And what do U think?

True or false?

[TTTI]

{The Biggest Lie In Investing That You Believe In | TEDx Talk}

https://www.youtube.com/watch?v=FVrPMEFhF2M

What do newbies think?

And what do U think?

True or false?

well, putting aside the actual content, which is what I think you're really asking about....

You know who's the speaker?

Alessio Rastani

And he's IMO, a total idiot.
I watched this link for all of 20 secs until I realized it's this idiot again.
Then i decided to cut loss on that 20 secs and not waste anymore precious time.

Go google his name and you'd see what I mean.
Here, I'd start you off:
http://www.crossingwallstreet.com/archiv...rs-on.html

He famously spoke about how he's makes "a killing" during financial crises, and how "Goldman Sachs rules the world" and all that tough talk.


In reality this guy lives in a $300k house, which isn't even in his name but in the name of his partner.
The only asset he has to his name is a "public speaking business" that is 16k pounds in the red.
"Goes to night dreaming of a recession.." LOL!

http://www.heraldsun.com.au/business/is-...e819e25ea2

That's why I always find out who's the speaker first before I pay any attention.
In this day and age, there are too many false gods.
Amazes me why people pay attention to anyone at all, who's willing to stand up and talk.
Empty vessels make the most noise.

The only lesson that Alessio Rastani taught me, is that we should always pay attention to who we pay attention to.

[specuvestor]

I love this quote "we should always pay attention to who we pay attention to."

Not everyone who talk or type has insights to learn from.

[Temperament]

The background of the messenger may be important (in fact we may often erred because of the high esteem we give to the messenger - think of Bernie Madoff), but actually the message is the most important.

i like to think we can learn something from "The Bad, The Good & The Ugly" or Tom, Dick or Harry if we only listen with the heart.

Besides most of the time, in theory, there is no difference from practice, in practice there is difference.

Have U tried what he said?

And don't ask me, because your result may be different though we may have tried what he said.

So i think it's more important paying attention to what he says rather than who says it - any way as a DIY investor i shall always try to remember that (try to remember all the cognitive bias i have if possible).

[weijian]

The wise man is the one who differentiates the principles out of the thousands of methods out there.
Similarly, the wise man is the one who differentiates the message, out of the thousands of messengers out there.

So how do we differentiate the message? The most obvious is the filter out the messenger for a start (as advocated by TTTI). Then step2 IMO, would be to handle the biases that we all have (as advocated by Temperament). In our age, it seems power is having the ability to filter correctly and no more, the ability to have access to information/knowledge.