tag:blogger.com,1999:blog-61437481789585680802009-12-18T08:16:01.835-08:00A place where i pour out my financial thoughts and philosophies. I'll blog in my spare time (for the moment), on the topic that i like to talk about.Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.comBlogger38125tag:blogger.com,1999:blog-6143748178958568080.post-5458011479737719522009-10-15T17:35:00.000-07:002009-10-15T22:20:45.619-07:00

To answer this question, we need to understand how a unit trust fund’s price is derived daily. For example, why a particular fund’s unit price is is RM 0.2858 in a particular day, and not RM 0.2832 or even RM 0.2953. Who determines this price, and how is this price derived?A fund’s price is determined by the underlying asset’s closing market price divide by total number of units of that fund on

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com2tag:blogger.com,1999:blog-6143748178958568080.post-66727236188367885872009-07-20T09:32:00.000-07:002009-07-20T20:07:02.610-07:00

Imagine a supermarket selling 2 packages below:Package 2 has all the same item as Package 1 (more in size, and also more items), but selling at an even lower price! Isn’t this insane? Given the 2 package below, you might wonder why there is anyone wants to buy Package 1. Any rational buyer would not pay that price for Package 1 when they can buy Package 2 at a lower price and owns more size of

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com5tag:blogger.com,1999:blog-6143748178958568080.post-54400086151876159372009-06-21T07:55:00.000-07:002009-06-21T08:06:40.732-07:00

I came across this article about Buffett in CNN, written by Jason Zweig. Here's some extracts of the article:____________________________________________________________________In response to a question from Barbara Kiviat of Time on how he and Munger control their emotions, Buffett replied: "[It] comes about from having an investment philosophy grounded in the idea that a stock is a piece of a

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com0tag:blogger.com,1999:blog-6143748178958568080.post-20582216503849367702008-11-05T09:40:00.000-08:002009-06-21T06:43:22.811-07:00

In his European tour in May 2008, Warren Buffett was asked to name the most important lesson he learned from his mentor, Benjamin Graham.Instead he listed three, using just 85 seconds to deftly describe the trio of "bedrock" ideas that have helped make him the world's richest man.It all comes from this .... Warren Buffett: The three most important lessons I learned were all from the same book,

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com0tag:blogger.com,1999:blog-6143748178958568080.post-73359380695919941882008-10-28T04:02:00.000-07:002009-05-08T18:21:40.814-07:00

Continued from Part 8:So these are nine records of "coin-flippers" from Graham-and-Doddsville. I haven't selected them with hindsight from among thousands. It's not like I am reciting to you the names of a bunch of lottery winners -- people I had never heard of before they won the lottery. I selected these men years ago based upon their framework for investment decision-making. I knew what they

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com0tag:blogger.com,1999:blog-6143748178958568080.post-42883556032830110052009-04-13T08:00:00.000-07:002009-04-13T23:07:09.480-07:00

Referring to the newspaper article by TheStar on RM5bil National Savings Bond on sale from April 14 , i was asked whether this investment is good or not, and whether should they invest in it.The main features of the National Savings Bond is as below:Investment amount - ranges from RM 1,000 to maximum of RM 50,000, and in multiples of RM 100.Tenure - 3 yearsFrequency of interest payment -

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com4tag:blogger.com,1999:blog-6143748178958568080.post-63836941398611334812009-04-01T09:19:00.000-07:002009-04-01T20:46:08.527-07:00

Yes, my father-in-law and my wife were in the front cover of Personal Money magazine. That time, she was my girl friend, and her father, well.... let's just say that I used to live in their house most of the time.Isn't she pretty? She's getting prettier day by day. Take a look at her blog here.Why are they in the front cover of Personal Money magazine holding money?. Well, they joined the

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com0tag:blogger.com,1999:blog-6143748178958568080.post-45743637973117443882009-03-31T01:30:00.000-07:002009-03-31T02:10:35.238-07:00

Today, i noticed a discrepancy in prices between those 2 shares. Since i can't take advantage of it, might as well i share it here in the hope that you'll learn a lesson or two, and take advantage of it, if the condition fits you.Let me share some background info:1. On 4th February 2009, IOI Corp issues a Voluntary Take-Over Offer to take over IOI Properties at:0.6 shares of IOI Corp , and RM

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com0tag:blogger.com,1999:blog-6143748178958568080.post-86160256141187787812009-02-27T23:27:00.000-08:002009-03-02T00:41:19.565-08:00

The best, simplest explaination of current Financial Crisis. Must Watch !The Crisis of Credit Visualized from Jonathan Jarvis on Vimeo.

