Trading Systems ( Advertorial 9)

Successful trading stands on three pillars: psychology, sound money management, and an effective trading system. We’ve covered the psychology of trading you need to adopt, and we’ve given you an overview of sound money management practices and approaches. Now let’s talk about trading systems.

Every successful trader has a winning system. (They wouldn’t be successful if they didn’t have a system that worked for them.)

There are as many systems out there as there are traders. That makes sense, because no two traders are alike. Some traders buy on strength and sell on weakness; others do the opposite. Investors like Warren Buffett have succeeded through a "buy and hold" strategy, seeking to purchase value to realize long-term gains. Some traders buy and sell constantly, seeking to make money off of short-term trends or momentum.

There are many ways to profit from the markets. There is however, one common element all successful traders have: they approach trading in a systematic way. By “systematic,” we mean they have developed a system that is effective for them, and they follow that system. The system may of course evolve and adapt over time, based on experience and lessons learned from past mistakes, but never due to emotion.

Your trading system must fit your personality in order for you to be successful. Good traders succeed because they develop a system they feel comfortable with and that provides proven results over the long-term. They develop a methodology that maximizes their strengths and minimizes their weaknesses.

How can you do that?

Define Your Objectives

Since every investor is different, the first thing you need to do is take into account your present situation. You’ll need to determine:

1)Do you need cash flow or capital growth? If you’re a part-time trader with other sources of income, you may simply wish to grow your capital. If you’re trading professionally, and your sole income is from trading, then cash flow is critical to you because you need the profits to live on.

2)Can you trade part time or full time? If you’re new to trading, or don’t have a lot of capital, part-time trading is a great way to learn, grow your skills, and develop a trading system. If you have sufficient capital to invest, and are confident in your abilities, full-time trading may be right for you. Only you can determine whether you’re ready to trade professionally or not.

3)How much capital can you invest? There are two parts to this question: one, how much capital do you have, and two, how much are you willing to risk? You should not risk more money than you’re comfortable with, or doing so will affect your trading and cause you to make mistakes. If you’re risking too much, nervousness and fear will affect your decision-making and cause you to make undisciplined errors. Only invest as much capital as you’re comfortable with – as your confidence grows, the amount of capital you’re willing to invest will grow, too.

4)What annual rate of return do you want? The higher the return, usually the higher the risk. If you want a 5 or 10% annual return, your investment style will be much more conservative than someone who seeks double or even triple-digit returns.

For example, if your goal is cash flow and low risk, buying or selling at extreme levels, like when you feel a position is overbought or oversold is not the right style to adopt. If your goal is to quickly grow your capital, and you can accept the high level of risk that can come with high returns, then buying distressed stocks, a contrarian approach, or gap trading may be a trading style you will adopt.

Trading systems can be as different as aggressive day traders looking to profit from small point gains, to value investors looking to capitalize on long-term economic trends.

In between, there are a wide range of combinations including swing traders, position traders, aggressive growth investors, value investors, contrarians….

Your style will depend on your level of commitment and on your personality. Here are a few examples of types of traders:

Day traders pursue an aggressive style with high activity levels, focusing on extremely short-term price movements. They make huge numbers of quick trades, tend to take small profits on each winning trade, and maintain tight stop-loss levels to protect their capital. Day traders are by default almost always professional traders, because they focus on minute-to-minute market changes. Most day traders make their money through a huge volume of profitable trades, so they need to be dedicated and focused. Day trading also requires a lot of energy and commitment, and is best-suited for people who like constant activity and change.

Position traders focus on short-term and intermediate-term price movements. They tend to trade positions they feel are likely to move over a one to six week period. Their level of commitment is still substantial, but it’s certainly less than the commitment required from a day trader. It’s possible to be a part-time position trader, but you’ll need to be willing to spend several hours a day studying the market in order to stay in close contact with trends.

Equity traders focus on longer-term price movements. Because of that, the goal of most equity traders is to increase their capital rather than increase cash flow, since oftentimes equity traders will hold a position for weeks and months – their profits can stay as paper profits for a long period of time.

Defining your trading objectives is critical, because unless your system matches your own criteria, you’ll never make big profits. If you’re interested in cash flow, but you choose a trading system that is focused on equity appreciation, you’ll never be successful because your goals don’t fit your system. You’ll grow impatient, make mistakes… and your system will fail. On the other hand, if you’re trading part-time, but you want short-term profits, you may struggle as a day trader because you won’t have the time available to make high-volume, extremely short-term trades.


"What Takes Some Successful Traders A Lifetime To Achieve Could Take You Just A Few Days... Or Less!"

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Evaluating a Trading System

Once you’ve decided your trading objective, and what market you’ll focus on, you’ll need to develop a system. Hundreds of different trading systems already exist, and you can certainly learn about or purchase one. Or you can develop your own. What’s important is that you can objectively evaluate the system to ensure it meets your needs and that it performs well. Here’s how you can objectively evaluate a trading system:

1. Does it preserve my capital? Capital preservation is absolutely critical. If you don’t have money to trade, you can’t make profits. It’s as simple as that. Your trading system must preserve your capital or you’ll fail.

What does that mean? It means you can’t risk everything. As a trader, you’re looking for small, repeated successes. Your focus should be on consistently making profitable trades and limiting your losses on bad trades. A trading strategy that does not preserve your capital will quickly put you out of business. That’s why we recommend the stop-loss strategy: effectively using stops will keep you from losing your capital. In short, any system that can put you out of business is a poor system.

2. Historical performance is critical. Why? Because your goal is to make profits over the long-term and evaluating past performance is the only way to determine if a system, or if your system, is successful. It’s not important how successful a system might be; what’s important is how successful it is.

3. Success is determined by real profits, not by percentages alone. Of course, your percentage of gain is important, but only if it measures your true profits or losses. Money in your pocket is the only real measurement of success. Here’s how you should calculate success: at the end of the day, week, month, or year, do you have more actual money than you started with? By “actual,” we mean money that is liquid and can be accessed immediately. And if you do have more, what is your percentage gain? That’s the only true measure of success. The only way to truly show profit or loss is if percentage gains (or losses) are based on the amount of money invested.

Let’s say you’re a day trader. You start the day with $10,000, and when you’re done trading for the day, after closing out all your positions, you have $10,400 in your trading account. You’ve made $400. Your percentage gain for the day is 4%. That’s real, measurable success. If you measure historical performance in any other way you might not get a true picture of your success.

4. The system should be mechanical in nature. What does that mean? A good trading system must be automatic in nature, and should allow you to make decisions based on rules and parameters, not on emotion. A mechanical system is not one that’s based on buying every IPO. A mechanical system could be to buy stocks with a maximum price-earnings ratio two weeks before the ex-dividend date, with a 5% stop-loss set ― if you’ve determined that historical performance makes that an overall winning strategy.

5. The trading should always take place in liquid markets. An effective trading system should be aimed at liquid markets where sufficient daily volume exists to easily and consistently execute orders. For example, the S&P 500 Index Futures Market is highly liquid, whereas the Orange Juice Futures market is far less liquid. You want to be able to make trades as quickly as possible, and as close to the intended price as possible.

6. A good trading system will work in up or down markets. (If it doesn’t, you may be sitting on the sidelines during market run-ups if your system only works during a bear market.) It should have the potential to generate successful trading performance in all market conditions; bull, bear, and sideways trading range.

7. The maximum drawdown should fit your personal requirements and situation. An inherent characteristic of investing in general ― and of trading systems in particular ― is the maximum drawdown potential in account value from the most recent peak. No trading system is perfect; you’ll make some trades that are great, and some that will be bad. If the potential loss on bad trades in your system exceeds your tolerance for risk, and puts your capital in jeopardy, then it’s not the right system for you.

8. The system fits the capital you have available to invest. You have to be able to feel comfortable with your system, and if most of your capital is at risk, or the risk levels are too high for your comfort, you’ll make emotional decisions instead of logical ones.

