Saturday, September 4, 2010

Marc Faber : Money will flow into equities and commodities at least over the next couple of weeks

In a phone interview from Thailand Marc Faber told Bloomberg that : "It is a fallacy to believe that easy money and the purchase of treasuries will boost economic activity in the US,"
"Money will flow into equities at least over the next couple of weeks, and into commodities," Faber added.
"Over the last two years we eased massively in the US and where did the growth take place? In Asia".
"So when we talk about job creation, do you think that Intel or a small businessman will hire more people in the US because of further monetary printing?" he asked.

"No! they will build factories in Asia and hire people in Asia and all the monetary policies in the US create mis-allocation of capital and unintended consequences," Faber explained.

Singapore Monthly Market Review

Market Review :-
The FSSTI advanced 5.4% in local terms in July. Higher beta stocks led the market recovery with property stocks outperforming the index. Defensive names such as ST Engineering and SMRT lagged and declined in absolute terms mom. The SGD strengthened 2.4% against the USD to end the month at 1.362. Singapore's 2Q advanced GDP rose 19.3 yoy, exceeding all expectations. This led the government to upgrade its 2010 GDP growth forecast to 13-15% from an earlier forecast of 7-9%. Growth was led by the manufacturing secotr which surged 45% yoy, including the volatile biomedical sector. Services showed double digit growth too, as the opening of the integrated resorts created record visitor arrivals.

Residential property prices and transaction volumes moderated in the second quarter but show sign of picking up of late, with strong interest in some mass market condominium launches. The Singapore market is currently trading on a 14x earnings multiple which is slightly below its histroial mean.

Thursday, September 2, 2010

Tong Heer Resource Berhad

Business Background :-
TONG group is an international stainless steel fastener manufacturing group with several manufacturing bases in Malaysia, Thailand and China. Tong Heer, with the experience and advantages from the TONG group, not only brings the latest manufacturing technologies and inspection equipment, but also brings the best management experience and the concept of customer service to our customers. It uses advanced imported equipment and automatic manufacturing system with scientific process design and a mass production line. These systems provide the highest competitiveness and the lowest production cost.

Tong Heer was established by the Tong group in 1989 (Malaysia's factory) and 2005 (Thailand's factory) for manufacturing stainless steel fasteners. Tong Heer's products are widely used in many different industries including the solar energy industry, the petrochemical industry, machine assembling, food machinery, telecommunication, construction, etc.

Business Structure :-
Tong Heer Bhd (100%)           - located in Malaysia
Tong Heer Co. Ltd(50.01%)   - located in Thailand
Fuco International Ltd (37.04%) - located in Vietnam

Major Shareholder :-

Monday, August 30, 2010

Malaysia Market : Monthly Investment Report

Porfolio Review:-
The FBM KLCI index advanced 3.6% in local terms in July. Top performers for the month were Plus Express and Genting while plantation stocks and utilities stocks underperformed. The ringgit strengthened slightly against USD to 3.19 as the central bank raised the overnight policy rate by another 25 bps to 2.75%. The government took its first step towards the rationalization of its subsidy program by hiking petrol, gas, diesel and sugar prices. Corporate action was plentiful with Genting Malaysia proposing to acquire Genting Singapore's UK operation for a cash consideration of GBP 340m. Khazanah won the battle for control of Singapore listed Parkway Holdings after it raised its offer from S$3.78 to S$3.95 per share. Ananda Khrishnan announced plans to take Measat Global and Tanjong Plc private.

Interest in the plantation sector may return as crude palm oil price rebounced 7% in July after a lackluster performance in the past quarter.