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com1tag:blogger.com,1999:blog-6143748178958568080.post-89482311455638956222009-02-14T07:25:00.000-08:002009-02-14T08:28:51.381-08:00

Seeing The Star newspaper today, i couldn't help but to blog on the "Your Opinions" column by one of the reader through sms. His title is "Have a heart". Below is his sms:BANKS should not lower FD interest from 3% to 2.5%!. How do you expect retirees to survive? Heave a heart! BNM, please look into the matter. [adjusted for short form]I do have a few comments regarding his comment:1. Who "forced"

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com1tag:blogger.com,1999:blog-6143748178958568080.post-50202692332283219562009-01-24T03:04:00.000-08:002009-01-24T22:32:29.894-08:00

This article was extracted from Warren Buffett's letters to Berkshire Hathaway's shareholders in 1997. It's available at : http://www.berkshirehathaway.com/letters/1997.html____________________________________________________________________A short quiz: If you plan to eat hamburgers throughout your life and are not a cattle producer, should you wish for higher or lower prices for beef? Likewise,

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com0tag:blogger.com,1999:blog-6143748178958568080.post-72379539346574124142008-12-11T18:31:00.000-08:002009-01-24T06:42:31.648-08:00

This article was extracted from Berkshire Hathaway's Owner's Manual written by Warren Buffett. It's available at : http://www.berkshirehathaway.com/ownman.pdf____________________________________________________________________Intrinsic value is an all-important concept that offers the only logical approach to evaluating the relative attractiveness of investments and businesses. Intrinsic value

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com0tag:blogger.com,1999:blog-6143748178958568080.post-63013304232022994112008-11-08T08:10:00.000-08:002009-01-24T03:10:28.970-08:00

This article was extracted from Warren Buffett's letters to Berkshire Hathaway's shareholders in 2005. It's available at : http://www.berkshirehathaway.com/letters/2005ltr.pdf.____________________________________________________________________How to Minimize Investment ReturnsIt’s been an easy matter for Berkshire and other owners of American equities to prosper over the years. Between December

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com0tag:blogger.com,1999:blog-6143748178958568080.post-63260596154996503852009-01-22T03:18:00.000-08:002009-01-24T03:03:58.788-08:00

I was watching this movie, The Best Bet in Astro Wah Lai Toi channel the other day, and the villagers are betting whether the main actor, Hor Yi ( played by Michael Tse Tin Wah) would stop gambling or not (since his whole life he have been gambling). The odds are as below:A) If Hor Yi continues to gamble : Bet 1, Win 1B) If Hor Yi stops gambling : Bet 1, Win 10A Gambler might choose either one to

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com1tag:blogger.com,1999:blog-6143748178958568080.post-15945512208911048722009-01-23T20:35:00.000-08:002009-01-23T22:49:52.530-08:00

Warren Buffett sat down recently for a taped interview with Susie Gharib of Nightly Business Report to mark the PBS program's 30th anniverary on 22nd January 2009.Video of the complete 24-minute conversation has been posted on the program's website.Transcript of that entire interview available as a PDF download.Some of the excerpts of the interview:Buffett: We’ve spent a lot of money. We’ve got

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com0tag:blogger.com,1999:blog-6143748178958568080.post-83547985948731167032009-01-17T08:02:00.000-08:002009-01-17T08:14:56.640-08:00

I was wondering, why do we compare grades/ points/ position when we're in school, but not our Financial Statements when we're adults?Imagine going through our school days without knowing how we stand against everyone. I believe it'll greatly reduce our chance to get good grades/ to get scholarship or get to University.If that is so, then shouldn't comparing Financial statements be encouraged so

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com2tag:blogger.com,1999:blog-6143748178958568080.post-89523823395368484062009-01-05T23:42:00.000-08:002009-01-14T20:25:02.382-08:00

In January 2008’s issue of Personal Money, I was asked about my investing sentiment for 2008, and my answers below might be of interest for review for the entire year of 2008.Question 1: What is your investing sentiment for 2008. Are you optimism or more guarded? What are the main reasons for your sentiment?My Answer : Frankly speaking, i don't have any investing sentiment for 2008. I make no