The key to a good trading system is that it allows you to make rational and logical decisions, not emotional ones. Most successful investors develop their own systems because they need a workable formula that suits their own individual temperaments and needs. What works for one person will not work for another. If you like the action of day trading, and are excited by the thought of making large numbers of trades every day in search of small profits on most of your transactions, then equity investing won’t work for you – you’ll become bored and will make trades based on emotions, not on logic. By the same token, if you like to carefully consider trades, and don’t like to feel rushed when making decisions, day trading is a poor investment style for you to adopt. You’ll quickly be overcome by the “action” and will make mistakes that will deplete your capital.

A good trading system also manages risk responsibly. There’s risk inherent in trading, and your system should allow you to ensure your risk to reward ratio is favorable on every trade – otherwise, you shouldn’t be making the trade. Remember: Your goal is long-term success, so try for consistent profits, limit your losses, and make decisions based on reason and logic, not on emotion. Any system that doesn’t allow you to operate that way is a poor system for you to use.


"What Takes Some Successful Traders A Lifetime To Achieve Could Take You Just A Few Days... Or Less!"

HOME
Advertorial 1 - Introduction
Advertorial 2 - The Basics of Analysis and Rational Trading
Advertorial 3 - Basic Principles
Advertorial 4 - Characteristics of Successful Traders
Advertorial 5 - Playing to Your Strenghts, Overcoming Your Weaknesses
Advertorial 6 - Winning Psychology
Advertorial 7 - Avoiding Common Pitfalls
Advertorial 8 - Sound Money Management
Advertorial 9 - Trading Systems
Advertorial 10 - Final Words



TechnoratiTag:finance Malaysia Shares Stock Market

Nestle Malaysia are about Milo and Halal

Nestlé started out in Penang in 1912 as the Anglo-Swiss Condensed Milk Company was acting as a trading company for the Milkmaid brand condensed milk, or as it was more popularly known, “susu chap junjung”.

It set up its first factory 50 years later in Petaling Jaya, near to the capital of Kuala Lumpur, started with local production producing sweetened condensed milk, and later its popular chocolate malt drinking powder MILO and its MAGGI instant noodle products, and later tomato and chilli sauces.
The company now employs more than 5,700 employees in Malaysia. It operates seven factories,with its main production centres in Klang Valley, Negeri Sembilan and Sarawak, all of which are halal certified. Malaysian arm of Nestlé has become a regional product supplier for Southeast Asia within the Nestlé group.“Malaysia is very well positioned within the region, it is easy to ship products in and out, and there is little bureaucracy,” Vogt explains the benefits of the group’s Malaysian presence.

The range of Nestlé products comprises more than 300 products, with MILO, NESCAFÉ and MAGGI being the best selling brands in Malaysia all of which are halal certified. and a lot of  other  foodstuff and beverages – from instant noodles to baby cereal. other brands such as Kit Kat and Nespray. “Other brands and categories also account for up to about five per cent of sales, for example ice cream and milk.”

The Damansara-based food giant manufactures its products in seven factories here and two factories in Singapore.


South East Asean

There are quite large differences in the sales volume of Nestlé brands among the countries in the Southeast Asia region, which has to do with different import regulations.

“You can see great differences in the range of products between, let’s say, Malaysia, Thailand, Indonesia or the Philippines. When Nestlé came here, Malaysia was very open, and we could invest and set up trade points and production facilities easily, while other countries like Indonesia or Thailand were more difficult because they had protection for certain local industry sectors where foreign companies were not allowed,”  said Managing Director in 2012, Peter Vogt

“However, nowadays it is starting to become more aligned. We can increasingly export into almost any country, we benefit from minimal tariffs within ASEAN, and there are almost no restrictions anymore,” he adds.

Nestlé (M) Bhd current managing director Alois Hofbauer who has recently took over the helm in February says Nestlé, which celebrated its 100th anniversary in Malaysia last year, is a “powerful company and has gained consumers trust” over the years.

Hofbauer, an Austrian relocated to Malaysia from Sri Lanka, says Nestlé Malaysia has deep roots in this country. “We are like the local multinational company. Many see us as a local MNC.”

Hofbauer says earnings driver would come from three directions – continued growth from its existing products, innovative products and export markets.

He adds that Nestlé will continue to grow and come out with more innovative products for its Milo, Nescafe and Maggi noodles. “We recently introduced Maggi Magic Meals recipe mix. It is a chicken dish in the most convenient way,” Hofbauer says.

Nestle, Hofbauer says, looks at innovation in two ways. One is for consumers through innovation and renovation of the end-products. The other innovative products include Milo Sejuk, a cold water-soluble Milo mix and the Dolce Gusto brewing machine that makes coffee from capsules.

Hofbauer says exports seem to have picked up. Nestle saw demand rise in its export markets in the first quarter ended March 31 compared with the marginal decline experienced in the fourth quarter 2012. He says Malaysia’s halal certification which is recognised around the world gave it an advantage as well enabling it to export to a lot of markets.

Hub of expertise

Nestlé was also the first foreign company venturing into the halal food industry in Malaysia as early as in the 1980s. The company set up a halal committee and introduced its Halal Policy, and even eliminated all non-halal food from its internal canteens, with the result that its production is now 100 per cent halal certified. Today, Nestlé Malaysia is the Centre of Excellence for halal within the entire Nestlé group.

Malaysia was Nestlé’s first market to apply for halal certification for all its food products. This followed the Malaysian government’s introduction of voluntary halal certification in 1994.
Nestlé Malaysia is now the company’s global Halal Centre of Excellence.

This means it offers policy guidelines, know-how and expertise on halal to other Nestlé markets.
Nestlé Malaysia’s Halal Policy outlines information on ingredients, sourcing, production, packaging and transportation of Nestlé halal products.


Nestle has chosen Malaysia as its global halal food production centre to meet the growing demand for such products in 2006.Nestlé Malaysia, producer of the company’s biggest range of halal products

Nestlé consumers worldwide have been able to buy halal versions of the company’s well-known brands such as Milo, Nescafé, Maggi, Kit Kat and Nespray since the 1980s.“And with our halal expertise here, we have a unique opportunity to serve the Middle East as well”

Today Nestlé Malaysia produces about 300 halal products in its food and beverage range which are exported to more than 50 countries worldwide.

Halal certified products are sourced, manufactured, imported and distributed in accordance with Islamic law to meet the needs of Muslim consumers.


Halal worldwide

Other leading Nestlé markets which produce halal products include Indonesia and the Middle East.
In Europe, Nestlé’s halal products are manufactured mainly in France, Germany, the Netherlands and the United Kingdom.

Nestlé halal products are also produced in the United States.

A halal inspection authority, such as the Halal Food Council of Europe, inspects the company’s factories with a Nestlé Halal Committee member to ensure products comply with Islamic law before halal certification is awarded.

Nestle’s confectionery such as Kit Kat chocolate snacks is also one of the fastest-growing product segments. “We have re-launched our Kit Kat confectionery products with a new range and have made it more affordable. In the past five to six years, it had a relatively flattish growth. After the re-launched, with fresh products, it is now growing fast,” Hofbauer says.

Nestlé is expected to add more manufacturing capacities in its plant in Chembong in Negri Sembilan. It is also working on details on setting up a manufacturing plant adjacent to its Shah Alam plant.
For the current financial year ending Dec 31, 2013, Nestle has earmarked more than RM200mil as capital expenditure (capex) to boost its operations.

“Bulk of the capex will be invested in liquid drinks and an expansion of the confectionery segment,” Hofbauer says, adding that last year the company spent about RM160mil in capex for the expansion of its culinary products and confectionery division.

Hofbauer says the group’s new plant would begin commercialisation in the first half of 2014. He adds that the new plant in Shah Alam would be mainly for liquid drink products, which,  Nescafe has a market share of 70% and Milo 50% in the ready-to-drink category.

Milo is certainly Nestle’s success story, commanding a lion’s share of the health drink market for decades. Despite its success, Hofbauer says Nestlé still has Milo under its watchful eyes.

 “Today Milo is much bigger than it was years ago. We have some 90% market share of the fast-growing health food drinks market,” he says.

