20-08-2021, 07:51 PM
AS a seasoned stock market investor since the 1990s, Ken is no stranger to market fluctuations and paper losses. As of today, the 56-year-old has lost some S$300,000 in the Singapore stock market, while his investments in the United States and Hong Kong have given him sizeable profits. "Retail investors don't have much confidence here, they're getting toasted," he tells The Business Times. "I've lost so much money that I'm scared."
While Singapore continues to be lauded as a financial hub, drawing big business and billions in foreign investment, the local stock market appears to have lost some of its appeal to retail, or non-professional, investors like Ken. Concerns like regulatory lapses and lack of liquidity, he says, have diminished confidence.
"I would generally avoid the Singapore market unless there are sound stocks like the blue-chips," he says, "but I have allocated less for Singapore unless we see a marked improvement in the supervisory environment here".
Some of Ken's biggest losses in the local market to date include S$20,000 in embattled commodities trading company Noble Group, and about S$200,000 in entertainment production company Spackman Entertainment Group which has incurred the ire of regulator Singapore Exchange Regulation (SGX RegCo) for issues related to its management and certain acquisitions, and is currently trading at about 0.5 Singapore cent. The counter's high was 50.5 cents back in July 2014.
It is a similar situation for 65-year-old retiree CK Law. He has been investing since 2000, and has been more active in the stock market since his retirement last year.
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https://www.businesstimes.com.sg/brunch/...-twice-shy
This topic has been repeated quite frequently in recent years. But I think there's a lot of bias so I don't agree with most of it. Although the local market is quieter, I think there are still make instances where valuation multiples can be driven to sky high levels.
Recall how medtec was given the dirty name of a speculative stock when it rose from 5 cents to 20 cents. Even if you bought it at 20 cents you still would be in the money today. There are so many more. So it is hard to argue that there isn't money to be made.
And notice how none of the investors in this story mentioned about their friends making big bucks in Chinese tech stocks.
S&P may have done superbly since 08 but who knows for sure how it will do in a year's time? I generally think it is a bad idea to jump onto something that's going up just because. (But if it is jumping onto BRK then I guess that's different).
Maybe BT is just plugging for its robo-investing ad buyers?
Anyway, for long-term investors with little skills/interest in evaluating small caps, I will suggest banks and real estate stocks. The returns won't be spectacular but it will be decent and you can forget about paying attention to it most/all of the time. That's what I will do if I have to pick a stock (definitely DBS) and go somewhere where I can't trade.
While Singapore continues to be lauded as a financial hub, drawing big business and billions in foreign investment, the local stock market appears to have lost some of its appeal to retail, or non-professional, investors like Ken. Concerns like regulatory lapses and lack of liquidity, he says, have diminished confidence.
"I would generally avoid the Singapore market unless there are sound stocks like the blue-chips," he says, "but I have allocated less for Singapore unless we see a marked improvement in the supervisory environment here".
Some of Ken's biggest losses in the local market to date include S$20,000 in embattled commodities trading company Noble Group, and about S$200,000 in entertainment production company Spackman Entertainment Group which has incurred the ire of regulator Singapore Exchange Regulation (SGX RegCo) for issues related to its management and certain acquisitions, and is currently trading at about 0.5 Singapore cent. The counter's high was 50.5 cents back in July 2014.
It is a similar situation for 65-year-old retiree CK Law. He has been investing since 2000, and has been more active in the stock market since his retirement last year.
...
https://www.businesstimes.com.sg/brunch/...-twice-shy
This topic has been repeated quite frequently in recent years. But I think there's a lot of bias so I don't agree with most of it. Although the local market is quieter, I think there are still make instances where valuation multiples can be driven to sky high levels.
Recall how medtec was given the dirty name of a speculative stock when it rose from 5 cents to 20 cents. Even if you bought it at 20 cents you still would be in the money today. There are so many more. So it is hard to argue that there isn't money to be made.
And notice how none of the investors in this story mentioned about their friends making big bucks in Chinese tech stocks.
S&P may have done superbly since 08 but who knows for sure how it will do in a year's time? I generally think it is a bad idea to jump onto something that's going up just because. (But if it is jumping onto BRK then I guess that's different).
Maybe BT is just plugging for its robo-investing ad buyers?
Anyway, for long-term investors with little skills/interest in evaluating small caps, I will suggest banks and real estate stocks. The returns won't be spectacular but it will be decent and you can forget about paying attention to it most/all of the time. That's what I will do if I have to pick a stock (definitely DBS) and go somewhere where I can't trade.