Assumption is always assumption, not necessary it would become true and indeed it is formed or made up by personal judgement which is said to be bias all the time since everyone has different perception over everything.
I admit that I misunderstood something. This is something that I have made up to convince myself it is true but the reality is cruel.
Judge a person based on some characteristics but not all. When I realized that I actually only understand part of his or her characteristics, I felt like I was the stupid. Of course, they are good and bad at the same time because nobody is perfect but I just cannot accept all.
People are sharing one common---always focus on one side of a person while lack of ability to look at the things in bigger and multi-dimensions(sides).
Well, finally I know it. Hopefully I can see more clearly about that.
Friday 31 August 2012
Tuesday 21 August 2012
Choices?
Having a relationship with others is not easy as we think of especially if you were to choose a person who is going to accompany you in your entire life.
I had a girlfriend but ended up with broke up. I knew it was going to happen because both of us were not confident and felt uncertainty for our future. My mother told me that not to have a girlfriend too early due to immaturity.
3 and half years. I have remained single state for 3 and half years. Well, I am already used to it. In Uni, I see a lot of couples. However, many of them cannot persist. Sometimes, people often make decision emotionally without thinking too much of their future. Consequently, they keep on suffering and trying to find a new one to avoid---it doesn't work at all.
Now, I have choices. Of course, I may lose both choices. Two of them have attracted me. Somehow I have seen things unclear, therefore I can't even make a decision to choose one. They do not know actually I like them. We just remain friends.
As a man, I should focus on my study and future career. But I as a man, need love too.
I had a girlfriend but ended up with broke up. I knew it was going to happen because both of us were not confident and felt uncertainty for our future. My mother told me that not to have a girlfriend too early due to immaturity.
3 and half years. I have remained single state for 3 and half years. Well, I am already used to it. In Uni, I see a lot of couples. However, many of them cannot persist. Sometimes, people often make decision emotionally without thinking too much of their future. Consequently, they keep on suffering and trying to find a new one to avoid---it doesn't work at all.
Now, I have choices. Of course, I may lose both choices. Two of them have attracted me. Somehow I have seen things unclear, therefore I can't even make a decision to choose one. They do not know actually I like them. We just remain friends.
As a man, I should focus on my study and future career. But I as a man, need love too.
Friday 10 August 2012
Twelfth day---Move on
Usually I could speak anything fluently during a conversation. Of course, everybody can, too. However, everything goes wrong when you are asked (required) to speak in front of the people in formal way which will take your performance into account---marks.
I have been gone through some presentations but it seems like I have never made it well. Although most of the time I was given introduction part or conclusion part because of lacking of English proficiency.
There is someone says that any challenge that we may face will finally turn into victory if we are going to strive for it with confidence and courageous. Indeed, if we are not prepared well or not taking serious, the consequence is that we will lose.
When I was looking at the presentation of my classmates, I was quite scared that I would make the same mistake again for next week presentation---not prepared well. I must strive for it because I believe that whatever task that is given, we should make it as good as we can. This is the reality, no matter you like it or not, you have to do it or you just quit.
People often avoid problems rather than fix or solve it. Other case is that people solve it but repeat again because people always forget the causes.
Let's not make this happen again. I will definitely deliver the best presentation than what I did in this university!
I have been gone through some presentations but it seems like I have never made it well. Although most of the time I was given introduction part or conclusion part because of lacking of English proficiency.
There is someone says that any challenge that we may face will finally turn into victory if we are going to strive for it with confidence and courageous. Indeed, if we are not prepared well or not taking serious, the consequence is that we will lose.
When I was looking at the presentation of my classmates, I was quite scared that I would make the same mistake again for next week presentation---not prepared well. I must strive for it because I believe that whatever task that is given, we should make it as good as we can. This is the reality, no matter you like it or not, you have to do it or you just quit.
People often avoid problems rather than fix or solve it. Other case is that people solve it but repeat again because people always forget the causes.
