Luck??? When It Comes. Hard To Stop it!

Uncle8888's colleague tio three 4D numbers in the same draw :  2nd prize, Starter and Consolation prizes and he decided to give us lunch treat.

One of us was thick skinned enough to ask for more expensive dish. LOL!

Jumbo garlic steamed prawn. One each! Ha Ha!

Man Ego???

Read? The Fallacy of "How to be Rich" from Investing in Shares (Part 2)

Quote from the above from Rolf: " Some have hidden agenda, some is due to man ego, ..."


Uncle8888 just recently has realized this truth in some investment bloggers after digesting the above post and recalled this post below.


Read? Can recommend some high yield dividend stocks for passive income? (2)


The above post got Uncle8888 banned and deleted!


Hmm ... may be the above post containing some Man Ego's hurting or hitting words?

Tom, Dick and Harry?

Investment bloggers are not any Tom, Dick, and Harry?

They are ahead of commoners in the street?

Feel like eating then go and eat!

Uncle8888 went to JB again this morning because he feels like eating then go and eat lor!

Weekend JB queue is super long. Seow bo?

But, not for a Grasshopper's blood flowing in a Fisherman's body.

Patience and happy can liao!

Hiap Joo's Banana cake

Freshly baked and still hot banana cake with Kopi-O. Shiok!

Top Up CPF SA From CPF OA? Depending On Who You Ask! (9)

Read? Top Up CPF SA From CPF OA? Depending On Who You Ask! (8)

To grow your CPF SA faster; two ways to do it ...

(1) Collect 1.5% more interests from Government by top up CPF SA from CPF OA.

(2) Get your employer to contribute more by focusing on your job through promotion, higher salary, and higher bonuses. Your employer's contribution to your CPF SA can help you to grow at faster rate than 1.5% from the Government and depending on your age group; your employer is helping you to top up your CPF SA from 2.8% to 3.7% for every dollar you earned from your job.

See for yourself ..

Who Are My Trainers in Financial Education?

 

Read? The Fallacy of "How to be Rich" from Investing in Shares (Part 2)

 

1. foolish chameleonFriday, 17 June 2016 at 15:09:00 GMT+8
2.  
3. Rolf,
   
   got part 4, 5, xxx anot?
   you should do one every month.
   i look forward to reading posts like this. it keeps me motivated and grounded at the same time.
   
   so, how would you differentiate between a koyok seller and an genuine trainer?
   and, what are the qualities of an genuine trainer?

 

Those authors of financial and investment books found in NLB branches. He has read both well-known and less known ones. They are Uncle8888's trainers and the best thing is he didn't pay a single cent as course fee.

 

Uncle8888's England not that powerful but he still can read them, understand and manage to put some theories from these books into his real plans, real goals and real practices and achieve some results. Hmm .. who is laughing?

 

 

 

 

Topping Up Parent's Retirement Account : One Good Idea of Compounding Round Trip Of My Money Back To My Own Pocket???

1. Siew Mun16 June 2016 at 07:25:00 GMT+8
2.  
3. My mother who is 77 years old has $100 in her RA. I plan to top up her RA to $60k and get about ~5% compounded interest. I have her nominate her CPF to me. What do you think? Will the future of me thank me?

 

When we live long enough we may have chance to read or witness rare happening but it did happen!

 

We have our parents nominated us as beneficiary and thinking we are the beneficiary till their death and our money topping up to our parents' RA has compounded richer and will be making a full round trip back to our own pocket. Sibei shiok!

 

Chun bo?

 

May be some of us may not be older enough to read those rare happening but did happen when high profile cases were reported in newspaper. There could have been many other smaller CPF accounts that were not reported by news papers.

 

Of course, we knew we are the CPF beneficiary of our parents as we have DIRECTED them to do so. But hor!; our parents can change the CPF beneficiary at anytime without us even knowing.

 

One fine day; our parents may decide they should be doing more good deeds before they passed and nominate their CPF money to their beloved charity. But, on positive thinking; we may change our mindset to think of good karma. :-)

 

There were reported cases of shocking wives who discovered that some other women became the real beneficiary after their beloved and dear hubbies have passed away.

