Friday, January 15, 2010

Global Investment Strategy in 2010

Jan's Review :-

Our Special Situation Porfolio is changing investment style in 2010. We're slightly conservative, less aggressive due to overoptismism from traders. We're selling stocks slowly based on valuation. Those stock selling at higher P/E, we will consider to sell within 6 months.

"Holding cash  for tomorrow's opportunities" - Eclectic Investor

Risk: Double Dip recession risk is possible. Our special Situtation porfolio DUNNO how to time market, but we're looking for cheap stocks if double dip recession happen within 1 year time.

New Strategy : Securities Lending is added in our porfolio to increase fixed income.

Parkson : Chinese New Year Theme 2010

Parkson share price will spike in next quarterly result because of Chinese New Year.
Expect high earning from China,Vietnam, Malaysia's retailer store.

Special Situation's rating:
Buy below RM6.00
TP RM7.00( Period : 1 Year)

Special Situation Porfolio Performance

Last Year 2009, Special Situation Porfolio was overweight in Commodities-related Stocks( Read our 2009 posting). Our porfolio enjoy extremely high return compare to Global Resource Index and outperform benchmark by 15% because of some holding in Mining Sector.

I'm working on spread sheet to show all readers about my special situation porfolio in future. Low risk, outperform benchmark strategy.


High Risk Stock in 2010 : TOPGLOVE and Notion

Overoptimism and speculation from investors, push TOPGLOVE and NOTION to new high level. We will see how this stock perform end of this year (Dec).

I expect it could cause huge losses to those speculators at same point.

We will review these two overpriced stocks in Dec. 2010. Let's wait-and-see what happen.