Milo is very popular in Malaysia and Singapore, where the brand name is synonymous with chocolate flavoured drinks: Milo has a 90% market share in Malaysia (not the often quoted 90% worldwide share of Milo consumption), and Malaysians were said to be the world's largest consumers of Milo. This is because Milo was once used as a nutrient supplement when it was first introduced in the country, and has thus gained a reputation as a 'must have' drink for the old and the younger generations. Milo manufactured in Malaysia is made to dissolve well in hot water to produce a smooth hot chocolate drink, or with ice added for a cold drink. "Milo Vans" were often associated with sports days in these two countries, during which primary school pupils would queue up to collect their cups of Milo drinks using coupons

In 2012, the food beverages segment accounted for RM3.74bil, or 82% of Nestle’s total turnover of RM4.55bil. For the full financial year 2012, Nestle reported a net profit of RM505.3mil, or 215.50 sen earnings per share on revenue of RM4.55bil.

"In the coffee segment, Nescafe holds a 70 percent market share in Malaysia. Nestle's largest beverage brand is Milo.Our market share in coffee has been very stable over the years" said its business executive manager for coffee and beverages (Malaysia/Singapore), Don Howat.

Hofbauer says Milo and Nescafe are its star performers. He adds that Nestlé liquid drinks segment have also gained traction with strong growth in 2012 and gained market share.

Raw material

In terms of raw materials, Nestlé Malaysia uses a range of locally-grown products, but they are, however, not always sufficiently available for all the products, especially coffee and cocoa.

“We used to source cocoa from Malaysia, but since many farmers have switched to palm oil, it is not available any more at the volume we need, and we now get it from Indonesia or from other parts of the world,” Vogt says.

“We would like to use more local raw materials, but it is not always possible.”
Two examples for local products processed at Nestlé Malaysia are chilli, which is used for MAGGI chilli sauces, and rice for cereal products.

“We are working together with farmers on these specific raw materials,” Vogt says.

Nestlé (M) Bhd is set to increase the prices of its dairy products from between 4% and 8% by the middle of the year, citing rising global dairy prices as the cause of the increase.



Admittedly, Hofbauer says the group was rather boring but it has paying generous dividends to shareholders. Over the past five years, Nestlé has paid more than 90% of its net profit to shareholders.

“More importantly, not only did shareholders get dividends, they also got a nice appreciation in Nestle’s share price,” he declares.

Hofbauer says Nestle’s ability to generate cash flow enables it to reward shareholders. “Profit is an opinion. Cash flow generation is a fact.”

On a lighter note, Hofbauer, who has been with the Nestle group of companies since 1990, still finds joy with his work. “I don’t work regular hours. I will be reading emails in the morning. You have to like what you do, or it’ll be a painful scene,” he says.

Insider Asia have a analyst report of Nestle recently. Affin Investment Research said:
"All is healthy but valuations remain lofty," it said. "All in, we like Nestlé for its proven track record in strong brand and cost management; resilient demand for its products; and generous dividend payouts (above 95%).

"Nonetheless, the stock's current valuation at 27 times (above +2 standard deviation) FY14 PER fully prices this in, while yields have compressed to an unattractive 3.3%.

"We maintain our 'reduce' rating on Nestle but with a higher discounted cash flow-derived target price of RM67.05. (Previous TP: RM62.20)," Affin Research concluded.

Fairly-valued - Hold

 Kenaga, however, have a target price of RM72.80.which is based on Fwd PER of 29.0x over FY14E EPS. On account of a 10.5% share price appreciation thanks to the post-GE rally, our TP only offers a 5.5% upside now and hence we reiterate our MARKET PERFORM call.  stated Kenaga.
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Second Daughter of Lee Kim Yew 企业公主系列2 : 李静雯姐妹

In June 2011, Dianna Lee Cheng Wen was redesignated as Group Chief Executive Officer from Executive Director of Country Heights Holding Berhad, making her, at 25 years old, one of the youngest Group CEOs in Malaysia. Lee is also the second daughter of property tycoon Tan Sri Lee Kim Yew, and is not to be confused with Dian Lee Cheng Ling, Lee's eldest daughter who heads up Clearwater Group.

Country Heights Holding Berhad have six different business units.The major one is our Property Development division, followed by our Hospitality division ( Palace of the Golden Horses )  , the Health division which carries the brand name of “Golden Horses Health Sanctuary”, Property Investment division (The Mines Wonderland) and lastly, the Education division as well.

When interview with 360celsius magazine She said : "During school holidays, I would always follow my dad around in his office as his PA. Sometimes, I would have to go through HR policies and Country Height’s SOP together with my dad. At that time, I thought that hospitality was quite interesting."

"During one of the semester breaks during my secondary school days, I came in through the back door of the hotel and stood in line with all the other casual laborers to apply for a housekeeping job. They didn’t know who I was because my identity wasn’t exposed. That was my first internship and it was with Palace of the Golden Horses as a housekeeper, and I did that for the entire school holiday. I was assigned to clean the guest rooms and staff toilets. It was the most interesting job ever! You’ll find “interesting” things while you are cleaning. "

Corporate Princess Get Bully

"Nobody knew who I was and I got bullied a little. While the others were cleaning 13 rooms, I had to clean 24 rooms. There was this point of time when my dad walked into one of the rooms and he forgot that I was doing under cover; and he greeted me. It was then that people got to know that I was his daughter and they started treating me very differently. From 24 rooms, I was only given 5 rooms to clean and I didn’t have to clean the staff toilet anymore."

"Then I came back for my second internship and I applied for an F&B job. I was waiting tables for government events and weddings. This internship built up my muscles; you would never imagine that trays could be so heavy! That’s how my first two internships went about with Country Heights when I was in my teens. "

University

Dianna Lee Cheng Wen graduated with a Bachelor of Science in Corporate Finance and Organisational Management from the University of Southern California, United States. She also holds a Diploma in Advance Technology from University of Cambridge, United Kingdom.

"I also did an internship with a non-profit organization that handled patients with cystic fibrosis. We did a lot of fund-raising and charity events for the organization. This was during my varsity life in Los Angeles and we did it for the Mexican community there. After that, when I thought that hospitality was not something that I wanted to do, I decided to pursue corporate finance. I was very lucky to have gotten an internship with Goldman Sachs in Singapore. "

Goldman Sachs

"At Goldman Sachs, because it’s an international firm, you are exposed to very professional and hightech procedurals; some of which that are absent in smaller firms. That’s something that has been very valuable to me. So it is where you learn your figures, ratios, risk management, code of conduct, and such. "

 Disney

"After I graduated, I was offered a job at Disney; and at that time, I was working part-time with them. I was really keen and happy to pursue that; until my dad came for my graduation. He convinced me to come back and help out with the business and I thought that I should be a good daughter and help him out. So, serving my duties as a good daughter, I came back."

Learn Sales & pitching

"As for my first job after I came back, I was taking care of the sales department for one of the projects under Country Heights. With my involvement, I took over the entire sales team and we managed to reach the target set by the company, in fact we over achieved. And so, my job there was done. But, it was a difficult period for me because I was coming back to a different culture and it was not the same as in the US and Singapore. Adjusting to a different working culture is already something I’m struggling, worst off, I was given a sales position which I have absolutely no experience with. For sales, you always need to have a thicker face and bring yourself down. It wasn’t what I was used to at all.

At that time, I was having a tough time with my dad, I keep asking, “Why did you put me here? Why can’t I just do something where I don’t have to beg people?” But I learnt a lot that year. I closed one of my biggest deals and that was also the biggest deal for that year for Country Heights. I was around 24 at that time.

 It was tough trying to close that deal. I learnt a lot about humility. I had to wait outside of someone’s office until they were willing to see me. I think through my determination, they finally noticed that, “Okay, maybe Tan Sri’s daughter can actually do real work.”

 BACK TO HOSPITALITY

t that time, the hotel was going through some management change and they were looking for people. Since I have achieved my target in sales, they moved me to take care of the special projects that was on-going at the hotel then. It was the consultant that was working on the hotel improvement project that suggested to the board to get me to be the General Manager of the hotel.

"I was reluctant because I have decided not to do hospitality. It is an industry that requires experience that I have little of. You know, managing a hotel is not an easy job. I was only 24 years old and there were people over the age of 50 who were going to be working with me. I knew it was going to be a tough job and I was very unsure. But, my dad had a chat with me and told me to try it out.

