How to get things we need or want for free forever?

Eight out of twelve young Singaporeans have yet to plan for their golden years.

A reader asked on Facebook what was the point of the blog which I posted last evening?

Alamak. AK is a mental blogger lah.

Most of the time, he is just talking nonsense. Crazy fellow.

I like to think that everyone's life can be better and it should be better if we have been prudent with money and if we have not been too unlucky in life.

I also like to get things I need and want for free. If I can get someone else to pay for things I need or want in life (legally and ethically), I would.



Regular readers might remember that I said I invested in QAF because I want free bread. Old Chang Kee? I want free curry puffs.

So, what about investing in NTUC Income for income? I want to have some life insurance coverage for free.

Of course, don't take what I say literally but you get the idea.

The writing is on the wall.
Related post:
Dividend for FY 2016 and for life.

Dividend for FY 2016 and for life is a waste of time?

MY BANK ACCOUNT by Tian Long. ROFL!

Most of us are not born with a silver spoon in our mouth. We have to find our own way in life and, hopefully, we do not end up in hole full of snakes or spikes.

Snakes are natural while spikes are man made. Yes, there are people out there who are hunting other people.

We have to learn and avoid such holes.

How to get rich quick? Don't ask me.

How to get rich slow? See this?

Yes, it is something I am reminded of on a yearly basis.

This is money I stashed away donkey years ago and till this day, I am still enjoying the benefits.

I have probably taken back all my money and if the company continues to do well, I will continue to receive some pocket money on a yearly basis.

Of course, on its own, it is not a lot of money but if we focus on the absolute sum, we miss the point.

"Aiyoh, I can only invest $5,000. 6% is only $300 a year. So little. Don't bother lah. Waste time lah."

Continue saying something like that and, all else being equal, really, don't bother thinking about a comfortable retirement. Waste time lah.
Related posts:
1. Secret to AK's success.
2. Investing in INCOME for income.

Hock Lian Seng should be 69c a share.

Reader:
A senior of mine at work told me about your blog when we chatted about stocks. I mentioned Hock Lian Seng and he said AK blogged about it. I bought this because my broker told me it was worth at least 69c and that there was a special dividend. I paid 62c but the price has plunged. I wonder if I should hold or sell or buy more. If you are wondering, I just started investing this year and I don't know who to trust now.

AK:

Trust yourself. Trust no one else, not even AK. I have nothing against your broker and I think I know which brokerage he is from but don't trust him either.

Don't rely on others for investment tips. Buying something because it was a hot tip could end up burning you. 






You have to have an idea of what you are looking at and how much it is worth. Only then would you have an idea if the price makes sense. 

If the price doesn't make sense, is it because it is too cheap or too expensive? Then, you know what to do.






Having said this, as investors, we cannot expect a 100% hit rate. If we can be right more often than we are wrong, we should be happy. 

Sometimes, we can do all the research we could possibly do, be reasonably confident and still be wrong. The only one who is always right is Mr. Market.





You might be interested in this blog post and pay attention to the broker's recommendation:
http://singaporeanstocksinvestor.blogspot.sg/2017/01/history-with-sabana-reit-and-current.html

Those who bought then and bought more as the price declined would be bleeding badly.





If you are not prepared to do some work as an investor, it is better for you to stay away from the stock market.
Related post:
Hock Lian Seng returns more than 100%.

Old Chang Kee recorded a big loss in Q4.

I received a small handful of messages regarding Old Chang Kee's latest results and this is a quick blog about the matter.

Old Chang Kee is a fantastic cash flow generating machine and it remains one of my better although smaller investments. I have no intention to let go of my investment because nothing has changed.

Of course, when I saw the article in The Business Times declaring a huge loss for Old Chang Kee in Q4, I took notice. I spent one minute looking at the financial statement and decided that all is well.

One minute? Yes, only one minute.

I just looked at the income statement to see what has changed. Noticing a spike in expenses, especially other expenses, I scrolled down to find the reasons for the spike.

What I was looking for was whether the spike was going to be material and whether it was going to be enduring in nature. Some of the increase in expenses will continue to be challenging. Labour cost. Rental cost. You get the idea.

However, most of the increase in expenses comes from a revaluation loss which is a non cash item. Non cash item does not affect cash flow. So, unruffled, I went back to gaming.

To be investors, we should pick up some basic knowledge about accounting. Leave the more complicated stuff to the professionals but we should have some basic knowledge.

Financial statement:
http://oldchangkee.listedcompany.com/newsroom/20170529_174958_5ML_AYW9SB1XWVC26BOD.1.pdf

Related posts:
1. Income Statement.
2. Recommended books.