 

Uncle8888 has witnessed one case with his own eyes at his ex-colleague's father wake. His late father's mistress came to his wake and crying so unbearably and even more sad than his mother. That was terrible shock to his mother; children and relatives.

 

In life; something may happen unexpectedly and strangely!

 

 

Life Is Fragile And Can Be Unexpectedly Shorter!

Lady colleague collapsed and died of stroke at 40!

His Retirement Income (2)

Read? His Retirement Income
























Uncle8888 caught up with this guy for an update on his tracking
and the conversation went something like these ....

CW8888: How is your tracking? Can show me?

Guy: Tracked for sometime. Now, stopped tracking. No mood. Sianz! Keep losing on soccer betting!

CW8888: Har! Thought you sibei chun on your betting. You said soccer betting is your "PASSIVE" income. Tracking liao. Bo chun?


CW8888: Human nature is like! Win money can remember and talk loud! Lose money. Tiam tiam and forget it. Like that. You forever made money.

Uncle8888 took the chance to super poke him ...

CW8888: Wah! You give away $10 and win $5. Sibei tok kong!

CW8888: Now, you give me $10 and give you $5 and broadcast for you in the Internet; you sibei tok kong in soccer betting!

CW8888: lai lai. LOL!


The very human nature at play. Win money talk louder. Lose money tiam tiam.

Sometime, Uncle888 tries to understand why some people refuse to track and measure their performance closely. Ego at stake?

He is close to 60!

Human nature doesn't change with age!

How Come Travelling Also Got Round 1, 2, ....?

Like Uncle88888's short-term trading in the stock market in the same stock for Round 1, 2, 3, ....

Same for his travels; he planned for Round 1, 2, 3 .... LOL!

Top Up CPF SA From CPF OA? Depending On Who You Ask! (8)

Read? Top Up CPF SA From CPF OA? Depending On Who You Ask! (7)


Too bad that Uncle8888 only started tracking his CPF SA starting from 2003; otherwise his data set will be more convincing. With only one top from CPF OA to CPF SA; his CPF SA has managed to achieve CAGR @ 7.6% from 2003 to 2010 in eight years.

How is this possible without any further top from CPF OA to CPF SA?

Do we forget that we have annual salary increment and every few years salary adjustment to market practice?

Some years we have larger bonuses and some years lesser.

We also have promotions that will lead to higher salary, higher annual increment, and higher bonuses.

All these higher and higher high will eventually add up.

In this way, our CPF SA will be compounding at more than 4% p.a!

If we are REALLY so scare of not meeting our CPF minimum; then the right and more effective way is to improve ourselves for career advancement so that we will have higher and higher CPF SA contributions over the years till 55.

CPF SA should be able to meet the minimum sum. Right?

Don't Set "Silly" Investing Goals And Let Grasshoppers Laugh At You!

You may have read it somewhere in the cyber world from some investment course trainers that by following certain Buffet-Like investing method or Buffet-Twisted investing method; you can LOOK forward to achieve 15% CAGR.

Chun bo?

Like that. Why are these investment course trainers choose to earn one time course fee when they can join the fund management industries to earn year after year annual fund management fee and annual performance fee?

How to avoid setting "silly" investing goals and let Grasshoppers laugh at you.

Benchmark your investing goals against this table where the world's well known investing Masters have performed,

What did you set for your investing goals?

4-5% CAGR or 15% CAGR?

Day Trip to JB

Small makan!

Lunch at Kota Tinggi and late coffee-break at City Square Mall.

Don't Laugh At Ants When They Looked Far Ahead Of Their Time

Uncle8888 was NOT born as Ant. It was the circumstance and personal encountered with the reality of life that has transformed him into an Ant who looked far ahead of his time and get ready for the reality of life.

No dancing in the Sun!

Long and harsh Winter may come sooner than expected.

Don't envy the Grasshoppers!

Grasshoppers can suffer alone and die alone; but Ants as community cannot drag other innocent members down just because he wants to sing song and merry go round!