"Being adventurous, I decided to see how far I could go and went on to become the General Manager of Palace of the Golden Horses. Our task was to transform the financial health of the entire hotel, and we did it within a year. As time went by, the health division was placed under my wing and eventually, I became the CEO for the Hospitality & Health division. That was also when we launched the new extension of Golden Horse Health Sanctuary. By then, I had two hotels and three health centres under my care, it became the second largest revenue contributor to the group after the Property Development division. "

Under her portfolio, the Hospitality and Health Division is the second major revenue contributor in Country Heights Holdings Berhad. In line with the company’s vision of “Ever Searching for Better Living”, she has also spearheaded the project to transform Mines Resort City to Mines Wellness City, an innovative enhancement on the group’s flagship project. In June 2011, she was re-designated to Group Chief Executive Officer of Country Heights Holdings Berhad.

"There was then a change in the top management for the entire Country Heights Holdings Berhad. With the positive turnovers in the Hospitality & Health division, along with a good portfolio, the board thought that I would be the next suitable successor to take over Country Heights Holdings Berhad."

In smaller companies, you can pick up a lot on the cultural values, the more heart to heart things. They’re more family orientated, where you work as a family and when they do business, they look at you as a sole individual. Sometimes when you’re a big organization, we do so many corporate deals that at an event of any transactions, we tend to lose that human touch.

"Now, that’s something that I’ve learnt from a smaller organization. I always remind myself that behind every number, there’s one person there; and that person has feelings. It’s something that you really need to take care of. "



THE DRAWBACKS of being young

 Of course there will be this group of people who would think that they’re older and they’re more experienced, and wonder why they should listen to me. But I think that’s very common. It’s mostly based on your style of communicating with your people. Throughout my working experience here, I’ve never had anyone come up to me and tell me that I don’t know what I’m doing.

I had once had an older staff who came crying to me and telling me that his daughter is my age and she’s still sitting at home and playing video games. I scolded this guy earlier on for some mistake that he made before he came in to my room crying, so I was thinking that he was upset and was about to screw me up for that. To my surprise, he told me that I did the right thing by pointing out his mistake. I get more of “Thank you, Dianna”, rather than “Dianna, you’re not doing the right thing!” So I guess I must have done something right.

 I think the main point here is that people see that I do things in the interest of the company; I don’t do anything for myself. They need to realize that if the company does well, they will do well too and if I do everything based on my personal interests, I dont think I would have gain the trust and support from them today.

CEO and Married in 2012

"In 2012, we improved by more than one thousand percent in terms of operations efficiency. This came as a bigger surprise because in 2012, I got married, I was pregnant and I was new to the Group CEO job. I’m thankful."

Being a MOTHER, (CONGRATULATIONS!) HOW DO JUGGLE AND BALANCE BETWEEN ALL RESPONSIBILITIES?

To be frank, I’m still trying to juggle it. These days, I wake up at 6 a.m. and then play with my daughter, feed her, shower her and get to work. After work at around 8 p.m. I have to shower her and cook. I wrap that up at around 11p.m. before spending some time with my husband, and basically the day is done. And when I’m at work, I think about my baby.

I’m still in the midst of juggling all these and make sense of how to utilize my time. Honestly, I have not found my sweet spot yet.

MOTHERHOOD and politic

I think before you’re married and before you even have a kid, you don’t take an interest in politics and public policies. Now, you look at things differently because this is where your children are going to grow up, within the frameworks set today.

I take more interest in the political news and the policies the country is applying because eventually, my daughter is going to be within this system and I want to make sure that this system is sustainable for her and she has equal chances of succeeding.

I keep an eye on the global environment now instead of just focusing on my small network of friends and the company. Because in order for someone to succeed, the family has to succeed; and in order for the family to succeed the nation has to succeed.

What is your vision as Group Chief Executive Officer, Country Heights Holdings Berhad?

Country Heights is a company with good fundamentals, financially and culturally. My goal is to continue the company's fundamental belief by "Ever Searching for Better Living". With Lakeview as a stepping stone for our new idea of a home that is good for your health, we would leverage on our group's 10 years' experience in preventative healthcare achieved in the Golden Horses Health Sanctuary. Combining both Health and Development is something we are working on to achieve.

What project are you currently working on that you're excited about?

Our Cyberjaya project on LakeView Residency is only the first few steps we're taking there. Watch this space for more exciting things coming!

Dianna Lee Cheng Wen have another younger sister Diani Lee , who is General manager of Corporate Communication in Country Heights.

Update : Most enterprising Corporate Princess

李静雯
李金友千金李静雯 出任绿野集团首席执行员


丹斯里李金友把锡矿地变黄金地的事迹，一直是企业佳话，近几年他在商界以低调姿态示人，但就在这名商场老将逐渐退居幕后之际，其接班人也悄然崛起。

李静雯是在2008年7月7日加入该公司，成为集团董事经理兼创办人的特别助理；她成功考获工商管理－企业金融与组织管理大学文凭。

李静雯在她的大学生涯中，她曾经在新加坡高盛以及洛杉矶迪士尼消费产品担任过财务分析员；同时，她也曾在Familia Unida慈善机构担任过策略分析员。

当同龄女性还对未来处于懵懂阶段之际，次女李静雯却已在25岁的芳龄挑起大梁，成为绿野集团的首席执行官，也是大马企业界最年轻的掌舵人。

在南加州大学毕业后，曾在著名投资公司高盛实习，之后于2008年加入父亲的公司，在绿野白沙罗的销售部门，交出亮丽成绩单后，

2009年被委任为金马皇宫总经理，以短短18个月的时间扭转公司劣势，其非凡的才能令人侧目！ 2009年，她被委任为董事部执行董事一职，目前正积极发展赛城Lakeview Residency的发展计划，这项高10层楼的发展计划，预计会在2014年完工，成为大马另一产业标志。

据知，这项计划将结合绿野集团的两大专业–医疗与产业发展作为产业主题，李静雯也因此深信注入环保概念的发展计划，将令市场惊艳。

绿野集团（CHHB，5738，主板产业股）将在未来12个月内，推出发展总值达9亿3500万令吉的产业发展项目。

绿野集团总执行长李静雯表示，以往公司的焦点都是放在销售已建好的产业，但是随着公司成功减少产业库存，公司会把焦点转向推动更多发展计划。

她指出：“公司将在未来12个月内，陆续推出位于吉打、赛城、绿野休闲城（Mines Wellness City）的发展项目。”

绿野集团会在吉打推出Belleza Garden Homes的第二阶段发展，发展总值为6800万令吉。

此外，公司也会在赛城推出复式公寓（Duplex Condo），发展总值为5400万令吉。

至于绿野休闲城，公司将推出发展总值约8亿令吉的计划，这包括商业街、独立住宅单位，以及小型家庭办公室（SOHO）。

打造休闲保健城另外，绿野集团也计划把绿野休闲城转变为大马首项综合休闲保健城，预计在今年10月推出整项计划。

她说：“我们会在推介礼上，宣布未来10年的发展计划，其中包括发展总值的约1亿5000万至2亿令吉的商业街。”

这项发展计划占地约800英亩，目前还有119英亩是用作未来发展。不过，目前仍有部分地皮不属于公司。

因此，他们要解决土地股权问题之后，才能公布整项发展计划的毛发展总值。

在股东常年大会结束后，李静雯出席记者会时发表谈话。

对于公司展望，她指出：“随着公司在产业发展的预算高于去年，以及越来越多发展项目已完工及脱售，如Belleza Garden Homes的第一项发展项目，所以，公司预计2013财年营业额及净利将高于上财年。”

针对国家银行出手抑制“发展商承担利息计划”（DIBS）的传言，李静雯回应，这项措施将可抑制投资活动，并使到产业承购及销售率放缓。
不过，由于绿野集团并无执行DIBS，所以，不会对公司带来影响。

发展焦点仍在半岛目前，绿野集团拥有接近6000英亩的地皮，其中接近5000英亩落在古晋的Borneo Highland，吉打则有约200英亩土地，而剩余的地皮则落在绿野休闲城、赛城、加影等。

她指出，古晋的市场需求不足以推动公司迅速发展公司持有的地皮，所以，发展焦点还是放在大马半岛。

同时，她预计，目前持有的地皮足以应付未来7至10年的发展计划。

虽然绿野集团拥有庞大的地皮，但是，未来公司还是会持续购地。

“由于我们计划发展有地住宅，所以，公司目标寻购的土地不能少过10英亩。”