Let's not make this happen again. I will definitely deliver the best presentation than what I did in this university!
Thursday 9 August 2012
Eleventh day---Invest in myself
Finally, I have received the subscribed international newspaper---The Wall Street Journal. I have been waiting for this print newspaper for a long time. As a business student, the first ever investment that should be made is not shares or property but our brain---knowledge.
Indeed, invest in any financial tool would result in making good return if you are making the right decision. However, there are less people able to do so as they do not take "learning" or "studying" as consideration.
When mention about learning, it's not about buy-and-sell but what is return that the financial tool can bring it to you and what should you know about the chosen financial tool.
Financial tool is just a tool for you to invest in any kind of instrument that you believe it can bring the expected return to you. You must ensure that you know what are you doing.
Before really start investing, go and get some knowledge about investment. Also, you must learn and concern the basis of economy and politic as well as the most influential factors in financial markets. A prominent investor is always aware of international events.
Most of the people are not often reading newspaper or any book that is considered educational for themselves, yet they are more believing in those "insider"news, which finally would bring them to the hell. You must analyse although you read a lot of materials---too much would not good, too, that leads information overload.
I was quite excited when I got the newspaper---the first ever step to be more global view.
Indeed, invest in any financial tool would result in making good return if you are making the right decision. However, there are less people able to do so as they do not take "learning" or "studying" as consideration.
When mention about learning, it's not about buy-and-sell but what is return that the financial tool can bring it to you and what should you know about the chosen financial tool.
Financial tool is just a tool for you to invest in any kind of instrument that you believe it can bring the expected return to you. You must ensure that you know what are you doing.
Before really start investing, go and get some knowledge about investment. Also, you must learn and concern the basis of economy and politic as well as the most influential factors in financial markets. A prominent investor is always aware of international events.
Most of the people are not often reading newspaper or any book that is considered educational for themselves, yet they are more believing in those "insider"news, which finally would bring them to the hell. You must analyse although you read a lot of materials---too much would not good, too, that leads information overload.
I was quite excited when I got the newspaper---the first ever step to be more global view.
Wednesday 8 August 2012
Tenth day---Figures about Kian Joo
I have been spending for whole day to key in the data of Kian Joo into Excel. Better than what I did for Jobstreet last time which spent me about 1 week to complete the 7years data while Kian Joo has about 11 years data but just took me 4 hours.
Maybe I could make it more efficient next time by spending only 2-3 hours. Most of the people wouldn't understand why I was willing to take time just to key in such data. Initially I doubted on that---Will I get any information by doing such?
Actually I will and everybody who is passionate with fundamental type investing style will find the information by doing so. Let's have a picture about what I have done:
According to the data, the company has experienced growing stage in terms of revenue. However, its net profits are always fluctuating from year to year although revenue increasing. There are several factors causing unstable net profit---costs. In manufacturing, cost means everything. Whoever is able controlling the cost strictly while having huge volume of production, it is the winner of this game.
What cost involved in Tim manufacturing company? the raw materials. When supply of raw materials shrinks, it means price goes up. Also, the company focuses on domestic market which its customers mostly are those big industry players such as F&N.
Secondly, the company has its one quarter,on average, of its revenue made up by receivable form. For each RM 100 sales it makes, about RM25 is paper profit which has yet to be received. The cash flow is not strong enough as its borrowings always 2 to 4 times of its cash. For each RM1 cash it owns,there will be RM2 or RM4 of debt.
Net profit margin still within expectation as it has about 5 to 10 per cent. It is the slightly above the average of the manufacturing industry.
The most important is ROE. It has about 8 to 10 per cent, on average. Well, there is a room for improvement for it. Especially in Management, since the company was taken over by Can-One berhad, a can and tin manufacturing company, it is the time for Can-one to make things smoothly because changes are happening.
In conclusion, it is a moderate performance company in terms of figures but the industry is still growing if the consumption of goods such beverages and foods, some industries used packaging and also some home used products are growing too.