The reality of life when AFC 1997/1998 taught his generation the biggest lesson in life and transformation to Ants. Looking around at those folks in his generation, many are Ants!

One Chinese saying: When we don't see coffin with our own eyes; we don't drop our tears!

Seeing with our own eyes is believing!


In 1997-98 Asian Financial Crisis (AFC), I have witnessed few colleagues broke down in tears when they were told that they were lay off. Some were so worried about their mortgage payments.

Read? Will You Try To Pay Off Your Housing Loan ASAP If You Have One? - Revisit


We can see those who regret are likely to be those who didn't expect it coming and haven't adequately plan and prepare for it.

So don't laugh at Ants. When the time arrived; Ants will have the last smile! Life is just like that! Who has the last smile!

You Got Large Investment Portfolio???

This Uncle8888's colleague has been thinking that he has large investment portfolio which is generating investment income to replace his annual earned income.

Oh no!

He was mistaken!

To retire comfortably; it may not be necessary to fully replace our loss of earned income. It may not be easy for average income earners with family commitment to accumulate such a large investment portfolio to generate that level of investment income to fully replace our loss of earned income during retirement phase. Not easy!

Uncle8888 explained that he can retire because his Three Taps Solution is able to generate sustainable retirement income for life to cover his projected household expenses with 2.5% yearly inflationary effect till 2038.

Once Uncle8888 showed him these charts and explained a bit.

Now, he fully understood why he can retire.

Book : The Art of Execution

 

 

 

 

What a losing investment approach looks like?

 

 

See carefully!

 

 

 

 

 

 

 

(Take smaller profits so no big winners)

 

 

 

 

Lucky, Uncle8888's investment approach over the last 16 years in the stock market doesn't look like losing investment approach.

 

But, definitely need improvement to avoid more losing ones!

 

Not sure will more patience help to improve?

 

Fishermen watching for the tide of the day and night investing strategy!

 

A few big losers with a few bigger Winners.

 

In fact, one or two bigger winners can offset the total sum of losers!

 

 

 

  

 

Top Up CPF SA From CPF OA? Depending On Who You Ask! (7)

Read? Top Up CPF SA From CPF OA? Depending On Who You Ask! (6)

Read? It's good to be inefficient


CW8888 said well done to Brolp! Thumb up!


 1. Channeling all our CPF-OA into CPF-SA to capitalise on the higher returns, especially when you haven't been hit by the financial bombs.

Yes, you do get higher returns but SA is not good for much use until years later down the road. In the meantime, there is the present to deal with. What happens if you run into employment issues and have problem servicing your loan? The transfer is irreversible. You can run a very tight and efficient ship but you need to be a very experienced captain who can foresee problems years before they crop up. If not, you sail fast but the moment a severe storm hits you, you're going to have a big issue.

CW8888:

For compounding our FUTURE money @1.5% more for some higher MONTHLY payout starting from 65/67 over the rest of our life is efficient; but be careful. Do the Maths, do we really have that EXTRAs to be put away as FUTURE money.

We can't follow someone's idea without knowing how FAT is their CPF OA.

FAT men can lose some fat; but can THIN men also do so?

The gap of laying our hand on CPF OA at 55 is 10/12 year to 65/67. It can be in lump sum or anytime once yearly, but the higher CPF Life pay-out is on monthly basis.

What if; tio Big C after 55?

Our thinking of future money of higher monthly CPF Life pay-out after 65/67 will change. May be we will regret that we/beneficiaries get so much lesser if we can't make it to 65/67?

Uncle8888 has been through the Big C and knows that CPF Life is not for him!

EC - Facilities. Who get to enjoy the most???

 

 

 

Ah Ger or his retired Dad?

 

Still OK!

 

At least got Ah Pa to help to use the facilities.

 

 Not too bad!

 

 

 

 

 

 

 

Year End Bonus

Uncle8888's company FY ended in March so bonuses are determined and paid in June.

Saw this posting!

Now, more colleagues are concerned of job security than how much bonuses they were receiving.

The real life!

Less Is More - Simplfy it Whatever Thing We Really Care!

Less Is More ... Look at the final number or outcome!