小题：增加投资产业目前，绿野集团并无成立产托的计划，因为这需要很好的产业收益率才能做到。

“不过，公司肯定会在未来增加更多投资产业，以便提高公司的持续性收入。”

她指出，若未来要收购用作发展投资产业的土地，公司会把焦点放在业务版图之外的土地。

滿意女兒領導

“半隱退”的李金友對千金李靜雯的領導感到滿意，並指團隊方向正確促使公司品牌備受肯定。

“年輕人應獲更多機會，持續領導公司邁向前並取得更大進步空間。”

綠野正啟動的綜合醫療及健康的度假村，佔地1千英畝，將打造成一個集現代及輔助醫藥的一站式保健中心。

他說，公司致力於將全球各地優質的醫療服務引入保健度假村，確保營運能永續經營。

“保健業務有別於其他屬於週期性的領域發展，隨著人們的保健康意識逐漸提昇，相信此業務可攫取更大的成長契機。”

該公司曾提出各項重組建議，包括雄心勃勃欲將產業發展臂膀掛牌，放眼減債及籌措逾3億令吉，惟分拆上市計劃最終卻遭證券監督委員會駁回，引起市場的強烈沽售，導致股價創下歷史新低紀錄。

隨後提出設立產業投資信托（REITs）計劃，但最終卻不了了之，因此究竟能否突破重圍，極力向上游，則仍有待觀察。

勞碌了大半輩子的李金友，如今已逐步退位，而隨著其千金李靜雯加入綠野並接任首席執行員職位後，繼承父業的重大責任就在她的肩膀上。

自小接受父親薰陶的李靜雯，能否接過管理權後開創另一片天地，並引領綠野再創高峰，更是未來營運之路的關鍵所在，下一個“綠野王國”有待發掘。

长女李静霖
李金友的长女李静霖也曾在集团内帮忙，她在澳洲升学时，负责协助父亲监管澳洲的业务，并在学成归来之后，担任父亲的特别助理。

不过，雄心万丈的李静霖，在2005年决定自行创业，选择不在父亲的荫庇下高飞，她和5个合作伙伴，创办了产业发展公司Clearwater Development私人有限公司。在大馬白沙羅高原發展首項產業。

她剛大學畢業就出任綠野集團的澳洲公司執行董事，還以23歲之齡雄心勃勃自行創業。

婚姻狀況：已婚

成長背景：澳洲墨爾本RMIT大學文科系（主修專業通訊與市場）畢業，當年她已出任綠野集團（澳洲）有限公司的執行董事。在最後兩年的學期休假時，她返回大馬擔任父親的特別助理，負責產業與酒店管理的投資計劃。

動態：自行創業，與4位朋友聯營一項總值估計達1億2000萬令吉的“Clearwater Residence”高級產業發展計劃，並由她出任董事經理，產業地點是在白沙羅嶺。此公司與綠野集團沒有關係，其中一位合伙人是新加坡著名繪測師。

耳濡目染
李靜霖有自己的產業夢

所謂“虎父無犬子”，綠野集團（CHHB，5738）董事經理丹斯里李金友在產業界享有盛名，他的女兒李靜霖承傳了他的基因，在夢想召喚下，也開始涉入產業界。

含著金湯匙出生的李靜霖，不因家境顯赫，而坐享其成，反而百般思索，希望從父親成功的歷程尋找暗示，舖展屬於自己的事業路。

人因夢想而偉大，李靜霖雖然可選擇在父親身邊，協助打理父親的業務，穩穩當當過生活。然而基於對產業的興趣和熱誠，加上對自己的期許，她毅然決定創業，把理想中的產業模型付諸於行動。

由於從小受父親的薰陶，她對經營產業並不全然陌生。李靜霖曾在綠野集團當任父親的特別助理長達2至3年，學習父親的處世方法，並開始累積產業界的經驗和人脈。

此外，她曾是Country Heights（澳洲）私人有限公司的執行董事，負責管理父親在澳洲的業務。

李靜霖在澳洲墨爾本RMIT大學取得傳播和行銷學位，卻始終難捨對產業的熱誠。在偶然的機會下，她萌起創業的念頭，於是開始籌畫成立自己首家產業公司－Clearwater發展私人有限公司。而長期耳濡目染下，她第一次創業就選擇產業，並不叫人驚訝。

她說：“經營自己的產業公司是我一直想做的事情，也是我所追求的夢想，我希望可以靠自己，創造自己的事業。而機會來到，我想何不嘗試看看。”

李金友汲汲營營搞好事業的專注精神，也讓她看在眼中，而今她也跟隨父親的腳步，選擇親身經營。

李靜霖指出：“我期望往後每年僅進行1至2項產業發展計劃，以確保公司的產業概念可以貫徹，我也要求自己親身管理、監督各項產業計劃的進展。”

沒錯，身懷六甲的她仍每天定時報到，確保一切進程皆在掌握之中。

和父親不同路線

李靜霖形容父親為朋友、老師，父親教導她如何做人處事，以及對金錢的價值觀。

她說：“父親從小都不特別溺寵孩子，也不隨便給我們錢花，他很講究5個子女的教育，他教導我們認識錢的價值，並訓練我們養成獨立。而這是為什麼我選擇出來創業的原因。”

當然，女兒有自己的理想和見地，身為父親的李金友也必然全力支持，除了精神上的支持，更不忘傳承多年的寶貴經驗。

儘管如此，李靜霖強調，Clearwater發展和父親的綠野集團是獨立運作的。

塑造別緻年輕化產業

相較於李金友的金馬皇宮、綠野仙蹤等大型“作品”，李靜霖有另一套想法，她希望為自己的作品塑造一個別緻、年輕化的形象。

她說：“我和父親走的路線不同，Clearwater走的是都市精品、年輕化、設計路線；父親則是以家庭、地方性為主。我們鎖定的客戶群也不盡相同。”

沒錯，只要步入位於白沙羅高原的Clearwater示範屋，就可以了解她的產業概念，講究設計和美感細緻，與她柔美的女性特質不謀而合。

雄心勃勃談未來

由於對白沙羅高原的鍾愛，李靜霖處女作品選擇在該地段，並命名為Clearwater。該計劃預期於今年杪動工，預定於2009年杪完成。

Clearwater發展總值達1億4000萬令吉，佔地1英畝，高聳的18層樓共有108個單位，目前已售出近75%，主要客戶除大馬人外，更有來自中國、香港和新加坡等國。

李靜霖透露：“此外，我們正洽談2至3項工程，其中2項座落在巴生河流域，另1項則在泰國，一旦敲定，預計將於明年推出。”

置產不可忽略投資回酬

當許多同齡的人還在摸索如何進行投資時，李靜霖對投資產業已擁有獨到的眼光。她認為購置資產時，除了喜好、環境外，投資回酬是置產不可忽略的重要因素。

她說：“我第一次購置的房產就落在白沙羅高原，我偏喜歡這地段，除了民生方便、交通方便、環境良好，當然更因為投資這裡的房地產，所帶來的回酬可觀。”

白沙羅高原目前已鮮少有高樓住宅，而李靜霖首個產業計劃─Clearwater是當地唯一尚在銷售的高樓住宅，因此雖未正式推介，卻已銷售近75%！

李靜霖說：“政府撤銷產業盈利稅（RPGT）後，已吸引外資集團投資本地產業。此外，馬幣升值也使得外資享受房產增值外，也從馬幣走強獲利。”

她補充：“此外，相較於許多國家，大馬產業仍被低估，對外資的吸引力相對大。”

最新 : 最有创业精神的企业公主

Guide To Trading With Discipline & Confidence (Advertorial)

Day 1 - Introduction
The goal of any trader is to turn profits on a regular basis, yet few people ever really make consistent money as traders. What accounts for the small percentage of traders who are consistently successful?

Day 2 - The Basics of Analusis and Rational Trading
For a number of years, fundamental analysis was considered the only real or proper way to make trading decisions. Today the opposite is true. Almost all experienced traders use some form of technical analysis to help them formulate their trading strategies.


