Showing posts from July, 2018

Updates To Big Idea 3

After my update to Big Idea 2 , I decided to also do an update on Big Idea 3 after re-reading its annual report. Big Idea 3's Chairman always give a very insightful context in his Chairman's Statement. Last year, he initiated a cautious approach, but the results turn out to be very different - which is great. Because this shows that the management is not aggressive and have a plan for the future. In fact their numbers tie in with their execution - showing successful integration of the strategy in the business. This year, here are some extract from the Chairman's Statement that got me excited for the future: "...As we begin a new phase of network enhancements and measured retail expansion, coupled with our overall inventory having been rightsized to our desired level of stock turnover, it is highly probable that this pace of cash generation will begin to moderate in the coming year..." "...The luxury watch market has enjoyed a pronounced turnaround in

Updates To Big Idea 2

Recently I spoken to this acquaintance that was quite knowledgeable on the Australia side of things. I always wonder why Big Idea 2 has a significant exposure in Australia. Thus, this gave me an opportunity to ask more about the property market in Australia and especially those projects relating to Big Idea 2. Picture taken from Below are the information I remembered. Do note that I did not verify all the information and these are just pieces of our conversation. 1. The Australia Government made it hard to purchase properties in the country (read article ) . 2. Australians are not good savers and due to Basel ruling, banks are unable to lend out too much. 3. On the other hand, Australia Banks are also very conservative. During GFC, these banks had almost no exposure. However, being conservative, they also did not “go out and grab more market share”. 4. The big 4 Australia Banks also supports New Zealand. Due to regulations and restrictions, these 2 co

Categorising My Big Ideas Investing Theory

I have read a few articles on Charlie Munger recently. The articles explains how he influence Warren Buffett from investing in “good business at wonderful prices” with a more activist mindset to buying “wonderful business at good prices”. I felt similarities in the stories from the way how Simple Investor SG had influenced me to how I invest lately. Previously I have always been a more “value-oriented” investor, but even since we started Fundamental Scorecard website together, I have been looking at his Full Analysis scorecard (which includes the recent Moat scoring ) . Then a few months ago, I started on my Big Ideas Investing Theory which has been significantly influenced by him (as explained in Big Idea 1 ) .  Since the start of Big Ideas Investing Theory, I came up with 9 Big Ideas – Some were long held companies and some were just purchased a few weeks ago.  Recently, I tried to further categorize my Big Ideas into certain theories in order to understand how I could co

From “Not-So-Big idea” To Big Idea 9

My initial draft did not conclude this purchase as another Big Idea. But after completing the draft, I decided that this investment is a Big Idea. I will not be hiding the identity for this company because, at this point in time, I will have already revealed the company name on my Facebook Post . Big Idea 9 became the talk of the town once the cooling measures were announced by the authorities, and within the same period, a bigger rival got listed. This was evidenced from my research as well. There were so many articles written by analyst and bloggers (Thelittlesnowball, Motley Fool, Heartland Boy, PropertyinvestSG) that it was hard to find hidden information that could possibility sway me to the “other” side. Do note that this investment is very new and resulted in my portfolio increasing to 16 companies. I am NOT taking a step back in my consolidation of my portfolio. I have been looking at Big Idea 9 for many weeks before I decided to invest in it. The recent share price

Big Idea 8

Although I have revealed my portfolio and the remaining of my Big Ideas recently, but I have been wanting to writing about this company that I purchase since June 2018 – my Big Idea 8 . I had previously stated I will reveal the company on my Facebook Page post upon reaching 20 likes for that post. It hit 68 likes in almost 3 hours. I was flattered. Despite the short vested period, I have actually known this company since I started practicing value investing. In fact, I will say this company was initially made famous by Bigfatpurse (Currently known as Dr Wealth ) at that point in time. Reasons Why This Counter Qualifies as a "Big Idea" 1. Understanding Of The Total Asset and Return of “Operating Assets” Return of Asset of the company based on the latest annual report is 7.65% (Net Profit of $4.5 Million vs Total Asset of $58.9 Million) . Nevertheless, it is important to identify what the assets are made up of before making any assumption if the ratio is good.

My 15% Portfolio - Changes After 2 Quarters

It is the time to review "My 15% Portfolio". The previous review in the 1st quarter can be read here. However, do note that despite aiming for a 15% gain this year, the market has not been kind to me. The current change in my portfolio is VERY FAR from it and it will be revealed later on. Do note that this portfolio was inherited from the portfolio at end of 2017 and their respective share price was restarted on 26 Dec 2017. Thus, any gain or losses was just based on the price changes over the last 6 months. Prior to taking a look at the changes in my portfolio, let me emphasize on the following: 1. This portfolio review is calculated from 26 Dec 2017 and the aim is to review the total portfolio gain after 1 year. 2. The counter's initial share prices are their respective share prices on 26 Dec 2017. 3. The gain and loss stated is just a simple calculation of the difference in share prices, ignoring the transaction fees. 4. At times, i