Uncle8888 was no different; he also started by tracking every single expense and transaction to know his household expenses and to manage his budget; but slowly he began to realize that this type of detailed tracking and tabulating was sucking away his time.

It was not much fun doing them either. He was spending up to 2 minutes per expense or transaction doing tracking and recording and slowly these activities added up! Suck man!


Read? Two Bank Accounts? No, You may need Four! - (4)

Less Tracking. More Big?

What we really care or concern is how Big?

Ultimately, we just  need to know how big has this number happened in the past and how often have other similar big numbers also happened?

” If you have a worry problem, do these three things:

1. Ask yourself: “What is the worst that can possibly happen?”

2. Prepare to accept it if you have to.

3. Then calmly proceed to improve on the worst.”


(Carnegie 49)


Once we know the biggest Number, we learned from this wise man of History and help ourselves.

Dedicated one bank account to track all our household expenses to know the Big Number. That is what we need to know to overcome our worries on not having enough money!

Once the Big Number is taken care; the rest of the smaller numbers are peanuts? LOL!

Financial Independence: Passive Income > Household Expenses??? Chun bo?

This guy is really something!

No parroting like many other new investment bloggers coming on board! Ask serious question!


Read? Concerns about passive income

James June 8, 2016 at 10:22 PM

 

I read many blogs and saw many bloggers showing their portfolio focusing on Singapore stocks and also properties as well. I am trying to learn bit by bit and trying to understand the risk as well. Of course I am coming from the very very negative point whereby there is a super huge crash in Singapore economy, maybe worse than 2008/2009, what is their contingency plan?

CW8888:

Old man like Uncle8888 who lives long enough to know the real world of investing and economy so he doesn't want just to depend on investment income to survive. It is a strategy of getting much lower investment return but trade off by having certainty of other sources of cash flow for survival.

 

Passive income > household expense = financial independence?

 

No! No! No! Not for him!

 

Uncle8888 went through this thought in 2008/2009 and knew it well. Many passing days of on and off thinking of Great Depression 2.0 coming might have driven him into his own mental depression sooner than the arrival of Great Depression 2.0!

 

His Three Taps Solution may be the answer for those seeking to answer the familiar passive income concerns in Great Depression 2.0.

 

 

Read? Market Cycles of What???

 

Why You Enjoy Your Vacation And Staycation???

Read? The Reason Why Most Of Us Will Like To Pursue Financial Independence???

Most of us have over-worked for far too long. No?

See for yourself the truth whether you prefer Three Buckets of Time theory or Time Utility theory.

Read? Your 3 buckets of time


We don't measure it doesn't mean it doesn't exist!

How many of us have Bucket List before we kick the bucket or before our heart are willing but our body can't make it?

 

 

As Retail Investors, We Should Do What We Still Have Some Control Over Them!!!

Less Analyzing. More Investing - CW8888


As retail investors, we should do what we still have some control over them; the rest leaves to Mr. Market to fight it out!


Portfolio management, money management and risk control. These we still have some control over them!

Now, see what you like to see. See how you can learn something out of it and may benefit from it!

The 3M's in investing/trading - Method, Mind, and Money Management.

DBS : This time boleh???

I am meant for bigger things in life than this?

Read? I am meant for bigger things in life than this?

The truth is the way of our life may not within our control.

Uncle8888 has no doubt that he was meant for bigger things in his life and thing was progressing until one day in 2004.

Look at his Progress Chart.

That one day in his life has signaled that he was not fated for bigger thing forward and he then joined those people who will not clear any employment health examination and his life has been marked for life expiry which seeks confirmation every six month for next extension.

When we have expiry we will think differently! We may not understand until we reach that Bridge to cross!

Yeap!

Do our best but our health may not fully within our control.

20 % DNA
20% Health Care
60% What we do to our Body and Mind every day!

Noble : 1 to 1 Right Issue @ $0.11 (2)

Read? Noble : 1 to 1 Right Issue @ $0.11

Hope this email finds you well.

Wish to ask you for your opinion on Noble Group. I believe you have held the stock for a long period and are still holding onto the stock now. Do you regret not selling it back then?