Day 3 - Basic Principles
To operate effectively in any trading environment, you need rules and boundaries to guide your behavior. It’s a simple fact of any trading, no matter what “system” you’ve developed.


Day 4 - Characteristics of Successful Traders
Successful traders have a few things in common. Developing these characteristics and habits will help make you a successful trader.


Day 5 - Playing to Your Strenghts, Overcoming Your Weaknesses
Every individual has different behavior patterns that make them unique. By understanding your own habits and behaviors, you can greatly improve your trading abilities and your ability to accumulate wealth.


Day 6 - Winning Psychology
Most traders who are successfully initially end up losing all their gains – and more. To be successful, you have to acknowledge this pattern… and then break it.

Day 7 - Avoiding Common Pitfalls
Most markets have predictable trends and repeated patterns. Why? Because most things that happen in the markets are a results of the motivations of the people in those markets.


Day 8 - Sound Money Management
If you don't use good money management by locking in profits, taking small losses on the picks you're wrong about, and controlling your use of margin, eventually you'll lose it all, no matter how good a trader you are.

Day 9 - Trading Systems There are many ways to profit from the markets. There is however, one common element all successful traders have: they approach trading in a systematic way.


Day 10 - Final Words
Trading is a means to an end. Trading is not an end in itself.

DisclaimerThis course is for general information and not prepared for a person's specific investment objectives, financial situation or needs. It is published on the understanding that nothing contained herein is to be construed as a specific advisory recommendation or invitation to trade any securities, contracts or any financial products. It should be noted that trading in securities, futures contracts and any other financial products involves high risks and anyone who buys or sells any securities or contracts are doing so at his or her own risk. Please consult a licensed investment advisor before making any investment decision. Further note that no method of trading is foolproof and past performance is no guarantee of future results. We do not guarantee the accuracy, reliability or completeness of the information in this guide and nothing contained herein should be made the basis by anybody for any claim, demand or cause or action.

DRB-Hicom will have a proposal in next couple of months

With reference to our blog post : DRB-Hicom a Financial Holding Company? dated 8 July 2013. The Edge weekly interview CEO of Bank Muamalat Malaysia Datuk Mohd Redza Shah Abdul Wahid on it 22 July 2013 issue.

The Financial Services Act 2013 affects DRB-Hicom, which would need to aaplu to Bank Negara to be approved as a Financial Holding Companies (FHC), analysts say. But it does not make sense for the group, which is controlled by prominent businessman Tan Sri Syed Mokhtar Albukhary, to be a FHC because it is also invloved in other, bigger business like automotive, energy and ports. Bank Muamalat accounts for only a small part of the group's revenue - about 7% last year. Reported The Edge weekly.

According to Syed Mokhtar Albukhary a  Biography . Tan Sri Syed Mokhtar have connection with Minister in Datuk Seri Shahidan Kassim (Minister in the Prime Minister's Department) and Deputy Prime Minister Tan Sri Muhyiddin Yassin. The trio know each other when they were nobody. Syed Mokhtar later connected to former Prime Minister Tun Dr. Mahathir bin Mohamad.  it is not sure whether government would give him special treatment base on the above powerful connection.

DRB-Hicom has attempted thrice to pare down its  interest to 40% , to sell its excess stake to Bahrain-base Islamic lender Al Baraka, Bank Islam Malaysia Bhd and Affin Holdings Bhd over 5 years. Reported The Edge weekly.

Mohd redza told The Edge weekly that the group is looking at the best move forward. " I think, in the next couple of months, it'll come back with a proposal."

"we are open to various options because the banking market is saturated, the regulatory complinace costs are getting higher and operation consts are also going up due to high overheads, especially in terms of manpower costs. So, the logical thing to do is a consolidation."

The group is open to a merger with another bank, including Bank Islam, if make sense.

" I guess Bank Islam is one of the option. We're open to any bank that adds value to existing shareholders and the furture of the bank" Mohd Redza told the Edge weekly.

The Star on 15 March 2013 reported that parent to both BIMB and Bank Islam, pilgrim fund Lembaga Tabung Haji  is revisiting the idea of a mega Islamic bank involving a merger between BIMB and Bank Muamalat Malaysia Bhd.

A BIMB-Bank Muamalat merger would put the combined entity ahead of Maybank Islamic Bank, currently the country's largest Islamic bank by assets (97 billion) and Asia-Pacific's largest syariah lender, market watchers said. Bank Muamalat has an asset size of RM21 billion.

DRB-Hicom, as the country's biggest automotive group with over 20 marques such as Proton, Honda and Volkswagen, derives the bulk of its earnings and revenue from this business.

In FY2013 ended March 31, its automotive division accounted for about 77% of totoal group revenue of RM13.13 billion.

According to FSA, a company can propose another company within its corporate group to be  approved as a FHC if it can be shown that the proposed company is in a position to have control over  a licensed person and its proposed financial group. " You could put another structure in between DRB-Hicom and the bank. You could create an SPV to hold the bank in stead of DRB-Hicom" Says a source.

However, analysts do not believe this option will hold water with Bank Negara, especially since the central bank had wanted the group to reduce it 70% stake to 40% as far back as five years ago.

However,  as it is a requirement that unable to fullfill for 5 years and there is no SPV in between DRB-Hicom and Bank Muamalat.  Why DRB-Hicom still allowed to increase it gearing to acquired Proton and Pos Malaysia Berhad?

Just on 13 July 2013, DRB-Hicom proposed to acquire the Minister of Finance Inc's entire 96.87 per cent equity interest in Composite Technology Research Malaysia (CTRM) for RM298.26 million. Do you think a potential FHC can increase it gearing before cleaning it own house? Further, DRB-Hicom never clarified on untally figure on analyst's report! Actual gearing and "interest cover" might be higher!






Update : BIMB in RM6.7bil deal
Valuation of UniAsia Life Insurance Bhd  on the low side

Sound Money Management (Advertorial 8)

One of the most difficult qualities of being a successful trader is learning to be a good manager of your own money. It's completely possible — and actually pretty common — to see people turn out to be right on a high percentage of their trades and still lose money. How is that possible? If you don't use good money management by locking in profits, taking small losses on the picks you're wrong about, and controlling your use of margin, eventually you'll lose it all, no matter how good a trader you are.

Protecting your capital is your first priority.

As a trader, the most valuable thing you have is your capital. Without it, you can't trade at all. Bringing in no profits at all is better than losing any part of your capital, because if your account is intact, you can always make a profit another day. If your capital has suffered a loss, you'll be wasting effort playing catch-up. The more you've lost, the longer it will take to get back to where you started from — both because you've got more to make up for, and also because with a smaller chunk of capital to work with, your profits for any given percentage return will be proportionally smaller. Making 10 percent on a $10,000 account earns you $1,000, but if you've lost half of that account and have only $5,000 left, making 10 percent on your money will earn you only $500. You'd have to do that twice to make the same $1,000.

Market corrections are inevitable, and will continue to occur from time to time. Traders must anticipate them and take precautions before they occur. Properly prepared, traders can even profit from corrections. Without proper money management, though, your account balance can be destroyed.

Goals of Good Money Management

Sound money management has two main goals: to avoid losing money, and to avoid missing profit opportunities by tying up capital in problem trades for long periods of time. Failing to avoid either of these will cost you.

Avoiding loss of money is pretty easy to understand: You want to preserve your capital and whatever profits you've accumulated. Not only do you want to keep it, but you want to trade with it as well, so that your capital continues to grow and makes your returns larger and larger.

Avoiding loss of profit opportunities isn't quite so obvious, but if you think about it, it's easy to see the point. Let's compare the outcomes of two money-management decisions. Trader A buys a stock, expecting it to go up, and finds that it doesn't. He's just sure it will go up eventually, and he's incurred a small loss, so he decides to wait it out. He ends up holding the stock for three months before finally selling it.

Trader B buys the same stock at the same time as Trader A, but once he sees that it isn't going up, he sells it at a small loss. He buys another stock and makes a 15 percent profit on it. His next trade loses 1%, but after that he makes 8 percent, 15 percent, and 30 percent on series of trades. Because he is growing his account, he makes these percentages on a larger and larger capital basis each time. At the end of three months, his account has grown by 48 percent.