Maybe I could make it more efficient next time by spending only 2-3 hours. Most of the people wouldn't understand why I was willing to take time just to key in such data. Initially I doubted on that---Will I get any information by doing such?
Actually I will and everybody who is passionate with fundamental type investing style will find the information by doing so. Let's have a picture about what I have done:
According to the data, the company has experienced growing stage in terms of revenue. However, its net profits are always fluctuating from year to year although revenue increasing. There are several factors causing unstable net profit---costs. In manufacturing, cost means everything. Whoever is able controlling the cost strictly while having huge volume of production, it is the winner of this game.
What cost involved in Tim manufacturing company? the raw materials. When supply of raw materials shrinks, it means price goes up. Also, the company focuses on domestic market which its customers mostly are those big industry players such as F&N.
Secondly, the company has its one quarter,on average, of its revenue made up by receivable form. For each RM 100 sales it makes, about RM25 is paper profit which has yet to be received. The cash flow is not strong enough as its borrowings always 2 to 4 times of its cash. For each RM1 cash it owns,there will be RM2 or RM4 of debt.
Net profit margin still within expectation as it has about 5 to 10 per cent. It is the slightly above the average of the manufacturing industry.
The most important is ROE. It has about 8 to 10 per cent, on average. Well, there is a room for improvement for it. Especially in Management, since the company was taken over by Can-One berhad, a can and tin manufacturing company, it is the time for Can-one to make things smoothly because changes are happening.
In conclusion, it is a moderate performance company in terms of figures but the industry is still growing if the consumption of goods such beverages and foods, some industries used packaging and also some home used products are growing too.
Ninth day---Kian Joo Factory Berhad
It is no doubt that Malaysia is transforming from export-oriented to domestic-demand-oriented economy. However, we have seen no improvement has been made although there are a lot of plans came out. It takes times and Malaysia needs a whole restructuring reformation to ensure the transformation is going to happen.
Manufacturing is still the core of the Malaysia economy. We have many successful manufacturing firms which we should be concerned about such as Kian Joo---the can and tin makers.
For those who has never heard about it, you should take note that Kian Joo is one of the most successful can&tin maker in Malaysia. Other than that, it also involves in packaging business although it is just a smart portion of company's revenue.
Before 1999, the company had grown steadily and maintained net profit of RM50 million above but it came to turn down after 1999 when the company's net profit dropped to about RM 33 million although the revenue increased.
Improvement was seen started at 2002, the company's net profit grew again steadily and achieved RM 50 million again in 2005 but fell again in 2006. It is due to the increasing raw materials costs and some of the associated companies faced losses during the year.
The company's net profit fluctuated after 2006 and currently it has about RM 104.04 million net profit.
We can see that this company is sensitive with raw materials prices. Although it has very huge volume production line and serves for various famous companies like Nestle and F&N, the net profit margin is low. It means that the company needs to control costs strictly in order to avoid losses.
Manufacturing is still the core of the Malaysia economy. We have many successful manufacturing firms which we should be concerned about such as Kian Joo---the can and tin makers.
For those who has never heard about it, you should take note that Kian Joo is one of the most successful can&tin maker in Malaysia. Other than that, it also involves in packaging business although it is just a smart portion of company's revenue.
Before 1999, the company had grown steadily and maintained net profit of RM50 million above but it came to turn down after 1999 when the company's net profit dropped to about RM 33 million although the revenue increased.
Improvement was seen started at 2002, the company's net profit grew again steadily and achieved RM 50 million again in 2005 but fell again in 2006. It is due to the increasing raw materials costs and some of the associated companies faced losses during the year.
The company's net profit fluctuated after 2006 and currently it has about RM 104.04 million net profit.
We can see that this company is sensitive with raw materials prices. Although it has very huge volume production line and serves for various famous companies like Nestle and F&N, the net profit margin is low. It means that the company needs to control costs strictly in order to avoid losses.
Monday 6 August 2012
Eighth day---Waste of time again
Today I am having a bad day which I have spent my time on unnecessarily stuff without doing something more important for me.
