After all the maths, creating spreadsheets, adopting all kinds of
algebraic equations to distill numbers into yet another number, a decison
has to be made: buy or not buy, hold or sell.
Ultimately, its how "success" is measured.
No one has a perfect score in share investments where
there is no loss and only profits.
Its risk management that I find important.
If the risk is too high, then its best to buy an exchange traded fund
like the one managed by StreetTracks.. STindex
Start small.. perhaps just 1,000 units ( about $3,200 )
and just throw the key away.. ignore it... until a major event that
shakes the markets. Then check the price again... if its gone down
by 20-30%, consider buying another 1,000.
All this, using money that you dont mind losing.
( the risk here, is very low though )
Very straight forward and simple. No need for sheets of spreadsheets
and calculus to crunch.
Is this approach "value investing"?
Maybe not in the true sense.. but it provides a return of 2-4% per annum.
http://www.spdrs.com.sg/etf/fund/spdr-st...f-ES3.html