As from April 2013 my Journey in Investing is to create Retirement Income for Life till 80 years old for two over market cycles of Bull and Bear.

Click to email CW8888 or Email ID : jacobng1@gmail.com



Welcome to Ministry of Wealth!

This blog is authored by an old multi-bagger blue chips stock picker uncle from HDB heartland!

"The market is not your mother. It consists of tough men and women who look for ways to take money away from you instead of pouring milk into your mouth." - Dr. Alexander Elder

"For the things we have to learn before we can do them, we learn by doing them." - Aristotle

It is here where I share with you how I did it! FREE Education in stock market wisdom.

Think Investing as Tug of War - Read more? Click and scroll down



Important Notice and Attention: If you are looking for such ideas; here is the wrong blog to visit.

Value Investing
Dividend/Income Investing
Technical Analysis and Charting
Stock Tips

Monday, 17 January 2011

Value Investing Made Simple by Uncle Chua (2)

Read? Value Investing Made Simple by Uncle Chua

  1. Can you be the next Uncle Chua?
  2. What can we learn from Uncle Chua?

Let Uncle8888 continues with the story with his favourite 3M's theory. Read? 3M's Theory.

Method

Complicated method of stock picking is NOT pre-requisite for making money in the stock market. A simple method like buying blue chips that pay dividends slowly over the bear market is equally effective in making lots of money over long run. This method may look simple; but it is not easy to do it.

One guy said: "Blue chips is no brainer when market collapses."

Uncle8888 replied: "When market collapses, some investors lost their brains!" (I will come to this at later part of this post)

Money

You need enough money to slide with Bear to buy slowly. (That was my biggest mistake in 2007/2008 for not keeping enough troopers to fight the Bear. Alamak!)

Mind

Even you may have enough money but you may not have the GUT like Uncle Chua to keep buying when the stock market keeps going down. (I knew two guys during the market low at Mar 09 were congratulating themselves for staying in cash: one at 90% and the other at 100%!)

"When market collapses, some investors lost their brains!"

Conclusions:

To be the next Uncle Chua, we must start focusing on building up Money and preparing our Mind for the next Bear and also don't worry too much on Method.

2 comments:

  1. Hi Unc8888,
    I totally agree with this post of yours. Hope I can be gutsy should the opportunity present itself.

    Good luck!
    ~K

    ReplyDelete
  2. Hey,
    I have been doing this thing for more than 22 years.
    But I also have been doing "stupid things" in between.
    The difference is I have done more good things than stupid.
    And I am still around so......
    You got the picture or not?

    ReplyDelete

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