As I said before, human revolution is not going to be easy as people often can do the right thing but do the right thing consistently is much difficult. It's quite disappointed for spending my day in this way. I should have done something more important.
It's time to change it again.
As I said before, human revolution is not going to be easy as people often can do the right thing but do the right thing consistently is much difficult. It's quite disappointed for spending my day in this way. I should have done something more important.
It's time to change it again.
Sunday 5 August 2012
Seventh day---diary
8th September is my big day. No, it should be gym boys' big day because of having performance during that day. Ok, I admit that actually I still can't get the feeling when I was in training everytime. I have made my partner injured and suffered from leg injury which could be turned into long term damage to him.
I felt guilty during the moment he fell down while I was not able to catch him. This happened last week but it brought me a great impact, where it is irremovable bad feeling for me. He is just a 14 years old kid. I still remember I quit gym once before when I got injured during practice. Now I got back. I was afraid that he might quit too if he experienced what I did. Well, he didn't.
When a formation is failed, it is not simply because of non-familiar feeling but the weak of basis. Yeah, basis is the most important when it comes to anything. We have our usual practice every Sunday. Usually not more than 20 are quite active in practice matter. Out of 20, almost half of the members do not take thing serious where it should be. Although I do but I never make it hardest. I should have tried my best to make myself more stronger.
There is little chance for me to improve my body condition whereby I have left 2 years to go for it.
I felt guilty during the moment he fell down while I was not able to catch him. This happened last week but it brought me a great impact, where it is irremovable bad feeling for me. He is just a 14 years old kid. I still remember I quit gym once before when I got injured during practice. Now I got back. I was afraid that he might quit too if he experienced what I did. Well, he didn't.
When a formation is failed, it is not simply because of non-familiar feeling but the weak of basis. Yeah, basis is the most important when it comes to anything. We have our usual practice every Sunday. Usually not more than 20 are quite active in practice matter. Out of 20, almost half of the members do not take thing serious where it should be. Although I do but I never make it hardest. I should have tried my best to make myself more stronger.
There is little chance for me to improve my body condition whereby I have left 2 years to go for it.
Saturday 4 August 2012
sixth day---Malaysians' proud
Who would ever think that Malaysia has actually produced 50% gloves of the world? Do not surprise that Malaysia is able to do so as most of the Malaysians are not proud to be Malaysians (because of politics?)
I have yet to do any analysis about the producers but quite surprised that Malaysia Producers have reached such international level. This is something we should be proud of and also it involves a lot of investment opportunities.
From the long term prospective, those producers could generate huge profits as long as demand is there.
People often cannot see any long term profit because lack of knowledge of history? what has history to do with investment?
History will tell you.
I have yet to do any analysis about the producers but quite surprised that Malaysia Producers have reached such international level. This is something we should be proud of and also it involves a lot of investment opportunities.
From the long term prospective, those producers could generate huge profits as long as demand is there.
People often cannot see any long term profit because lack of knowledge of history? what has history to do with investment?
History will tell you.
Friday 3 August 2012
Fifth day---What make Public Bank so special?
I do not intend to own this shares and I have not really analysed Public Bank yet. What makes me wonder is that most of the value investors are interested in the bank. A lot of reasons behind, indeed.
Let's not look at those ratios or whatever figures that might make your excited, but try to look at the people and company culture. Yes, people are the ones who make things work not the machines. They recruit a lot of graduates---as long as you are a degree holder, it doesn't matter with whatever course and grades.
This is quite controversial because most of the banks or financial institutions recruit talents based on the grades and related field they study. I have a friend who worked for HSBC bank before, he wants to be banker again after graduate. He never agrees with the recruitment way of Public Bank which he thinks that recruiting based on the grades and study field should be best way to get the talents. He worries that if a bank recruits talents without looking at those two conditions, the bank would face a lot of problems.