With the company in such turmoil now, would you still subcribe to the rights offer and hold onto the stock? If yes, why yes?

Appreciate your kind advice.

 

----------------------------------

 

CW8888:

 

Either we have Stop-loss or we have the Ball to play till the end of the Game. If we lose, we lost 100%! But if we win; we will win N x 100%.

 

So we have to decide whether we have the Ball to play this type of Game or quit the Game sooner with Stop-Loss!

 

Uncle8888 has big ball so don't anyhow follow him!

 

Now here is the Maths for the above silent reader to decide for himself.

 

 

Purchase price : $1.10

Right issue: $0.11

Cost of right issue as premium paid to stay in the Game = $0.11/$1.10 = 10%

 

The cost of the premium is 10% of the original purchase price.

 

Market closing of Noble before announcement of right issue = $0.30

 

Original Breakeven:

 

To breakeven on his purchase price of $1.10, Noble will have to recover by 267%

 

Average Down:

 

Let assume he subscribes fully for his right issue

 

Average price after 1 to 1 XR = ($1.10 + $0.11)/ 2 = $0.61

 

Average down by -45%

 

New Breakeven:

 

Theoretical price after XR = $0.30+$0.11 = $0.205

 

To breakeven on his new investment cost (purchase price of $1.10 + right issue of $0.11), Noble will have to recover by 195%

 

 

What did you see after XR subscription?

 

267% vs. 195%

 

 

Average down vs EPS

 

Average down by -45% and EPS down by -50% after XR

 

 

Decision

 

 

Knowing that after the dust has settled; the Founder Chairman will be out. A new Noble chairman most likely to be nominated by CIC to take care of its own interests and a new CEO may be nominated by CIC if the current two Co-CEOs can't make it.  Don't forget Noble is still a global trading power house. CIC will not let it fail.

 

The Past is not the Present. The Present is not the Future.

 

Is 10% premium paid too much of good money to throw after bad money to stay in the Game or to take more than 70% to 80% cut losses to re-invest?

 

Oh .. the greatest relief is I have sold!

 

Which?

 

 

 

 

 

 

 

 

 

 

 

 

 

 

SOD 50 to 80

Contribution by Raymond Ng ....


Nice one for SOD 50 to 80. LOL!

 

 

SOD 60 to 70

In English ...

 

Three phases post-retirement

 

Phase 1: 60 to 70

Phase 2: 70 to 80

  Phase 3: Above 80

 

Uncle8888 will be living in his Phase 1 by mid/end Sep 2016

 

Phase 1:

 

Post-retirement from 60 to 70

With better health and fitness, and financially capable

Happy to eat; then eat a bit more

Happy to wear nice cloth; then wear a bit

Happy to travel; then travel a bit more

 

(CW8888: Money not spent by us is never belong to us as money cannot disappear by itself. Someone else will happily spend for us when we are gone! How many people get it?)

 

 

 

Karang Guni Man Also Retires!!!

Uncle8888 just ran into his Karang guni this evening and has small talk with him. He told him that he has sold his lorry and retired.

He is getting old. It was retiring job and not worth his energy to earn that small money. He is about 70 years old. He will spend the rest of his time walking here and there while he still can walk!

One day, we will retire even Karang guni man who has flexible time of his own!

The Real World (2)

Read? The Real World


The Moral of The Story is .....

Does it matter whether we are in the lowest rung or highest rung of corporate ladder as employees, once we hit the shits for far too long; we will hope to retire as an escape from that shithole.

You mean after sometime even battle harden heroes or warriors who have never say die before also one day drop their tears?

Noble : 1 to 1 Right Issue @ $0.11

In the announcement, Noble proposed a fully underwritten rights issue with net proceeds of about US$500 million.

The rights issue will comprise one rights share for every one Noble share, issued at S$0.11 apiece. This marks a 63 per cent discount to the closing stock price of S$0.30 on SGX on Thursday (the last trading day before the rights issue announcement), and a 46 per cent discount to the theoretical ex-rights price of S$0.205.

