Power
of Motivation
Recently I discovered that a SYT (sweet
young thing - but this SYT is not a thing, but a young sweet lady) who is
actively posting meaningful, inspiring, thoughtful and motivating notes on her
facebook. And she does it happily from time to time. At first Kassim did not
pay much attention to her postings, but as Kassim begins to know her, Kassim
begins to appreciate her kind efforts to share all those good notes on her
facebook. (Above is one of the samples from her)
Some of her notes are very motivating ones.
Some will make you pause for a moment to reflect of the meaning of the notes.
Although we could source all these from various websites, (I know most of us
would be too lazy to do that), we tend to get on with our lives on a regular
daily routine without a thought for some reflection. It is only when we notice
certain eye-catching Motivating notes that inspire us or remind us of our
wonderful lifes that we have.
So each time you come across a motivating
notes anywhere, be grateful and thankful of that person(s) who take the
unselfish step to put up the notes. A big syabas to them! Keep up the good
work!
A personal thank you to this SYT too! I
know she will be reading this post and I told her that one good turn deserves
another. In this instance, my expression of appreciation of her effort,
hopefully will motivate her to continue with her good efforts. (See, sometimes
the motivator needs to be motivated by another motivator!) Is Kassim confusing you? Ha ha. Share with
you one more tip. This SYT has unforgettable deep dimples when she flashes her
golden smiles!
Motivation can come in various forms.
Kassim remembered when he ran his first Mas International Marathon in Penang in
1993. As Kassim had only been able to finish a half marathon in 2.30 hours, the
confidence and strong will to finish the full marathon within the 6 hours
stipulated time needed extra motivation to finish the race.
So what did Kassim do to motivate himself
to finish the full marathon race? Kassim printed out an A3 size paper with just
3 words : I DID IT! The idea was to imagine and vision the finishing scene as
Kassim is crossing the finishing lines and taking out the folded A3 size paper
and show it to the waiting crowd, including his then little boy, spouse and
several good friends that he had done it.
Did Kassim finish the race? Yes, such was
the motivating factor during the race as Kassim was struggling all the way
after the half way mark. Kassim eventually finished the race with just one
minute to spare.
Motivation can also has an effect when it
comes to investing. If a top fund manager or let us say a fund managed by
Warren Buffet starts buying one local company listed in Malaysia, it is very
safe to presume that many of us would be jumping into the wagon to join in the
buying frenzy and thus sending the stock price north sharply.
Similarly when a few top fund managers or a
few big well known fund start to sell, many of us are likely to follow them,
again resulting in a sea of red.
Selling by two directors
of MFCB
Recently there was a report released
by PublicInvest Research posted on Sep
30, 2014 featuring Mega
First Corporation Berhad (MFCB).
It initiated coverage with an Outperform call and SOP-derived fully
diluted target price
of RM3.85.
The various reasons given were really very
"motivating" factors for many readers which prompted heavy demand for
MFCB's shares the moment trading started that morning. The share price went to
touch a more than decade high of RM2.77 before settling down at RM2.66 on heavy
volume of 4,913,100 shares.
Unfortunately, on that very day, one of its
directors disposed off 60,000 shares at RM2.67 in the open market. Then on Oct
2, an announcement from MFCB reported that another director disposed 50,000
shares on Sep 29 and again another 35,000 shares on Sep 30.
Such prior and post disposal of shares by
the two directors at such a short time during PublicInvest Research's report
confused and rocked investors' confidence deeply. Why? If directors who hold
sizable stakes in their own company sells the shares, especially when the
company has been given an excellent coverage by a reputable research house, who
would investors trust?
Kassim would definitely be very confused
and lost. While it is the rights of anyone or investors of any company to buy
and sell shares of any company, it is definitely different when it involved
those directors - whom investors trust them to lead and run the company in a
profitable manner.
Directors should be very mindful of their
timing to sell as this will send out a very different kind of signal to
investors. Perhaps the time to sell their shares would be when the company's
share price are trading and consolidating at a tight range and with no
research's house coverage at that time.
That is why Kassim always like those major
shareholders/directors/founders of companies who are very committed in running
their ships. They do not get involve in selling, instead they implement share
buy backs from time to time, thus reducing the number of shares left in the
open market.
Ironically, MFCB has been very actively
purchasing its shares back from the open market. There are 20,488,500 shares
cumulative net outstanding treasury shares as at Aug 27, 2014.
Kassim's responsibility as
a blogger
As a blogger myself, I am also very mindful
about the thoughts of my readers, followers and
close friends who are investors. I know some of you would have read my
postings and possible be influenced or motivated by my postings to buy certain
stocks which I shared.
That is why I am particularly carefully of
the timing of my posting which involve the selling and purchasing of stocks
related. I would rather share my posting immediately or soon as possible the
moment I bought certain stocks. I do not want to be accused of
"accumulating" first in a comfortable way and then releasing my
posting "promoting" that particular stocks, hoping others would join
in to buy and push up the share price higher.
Imagine I had been inviting readers to join
me to invest in Mercury
Industries Berhad for the
long term. Then two weeks later, I post to inform about my entire disposal of
Mercury. And it so happen after my disposal, Mercury shares came down. How
would you (as my followers or my readers) feel? Especially when you are still
holding on to Mercury shares?
Would you ever trust me again? See, my
responsibility as a blogger is more than you, readers and followers and
friends. You can sell and buy quietly without anyone knowing, but I can't.
An email from Pn Lee Bee Swan
Pn Lee expressed her joys of being able to
purchase 1000 shares of Harrisons
Holdings Berhad at RM3.41
on Oct 14, 2014. She asked if it is still a buy at RM3.79 (on Oct 23) and what
are the other undervalued counters. She would like to invest in Mercury Industries
Bhd but at what price?
First, I would not know how the price
direction of Harrisons is going to perform in the future. If the performance is
good, it would reflect in the share price. The recent
"mini-correction" of the global stock market also hit many counters
on Bursa Malaysia. Many counters became attractive and "undervalued"
overnight. But which one is more
undervalued and offer higher opportunity for faster chances of share price
rebounding?
Mercury's last traded price is RM1.37 on
Oct 24, 2014. My last purchase of Mercury shares was at RM1.59 for 4,500 shares
on June 2. Although my purchase qualified for the 10 sen dividend paid
recently, theretically I am still staring at a paper loss if compared to the
current price of RM1.37.
Yet I am not bothered at the slightest.
Unless Mercury's earnings shrink in the future, that would be a different
story. But if Mercury's earnings improve or at least maintain the 16 sen
earning annually, than the current price is definitely a steal due to the depressed
market sentiment.
So Pn Lee, shall I welcome you to join Kassim to be the owner of Mercury?