Whose money-management decision turned out to be the best? While Trader B made a nice profit, Trader A not only lost time but also never made his money back. Even if he had made his money back on that stock, it's hard to see how this was a good use of his capital over the course of three months.

Keys to Sound Money Management
There are six important things you must do to manage your account safely and effectively:
1)Lock in profits.
2)Take small losses and make big gains.
3)Use margin with caution.
4)Go to cash when the market nears its top.
5)Diversify your portfolio.
6)Hedge risk.

You must do these six things consistently and without exception. The most important difference by far between successful and unsuccessful traders is money management.

Exercising good money management is the single most important thing you can do to improve your trading performance.

Lock in Profits



Lock them in or lose them. We can’t say it more simply than that.

One of the most common and frustrating mistakes traders make is failing to lock in profits. It's great to be up 35 percent on a trade, but it's only “virtual” money until you do something to ensure that it's yours to keep.

Remember one of our examples from the last chapter? A trader watched his stocks go up initially, failed to take profits, and then watched them go back down — and down, until he'd actually lost money on what had been profitable positions. There's no reason this has to happen. It will happen, though, if you have no plan and no strategy for locking in profits.

How should you lock in profits? Since price targets are guidelines, we recommend making a habit of selling half our shares at a more conservative target than the one you actually think the stock has a good chance of reaching. That way, you lock in a good chunk of profits, and whatever happens after that there's no way those profits can disappear. Sometimes, if you think the stock could travel a long way, plan several levels where you’ll take profits — first selling half your position, then half of what's left, then half of what's left of that. Often these selling points are near psychological barriers you expect the stock to encounter — round numbers like 10, 20, and 50, or percentage barriers like a 25% gain for the day.

Another way to lock in profits is to use trailing stops. By continuously raising these stops as the stock price moves up, you’ll lock in the profits you’ve made below the stops. You can also protect the entire position in case of a sudden downturn.

These strategies must be part of the plan you have before you ever buy the stock. After you're in the position, it's too easy to get either panicked or carried away by high expectations. Locking in profits is part of your exit strategy and as such is part of the whole plan for the trade.

Let's look at a shorting example. You short a position at 38 after it runs up 100% in a day on modest news. You calculate it could lose around half of its new gain in a day or two. You decide that you'll take half your profits when it gets down to about 35, another half when it reaches 32 and the rest when it reaches 29. You place a stop buy-to-cover order at 40.21 and wait.

The position moves as you’ve predicted, and within an hour is approaching 35. You adjust your trailing stop to cover half your position at a lower price and place a limit buy-to-cover order on the other half at 35.10, which executes.

Late in the day, the position takes a dip down to 32.70, then 32.30. You know that a lot of people put in orders right at round numbers, so you always try to get in a little ahead of them. You buy to cover half of the shares you have left at 32.10. You reset your stop for a lower price on the position that is left but let it expire at the end of the day because you think it might temporarily gap up in the morning as the last gasp of its big run. The position closes at 32.60.

The next morning, it gaps up as you thought it might, reaching 33.40. It then starts to fall, slowly making its way toward your expected final selling point of just above 29. You reset your trailing stop at 33.60.

To your surprise, though, it picks up steam later in the morning and runs up to 33.90, triggering the stop on your remaining shares. It seems to have the legs to run for another day. You don't care, though — you're happy, because you took profits at a much better price yesterday and no one can take them away from you. On top of that, you're now free to short the position again once it reaches the top of its second-day run.

If you'd held your entire position, you'd have no profits and would have to wait for the position to go down in order to see them — plus you'd run the risk of it rising higher than the point where you shorted it.

Accept Small Losses and Make Bigger Gains

If you don't take small losses, you’ll eventually lose. If you're unwilling to take a loss on any trade, we guarantee that you'll lose money.

Most people have trouble taking small losses. They don't want to lose anything on a trade because it makes them feel like they failed somehow. But taking small losses means you succeeded. Focus on the fact that you should take small losses, not that you should take losses. Taking small losses is a way to limit losses when they occur and to make sure they never turn into big ones. Taking small losses and big gains is the way successful traders trade. It's the only way to be a successful trader.

The best way to enforce the discipline of taking small losses is to use protective stops on every trade. If you decide how much you're willing to lose on a trade before you enter the position, as part of your plan, you can set your stop right after you enter the position and you won't have a chance to second-guess yourself.

If you think about how much you're willing to lose as part of your plan, it also helps you determine about whether the trade is one you really want to make in the first place. Taking a good look at your downside should help to keep you away from questionable trades.

Use Margin Carefully

Margin is a powerful tool that can really increase your profit, but must always be used with care. The fact that using margin lets you make much more on successful trades but lose much more on unsuccessful trades should make you even more carefully evaluate the risk-to-reward ratio every time you look at a potential trade.

What's the proper way to use margin?

First of all, don't use all of it. Always leave yourself a generous cushion. Every change in the price of a stock in your portfolio changes the value of the collateral you have available for your margin loan. If the value of your holdings goes down, it will go down faster due to margin than if you weren't using margin, and this means that the size of your margin cushion will decrease at the same faster rate. We suggest that you never use more than two-thirds of your total margin capacity. This leaves at least one-third as a cushion. If declining values bring your cushion to below one-third of your capacity, it may be time to sell some positions to keep you out of trouble.

Second, when deciding how great a loss you can tolerate on any one trade, remember to take margin into account. If you're using half your margin capacity, a 2% loss on the value of a stock position will equal a 3 percent loss to your actual capital.

Learn how your broker calculates account equity. This can be very confusing, but it's really helpful to be able to anticipate how much margin capacity you'll be left with after you make a trade. Always keep track of your margin status. Check it every morning and at the end of every trading day.

Don't worry about margin interest. Your broker will charge interest on the borrowed amount, but the interest rate is low and the cost is extremely small if you're trading profitably.

In general, use margin only in markets with a strong bullish direction. You can't use margin capacity to increase the sizes of short positions in a bear market, anyway (though you must have a margin account to short.) Whenever the market seems overbought, unsteady, or unclear in its direction, get completely out of margin before a downturn can take place.

Shift to Cash When a Market Nears its Top

Besides getting out of margin when a market seems unsteady or overbought, you should also lighten up on positions and go mostly to cash. When the market is about to turn, cash is always safest. Staying away from unpredictable and difficult to trade volatility will save your account from potentially devastating losses.

Diversify your Portfolio

Diversification is very important in trading. Putting all of your money into positions that carry the same types of risk is not good money management. Instead, find trades with different risks so that if one sector experiences a sudden downturn, only a portion of your account will be affected.

Hedge Risk

Learn about strategies for hedging risk. For example, if you're playing a stock that you believe will go up but could instead go down, try to find a weaker stock that should generally go in the same direction and short it. That way, if the primary stock goes down, you'll profit from your short, which is likely to fall faster because it's weaker. If it doesn't fall, it's not likely to rise as fast for the same reason.

Many common hedging strategies involve options. Two examples are straddles and strangles. A straddle is an options play where both a call and a put are purchased. The call and put have the same strike price, the same expiration month, and the same underlying stock or index.

A strangle is an options play where both a call and a put are purchased. The call and put have different strike prices (usually both out of the money), but have the same expiration month and the same underlying stock or index.

Hedging is a form of insurance, so it will cost you a bit by decreasing the profits you make on a play. But there are times when insurance is well worth the cost.

Risk Taking

Traders who routinely fail to use safe trading and money-management practices should ask themselves why they're engaging in dangerous and self-defeating behavior. There's always a psychological motivation for something that doesn't otherwise make sense. What are they getting out of it, since it's clear that they're not getting better financial results?

Risky behavior is often a form of escapism or a substitute for something more meaningful in a person's life. If you seem to resist using proper money management or often "forget" to make a plan or set stops, take a look at your own motivations. Better to figure it out now, deal with it, and prosper than to lose all your money because you didn't know what you were really trying to do.

If you find yourself taking unnecessary risks or engaging in other self-injurious behavior, try to figure out your motivations and deal with them.


"What Takes Some Successful Traders A Lifetime To Achieve Could Take You Just A Few Days... Or Less!"