Does it mean Bank should only recruit banking or business related degree holders? It is unnecessary. It actually means that Tan Sri Teh already realizes that anybody could be the key people?
I do not know the actual situation but I guess the employee turnover rate of the bank is lower than others.Why?My observation is that it may due to the company culture. People at the bank may really united and willing to contribute to the bank.
Tan Sri Teh realizes that united of employees are the key to drive the company up and it is another way to reduce indirect cost because lack of political issues among the people. Like what AirAsia is doing now---employees should be the company's priority, if you make them happy, then they would also make customers happy. When all this happen, ability of generating profit should not be worried.
I still remember what Lim Wee Chai (Founder of Top Glove) said before : Profit is important but you have to make your people united and happy then only your company can survive. Thus, you are able to compete with other by one absolute advantage---you have the people who have unlimited potential to be explored.
In Malaysia Banking history, Public Bank is the only bank which generate profit by internal growth and make profit continuously for 36 years. It is a world record and no other banks in Malaysia could make it.
Also, the bank never merges with other or be merged, which means it is extremely strong that even competitors do not dare to "eat" it up?
Sometimes, analysing company not only talking about the figures, but also some management style.
Let's not look at those ratios or whatever figures that might make your excited, but try to look at the people and company culture. Yes, people are the ones who make things work not the machines. They recruit a lot of graduates---as long as you are a degree holder, it doesn't matter with whatever course and grades.
This is quite controversial because most of the banks or financial institutions recruit talents based on the grades and related field they study. I have a friend who worked for HSBC bank before, he wants to be banker again after graduate. He never agrees with the recruitment way of Public Bank which he thinks that recruiting based on the grades and study field should be best way to get the talents. He worries that if a bank recruits talents without looking at those two conditions, the bank would face a lot of problems.
Does it mean Bank should only recruit banking or business related degree holders? It is unnecessary. It actually means that Tan Sri Teh already realizes that anybody could be the key people?
I do not know the actual situation but I guess the employee turnover rate of the bank is lower than others.Why?My observation is that it may due to the company culture. People at the bank may really united and willing to contribute to the bank.
Tan Sri Teh realizes that united of employees are the key to drive the company up and it is another way to reduce indirect cost because lack of political issues among the people. Like what AirAsia is doing now---employees should be the company's priority, if you make them happy, then they would also make customers happy. When all this happen, ability of generating profit should not be worried.
I still remember what Lim Wee Chai (Founder of Top Glove) said before : Profit is important but you have to make your people united and happy then only your company can survive. Thus, you are able to compete with other by one absolute advantage---you have the people who have unlimited potential to be explored.
In Malaysia Banking history, Public Bank is the only bank which generate profit by internal growth and make profit continuously for 36 years. It is a world record and no other banks in Malaysia could make it.
Also, the bank never merges with other or be merged, which means it is extremely strong that even competitors do not dare to "eat" it up?
Sometimes, analysing company not only talking about the figures, but also some management style.
Thursday 2 August 2012
Fourth day---manufacturing companies
Based on the information of wikipedia, half of the Malaysia economy is made up by agriculture and manufacturing sector which have about 49 % of Malaysia economy activities.
What am I trying to prove is that Malaysia is still heavily relying on traditional business model and there is one problem with it---labour force. If you were non Malaysia and had been here before you would realize that majority of labour force in manufacturing and agriculture are double-LOWs (low skilled and low wages) foreign workers.
This is extremely unhealthy. Indeed, manufacturing is concerned about costs of production. If cost is high, their profit would be affected. Another thing is we have less-advance-technology to support the sector and causing them demand a lot of low-cost workers to sustain their operation.
We have a lot of good companies such as Hertalega, Kian Joo, F&N etc.They all have dominant positions in Malaysia or region. This indicates that we are still doing good in the prospective of business.
Whatever how good they are, and how much they can generate in long term, the biggest problem is labour force. If they want to expand capacity of production within the country, then the only way to be efficient enough---employing low-cost foreign workers. It has become an essential. Otherwise, they have to move out to other country, or improve the production-technology (it takes a lot of times and costs), or they improve the employees benefits.