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com0tag:blogger.com,1999:blog-6143748178958568080.post-2868468896302867982008-12-29T18:08:00.000-08:002008-12-29T19:15:46.178-08:00

Whitney Tilson gave a good speech about Value Investing in 2008's Value Investing Conference. Although most of his ideas came from Warren Buffett, nevertheless, it's a good introduction to those who reads little of Warren Buffett's article.His slides can be downloaded here:IntroductionMental MistakesSlides for Wednesday's WorkshopT2 Partners PresentationValuing CompaniesThe entire Video

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com1tag:blogger.com,1999:blog-6143748178958568080.post-6718462036857048572008-12-26T06:17:00.000-08:002008-12-27T02:47:14.463-08:00

This comic describes how Warren Buffett feels when he first read the book "The Intelligent Investor" back then when he was 19 years old. This is his various quotes about the book.“I went the whole gamut. I collected charts and I read all the technical stuff. I listened to tips. And then I picked up Graham’s The Intelligent Investor . That was like seeing the light .”(Adam Smith, Supermoney (New

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com2tag:blogger.com,1999:blog-6143748178958568080.post-20520108166631132292008-09-29T07:23:00.000-07:002008-12-26T23:01:34.987-08:00

On 18th August 2008, The Edge published special report of the top 100 listed companies in terms of shareholder value creation / awards (I'll use SVA as short form).That's the first time and the reason that i bought The Edge, after thinking about it for quite some time to decide to purchase that magazine (which cost RM 4.90). Talking about being careful with my money!.Anyway, I've found a list of

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com0tag:blogger.com,1999:blog-6143748178958568080.post-31471351798606499172008-12-21T17:23:00.000-08:002008-12-26T22:30:58.750-08:00

I've watched this movie yesterday morning after reading they synopsis. I got hooked to the synopsis that i can't wait to watch it with my wife. I had to drag her out from the bedroom because she enjoys sleeping in the morning, while i enjoy taking afternoon nap. :-)The true story of the very brightest young minds in the country - and how they took Vegas for millions. Ben Campbell is a shy,

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com3tag:blogger.com,1999:blog-6143748178958568080.post-72676348840738166732008-10-13T08:23:00.000-07:002008-12-26T21:57:44.729-08:00

From The Edge's 2007 Shareholder Value Creation Award pullout, there is a page which found useful. It's the page where it shows companies that are consistently appearing every year in the KPMG Shareholder Value Creation award since the past 6 years. Here's the page:Below is the companies in alphabetical order:I believe these companies are classified as "Good Companies". However, are they also a

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com3tag:blogger.com,1999:blog-6143748178958568080.post-3385017928296014322008-12-20T20:07:00.000-08:002008-12-23T20:09:19.120-08:00

Benjamin Graham, a famous investor in his own right and also notable because he is the man that taught Warren Buffett to invest, defined the difference between speculation and investment in this famous passage from his book The Intelligent Investor.“An investment operation is one which, upon thorough analysis promises safety of principal and an adequate return. Operations not meeting these

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com0tag:blogger.com,1999:blog-6143748178958568080.post-28955836340367325552008-11-26T20:57:00.000-08:002008-12-20T19:27:04.748-08:00

On 12 Feb 2008, Walter J Schloss gave a video conference on investing. The video conference is part of series of high profile Canadian and US value investor speeches organized by Dr. George Athanassakos, the holder of the Ben Graham Chair in Value Investing and the Director of the Ben Graham Centre of Value Investing, for the benefit of his students in his Value Investing courses at the Richard

Peter Lim Cheng Teik and Tan Shu-Yinhttp://www.blogger.com/profile/17613899264386606197noreply@blogger.com0tag:blogger.com,1999:blog-6143748178958568080.post-54591512937435100212008-12-19T07:58:00.000-08:002008-12-20T19:05:08.872-08:00

This is one of the question asked by one of the student about Diversification to Warren Buffett. The entire video is available here : http://video.google.com/videoplay?docid=-6231308980849895261 . I strongly recommended to see the video!. Says Buffett, "If you are not a professional investor, if your goal is not to manage money in such a way that you get a significantly better return than world,

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