Posted by kcchongnz > 2013-09-10 07:16 | Report Abuse

Interesting interview with a highly qualified and experienced fund manager. But how many people (check in i3 here) make consideration as below when investing in the stock market?

Professor Philip Cheng – Most people always asks question – “Does the company makes money?” Then I say it’s the wrong question. They said, “Philip, You are a crazy man. I want to find out if the company makes money.” I said “NO, it’s the wrong question!”

Professor Philip Cheng – The RIGHT question to ask is – “Does the company produce cash flow from the operations?”

Professor Cheng – It is different saying “Oh no, they do” . When a company makes money does not mean they generate cash flow from their operations. So it’s a simple thing like this that I tell you all these years I have tried to manage to make money by looking at the cash flow in a company and not earnings.

Posted by bsngpg > 2013-09-10 07:44 | Report Abuse

“Professor Philip Cheng –3 reasons the small investors cannot be successful. 1=time, 2=experience,3=focus. “

In my opinion, besides the “Very Simple Way to be a Winner in Bursa”, I agreed that if you want to be a millionaire from Bursa with another way which is a more certain, own-control and professional way is to have the 3 reasons as mentioned by Professor Philip Cheng. I saw one of the “sifu” in this forum has demonstrated his great potential, I believe this method can work and he will be one of the millionaire form Bursa besides Ren Yan(Cold Eye). In this context, it is sad to say that my time has passed. Furthermore I do not have professional background to be one of them. If you are still young, please consider to practice a very professional way or a very SIMPLE way. You make the choice, it is a millionaire dream from Bursa, mate !

Posted by houseofordos > 2013-09-10 08:19 | Report Abuse

Very true comment, knowing when to sell can be harder than when to buy :-

During good times I am not overly happy because I don’t know when to get out, take profit at some point in time. During bad times I am naturally happier. Why?because that’s the time when a lot of good stocks are undervalued.

Posted by choolooi > 2013-09-10 09:06 | Report Abuse

Bsngpg, yes you have got the backbone of the interview == time, experience and focus.
Kcchongnz, you have put on the head === cash flow .
Now I wish to put in the sinews / flesh ===== logic == " to lose less when in a bad market, and make more when in a good market" === to quote the Professor.

Thanks Tan KW for posting this interview .
I do hope more readers will see this thread.
I certainly benefit from what was said by the Professor ...
His term " malicious sharks " so humorous .... Reminds me of the Lii Hen debacle series by Harveylai

Happy trading ahead.

Posted by bsngpg > 2013-09-10 09:35 | Report Abuse

Houseofordos : I have the similar mentality as yours. I like BEAR more than BULL. That is why I posted earlier that BULL is NOT FRIEND to long term investor like me. I guess many people see me as crazy, but my purpose in Bursa is to collect good companies at low price, then keep for very very long time. Is it soo difficult to find good counters at low price, why BULL come to disturb and tempt me to sell ?

Posted by ganasai > 2013-10-12 10:32 | Report Abuse

so long article, but no matter how one word: use extra money invest in good stock. No contra, no borrow. Then whatever shark, you wont be scare. Simple.

Posted by Fortunebull > 2013-10-12 10:44 | Report Abuse

Ha! Best swim with dolphins! Bursa blessed with tons of counters with fat margin! Cant believe how good returns from bursa once you train you mind to aim high fat margin! Reading so many comments of hoping stocks to go up but stagnant or punters get burn, because they listen to wrong advise or too emotional!

Posted by Fortunebull > 2013-10-12 11:01 | Report Abuse

Ha! Plenty! Read my postings! All make money! I hate lossing even a single cent! Losing money is bad habit!

Posted by Fortunebull > 2013-10-12 11:03 | Report Abuse

Do you now best time to make fortune! If you lose even a cent now, you better dont play stock market ever again!

Posted by Fortunebull > 2013-10-12 12:15 | Report Abuse

When buy make very good homework! You must be sure price go up not hope! Learn to drop bad habit of hope in investing! If you read comment full of word hope, very sure no hope! Under mercy of sharks!

Posted by Fortunebull > 2013-10-12 12:29 | Report Abuse

Ha! Very true! Been there, hope hope! Until change mindset! High aim rm1 margin on sight! Understand how dolphin swim! Go with the trend! I give you sure bet! Buy Prlexus! Not yet really move by dolphins! Can buy sell many times on long term uptrend!

Posted by Fortunebull > 2013-10-12 12:51 | Report Abuse

Usually Prlexus 10 cent a month upward! If shot up to fast, then sell to take profit and buy a lower price! You know the drill once you follow!

Posted by Fortunebull > 2013-10-12 13:29 | Report Abuse

Jimmy! Gamuda bought 28th August 4.20 sold 4.58 contra period! Dinasour can also jump!