Any method they adopt will have pros and cons. Nothing is perfect but could be done excellently. Somehow we as investors should concern about the whole picture too instead of over-focusing in micro stuff.
What am I trying to prove is that Malaysia is still heavily relying on traditional business model and there is one problem with it---labour force. If you were non Malaysia and had been here before you would realize that majority of labour force in manufacturing and agriculture are double-LOWs (low skilled and low wages) foreign workers.
This is extremely unhealthy. Indeed, manufacturing is concerned about costs of production. If cost is high, their profit would be affected. Another thing is we have less-advance-technology to support the sector and causing them demand a lot of low-cost workers to sustain their operation.
We have a lot of good companies such as Hertalega, Kian Joo, F&N etc.They all have dominant positions in Malaysia or region. This indicates that we are still doing good in the prospective of business.
Whatever how good they are, and how much they can generate in long term, the biggest problem is labour force. If they want to expand capacity of production within the country, then the only way to be efficient enough---employing low-cost foreign workers. It has become an essential. Otherwise, they have to move out to other country, or improve the production-technology (it takes a lot of times and costs), or they improve the employees benefits.
Any method they adopt will have pros and cons. Nothing is perfect but could be done excellently. Somehow we as investors should concern about the whole picture too instead of over-focusing in micro stuff.
Wednesday 1 August 2012
Third day---complexity of banking sector
When you read the financial statement of a bank, usually you would only understand the terms or some complicated financial products if you are familiar enough with the banking sector.
Having spent a few hours to read it, I could conclude that banking sector is the most complicated industry. Specific terms like Banker Acceptance (link) which would kill your time to study its meaning and working. Although it's difficult, no doubt I have learned something from it.
Bank is really difficult to manage as it acts as an intermediary between buyer and seller. Most of the time, bank is required to be effective and efficient enough. You could imagine how stress the bank managers are. Once the payment is not matched or error occurs, you would responsible for it.
Bank is quite unique in terms of its operation and profitability. Loans should be the most profitable and traditional products the bank has. Once the bank lends out, expected interest would be its long-term income. Also, bank also provides various types of loan business which are in many form like hire purchase, a services which a bank would buy the demanded vehicle for the customer in advance and will be paid based on the interests.
Also, the bank may buy some equipment or assets and lend it out to the manufactures by creating interest based income like rental.
In order to judge a bank, we should look at the long term prospective. Yes, long term game. Banking is a long term game, unlike other sector can boom within a short time. If a bank always acts for short term profit like betting in high-risk securities, you should beware and better not to invest in the bank.
So far, Hong Leong bank is quite complicated in terms of shareholding structure.
Mr Quek is afraid of being eaten by big player?
Having spent a few hours to read it, I could conclude that banking sector is the most complicated industry. Specific terms like Banker Acceptance (link) which would kill your time to study its meaning and working. Although it's difficult, no doubt I have learned something from it.
Bank is really difficult to manage as it acts as an intermediary between buyer and seller. Most of the time, bank is required to be effective and efficient enough. You could imagine how stress the bank managers are. Once the payment is not matched or error occurs, you would responsible for it.
Bank is quite unique in terms of its operation and profitability. Loans should be the most profitable and traditional products the bank has. Once the bank lends out, expected interest would be its long-term income. Also, bank also provides various types of loan business which are in many form like hire purchase, a services which a bank would buy the demanded vehicle for the customer in advance and will be paid based on the interests.
Also, the bank may buy some equipment or assets and lend it out to the manufactures by creating interest based income like rental.
In order to judge a bank, we should look at the long term prospective. Yes, long term game. Banking is a long term game, unlike other sector can boom within a short time. If a bank always acts for short term profit like betting in high-risk securities, you should beware and better not to invest in the bank.
So far, Hong Leong bank is quite complicated in terms of shareholding structure.
Mr Quek is afraid of being eaten by big player?
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