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Market Daily Report: Selective Buying Of Defensive Stocks Lifts Bursa Malaysia Higher At Close

 KUALA LUMPUR, July 29 (Bernama) -- Bursa Malaysia rebounded to close higher on Wednesday on selective buying of defensive stocks after a volatile trading session. IPPFA Sdn Bhd director of investment strategy and country economist Mohd Sedek Jantan said consumer products and services stocks lifted the key index higher, overcoming lingering geopolitical concerns. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 3.08 points to 1,715.56 from yesterday’s close of 1,712.48. The benchmark index, which opened 1.91 points higher at 1,714.39, moved between 1,710.79 and 1,720.59 during the day’s trading. In the broader market, gainers outstripped decliners 550 to 476, while 612 counters were unchanged, 1,129 untraded, and 48 suspended. Turnover rose to 2.96 billion units valued at RM2.48 billion from 2.94 billion units valued at RM2.56 billion on Tuesday.

IPO: It's Probably Overpriced

Today while reading the book "The Intelligent Investor", it reminded me of the core of investing and the need to filter the noises.  But I think the story regarding IPO just struck me more than the rest today. For those who have no idea what IPO is, it means "initial public offering", or the first sales of a company's stocks to the public. Looking at one of my favourite company, Microsoft, one could find great reasons to invest in IPO.....because if you'd bought 100 shares of Microsoft when it went on public on March 13, 1986, your $2,100 investment would have grown to $720,000 by early 2003.  According to the book, finance professors Jay Ritter and William Schwert have shown that if one had a spread a total of only $1,000 across every IPO in January 1960, at its offering price, sold out at the end of the month, then invested anew in each successive month's crop of IPOs, the portfolio would have been worth more than $533 decillion by year e...

Investment Strategy: Warren's Way

Recently I've been reading the book "Intelligent Investor" by Benjamin Graham and I came across chapter 15: Stock Selection for the Enterprising Investor . In that chapter, there was a part that talks about Warren's way of investing and I find it to be something worth sharing with you guys. WARREN'S WAY Warren Buffett, perhaps the most successful investor, who happened to be Benjamin Graham's most acknowledged and popular student. Buffett and his partner, Charles Munger combined Graham's "margin of safety" and detachment from the market with their own innovative emphasis on future growth.  Warren's Way He looks for what he calls "franchise" companies with strong consumer brands, easily understandable business, robust financial health, and near monopolies in their market like H & R Block, Gillette, and the Washington Post Co. Buffett loves to invest in stock when a scandal, big loss or other bad news passes over it l...