HOME
Advertorial 1 - Introduction
Advertorial 2 - The Basics of Analysis and Rational Trading
Advertorial 3 - Basic Principles
Advertorial 4 - Characteristics of Successful Traders
Advertorial 5 - Playing to Your Strenghts, Overcoming Your Weaknesses
Advertorial 6 - Winning Psychology
Advertorial 7 - Avoiding Common Pitfalls
Advertorial 8 - Sound Money Management
Advertorial 9 - Trading Systems
Advertorial 10 - Final Words

Another daughter of Chua Ma Yu 企业公主系列1 : 蔡傌友的女兒蔡嘉文

Carmen Chua 2007 at One KL consttrction site






Talk about daughter of  Tan Sri Chua Ma Yu (Co-founder of RHB Group), everybody think about Carmen Chua, Managing Director of ONE KLCC Sdn Bhd, developed OneKL near KLCC, that is famous for offering a pool with every apartment. feature the innovative "94 Apartments, 95 Swimming Pools". It went on to receive ‘Best Development' under CNBC's International Property Awards,

Having received much acclaim with the exceptional outcome of the award-winning ONE KL project, Carmen shares about her next big venture - Malaysia's first six-star development,The St Regis Kuala Lumpur in KL Sentral, which is expected to be completed in 2014. However, CMY Capital market both One KL and St Regis Kaula Lumpur to local only and never capitalist on recent influx of Taiwanese and Chinese investor. Camen chua have to be high profile to promote the property it family developed.

However, There is at least two nominee representing CMY Capital seem to be siblings of Carmen Chua despite maintaining low profile or, at least not under radar of local media yet.

One is Carmey Chua

In fact, Carmey Chua has been representing CMY Capital on Board of Furniweb Industrial Products Berhad since 2008, accoding to Annual report of Furniweb Industrial Products Berhad. This mean Carmen Chua no longer on board of public listed company since 2008. However, it seem nobody notice the change, or people mistakenly Carmey Chua is Carmen Chua.

Carmen Chua has been ceased to be substantial shareholder of Furniweb, accoding to filing dated 29 May 2013. shares price of Furniweb has been rising 75% since beginning of May 2013

Carmey Chua also resigned as non-Executive director on 7 Jun 2013 following the above disposal.

According to above filing, Carmey Chua hold Master of Science Degree in Applied Mathematics from the London School of Economics and Political Science, United Kingdom and has been working with TIME Engineering Bhd (2001), Deutsche Bank, Research(2003),Credit Lyonnais Securities Asia , Research,Kuala Lumpur (2005)and Merrill Lynch (Asia Pacific) Limited, Equities Trading, Hong Kong (2006)

Base on quick search from web. Carmey Chua was CEO of Waterfront hotel base in Labuan. A property own by Chua family.

Following the above disposal. It seem no people from Chua's family on board of any public listed company since the above date .

Photo from KeeHuaChee.blogpost
From left : Carmen Chua (29), Chee Kee Hua ( Fereelance journalist) and Carmey Chua (27)

Another person suspect to be siblings of Carmen Chua is Simon Chua Sai Men, Simon Chua representing CMY Capital on Chinese Chamber of Commerce.

Photo from KeeHuaChee.blogpost



Update : Chua Ma Yu's son emerges in Cypark - The Edge Malaysia





企业公主系列1 : 蔡傌友的女兒蔡嘉文

ONEKLCC私人有限公司董事经理
投资大亨丹斯里蔡傌友向来低调，但在大马企业界却一直因为他的穿针引线，而完成许多改变市场面貌的重大企业活动。

市场盛传，他是南方银行与联昌国际合并的幕后推手；森那美与其他3大种植公司在2006年的合并活动，他也是关键人物之一。










Photo from KeeHuaChee.blogpostFrom left : Carmen Chua (29), Chee Kee Hua ( Fereelance journalist) and Carmey Chua (27)

长女蔡嘉文和低调的父亲，有着截然不同的形象，她开朗鲜明的个性，很容易引人注意，而且想法常跳脱传统框架，总是有令人眼前一亮的新点子。
父亲创办的Waterfront集团，也在女儿的加入之后，呈现了另一番活力景象。

2005年杪，当时只有23岁的蔡嘉文，便成为著名产业发展项目ONE-KL的智囊团之一，“94个公寓，95个泳池”的大胆概念，让市场惊叹连连，充分展现出她过人的才能，表现令许多前辈刮目相看。

这个令人叹为观止的建筑，是蔡嘉文和父亲联手合作的项目，产业计划落成之后，父女感情也跨进一大步，彼此相互了解更多，更能确保企业交棒时之顺利。

目前，她是ONE IFC私人有限公司的执行董事，公司是吉隆坡瑞吉酒店（ST Regis & Residences）的发展商，这项计划预计会在2014年杪落成，成为城中一大盛事。最近, 大马投资发展局总执行长拿督诺哈鲁丁公布2013年上半年投资数据, 他特别提到瑞吉酒店（St Regis Hotel）在吉隆坡的酒店业发展计划，将协助大马转型为豪华选择地点之一。

馬資源（MRCB，1651；主板建築組）與丹斯里蔡傌友旗下的CMY資本，聯營在吉隆坡中環廣場展開6星級酒店和高級住宅發展計劃，引進全球知名的聖瑞吉（St Regis）酒店。

• 蔡傌友（左三）和喜達屋亞太區總裁高啟坤（右三）在儀式後握手，左起為Jitra Perkasa董事阿茲蘭、蔡嘉文，右起為喜達屋收購和發展部副總裁馬修及莫哈末合影。

馬資源、CMY資本以及Jitra Perkasa私人有限公司，三方聯營的ONE IFC私人有限公司，2008與全球第3大酒店營運業者喜達屋（Starwood）簽署協議。

根據協議，One IFC公司將負責承建St Regis酒店和高級住宅，喜達屋則負責管理和營運。

St Regis酒店200客房‧200高級住宅單位

One IFC公司首席執行員蔡嘉文在簽約儀式後指出，名為One IFC的混合發展計劃位於吉隆坡中環廣場，佔地約2.2英畝。St Regis酒店將設有200間客房，以及建築200個高級住宅單位。蔡嘉文是蔡傌友的女兒。

她向星洲日報說：“敲定設計和計劃詳情後，我們將在2009年公開招標，預計2010年啟動建築工程，2014年投入營運。”

蔡嘉文表示，該計劃最終詳情出爐前，無法預估投資總額，投資資金將來自股東基金貢獻。馬資源、CMY資本以及Jitra Perkasa在One IFC公司的持股權各為60%、30%和10%。

她向星洲日報透露，城中城週遭的高級住宅每平方呎售價平均2000令吉，One IFC的高級住宅價格設定將旗鼓相當。

即使面對經濟不穩定、次貸災難、通膨和建築成本上揚挑戰，蔡嘉文對相關計劃發展深具信心，同時將緊密觀察情況發展。

馬資源首席營運員莫哈末也表示，面對成本上揚的壓力，該公司將緊密監督走勢，確保吉隆坡中環的投資項目順利進行。

喜達屋是多個著名酒店品牌的營運和管理業者，除了St Regis酒店，其他品牌包括Le Meridien、喜來登和Westin酒店等。

蔡嘉文向星洲日報指出，吉隆坡已經準備就緒迎接6星級品牌酒店。St Regis酒店95%員工將招聘大馬人，對經濟帶來有利效應。

出售Furniweb Industrial Products Berhad股份

蔡嘉文五月出售在Furniweb Industrial Products Berhad的股份. Carmey Chua (妹妹?)辞去 在Furniweb 董事职务. 这刚好发生在最近股市下降之前.可惜Furniweb股价没有下降到蔡嘉文之前出售价.

Camey chua是 纳闽Waterfront Hotel 首席执行员

Furniweb 创办人执行董事LEE SIM HAK跟随, 可以在RM0.70 以上售出, RM0.55 买回来.可以说是最近股市下降大赢家.

Photo from KeeHuaChee.blogpost

Simon chua

Simon Chua(弟弟?)是 蔡傌友资本CMY Capital 在中华总商会的代表

最新消息 : 本地两大企业家 郭令灿蔡傌友结亲家