Mr Elman has given an irrevocable undertaking to procure subscriptions for 625.5 million rights shares (representing 9.6 per cent of the maximum number of shares to be issued), though this is less than his full entitlement through Noble Holdings Ltd.

China Investment Corporation (CIC), Noble's other key shareholder, has given a similar undertaking for 630.6 million rights shares (representing 9.6 per cent) for which it is entitled. The remainder of the rights issue has been underwritten by a consortium of banks comprising HSBC, Morgan Stanley Asia, DBS Bank, Société Générale and ING.


CW8888's Thought on this right issue

In investing over SHORT-TERM trading and LONG-TERM (multi-years) investing, our experience in the stock market is relative.

Our emotional pain, joy and unresponsiveness to stock price volatility is relative too.

What I learn from many years of fishing. Not all poisons kill!

Some see it half empty while others see it half-full.

Some feel so painful and can't bear it anymore while others still feel okay!

Their History behind every stocks they have "punt", trade or invest will tell a different story! What you see is not what you think! So be careful on following others!

The rights issue will comprise one rights share for every one Noble share, issued at S$0.11 apiece. To Uncle8888, just @ $0.11 apiece is like taking some feathers off his Pillow stock to dry in the Sun and these few feathers taken off may make it a better Pillow some years later.

The Past is not the Present. The Present is not the Future.

Portfolio management, cash management, and risk control are what we can do as retail investors. The rest of it leaves it to Mr. Market to fight it out!

Book : SOD 60 The Guide To Living Well

 

I am old but I am not weak! - CW8888

 

 

 

Discovering Johore by Bus and Walk - Coming Next Is Muar!

Read? Discovering Johore by Bus and Walk - Kulai

Any suggestions what not to miss out in Muar?

 

Planning a trip to Muar in Jul 16

 

Muar Otah!

 

The Price Of Two Years Early Retirement or The Redemption Cost For Two Years Of Time Freedom!!!

As fixed salary employee, Uncle8888 can more or less estimate the price of two years early retirement or the redemption cost for two years of time freedom.

Do you think your life will change drastically after Financial Independence?

Read? Do you think your life will change drastically after Financial Independence?


So far based from Uncle8888's reading into many books on retirement ... One possible reason why many of us fear retirement and many more HNWIs continue to work even they can retire anytime from their full-time job.

These people are likely to have Achievement-oriented personality.

They can't live without any sense of achievement in their life. As retirees; it is so hard to maintain that sense of achievement without career, business or corporate activities to boost up.

So Uncle8888 understands this!

For the initial year in his retirement, Uncle8888 has set for himself along this path to have sense of some achievement but not in career or business.

It will be some achievement for personal well being and fitness. With more free time, he should get fitter and maintaining fitness and may be he can become role model for other senior citizens or retirees who are "Italy".

Senior citizen are older but NOT necessary weaker!

This blog on Short-term trading and Long-term investing may have inspired you to take charge of your personal finance and investment to reach the edge of financial independence since Nov 2006.

The next chapter of this blog will aim to inspire other retirees and senior citizens to take charge of their own fitness and be fitter.

No "Italy"! No excuse!

Uncle8888 also loves to eat and in fact he lives to eat and NOT eat to live! The only period he has to eat to live was those many months after his cancer treatment when every meal was an oat meal with Ensure drink!


I am old but I am not weak!

Portfolio Management and Risk Control - Not All Poisons Kill!

What Uncle8888 knew from his encounters with many other retail investors on their large losses and become extremely difficult to recover from such large losses is that they have been averaging down their losses till no return!

That is very bad portfolio management and risk control!

Uncle8888 as fisherman and no matter how careful he can be; but at some moment of complacency and carelessness he has been stung by sting-ray, catfish and scorpion fish. Luckily, he was not bitten by sea-snake; otherwise, he wouldn't be around to blog!

Not all poisons kill!

The Reason Why Most Of Us Will Like To Pursue Financial Independence???

Get out of Rat Race or Get out of Daily Grind?

Assuming 44 hours work-week, 1 hour lunch, and 1.5 hours travelling to/from office.

Assuming 21 days AL, 7 days MC and 11 PHs

Let see how our Daily Grind and Free Days look like ....