Do you know the First Page of KLSE Stocks are consist of Penny Stocks/Small Caps?

Monday, 2 February 2015

Do you know the First Page of KLSE Stocks are consist of Penny Stocks/Small Caps?

Do you notice in KLSE first trading page all are PENNY STOCKS/SMALL CAPS and the most expensive share is worth 60 cents? Basically we do not wish to spoil your trading party, just to highlight what are you buying/trading in KLSE.

Do you know Fund Managers normally do not buy Penny Stocks? Reason being is their earnings is too volatile and difficult to forecast. Prices normally shoot beyond their Fair Value. Generally in their Investment Mandate, there is a clause of no Penny Stocks involved. So who are people who trades Penny Stocks?

Yes: RETAILERS

When the market slows down/correction, the worst hit is Penny Stocks and who gets burned the most? Yes, RETAILERS.

As much as we like to encourage stocks trading, but please do look at your trading portfolio.
Perhaps it maybe a good idea for you to strategize/plan properly for a CHALLENGING 2015.

There is a reason for putting the word RISK in front of REWARD:
Look at the risk first before talking about reward.

''RISK and REWARD"