Sensei Michael Investments

Current Portfolio Stock: USD73,424 Cash: USD27,073 Hardly moved at all - just what we want. How do you earn on such a portfolio, my reader wonders? I'm merely using stocks to do what they were meant to do in the first place - to own a piece of a good company, and to participate in its income. All companies in my portfolio are dividend-paying, and tends not to be violatile. Perhaps the weekly checkup could be changed to a fortnightly or monthly one. At this point of time, though, I still prefer it weekly.

Current Portfolio Cash: USD27073 Stocks: USD72780 In the three weeks since I've begun my test portfolio, using only one of my investment ideas (I've two others), the portfolio has hardly changed. This is expected of Investment Idea #1 - dividend paying stocks tend to be low in violatility, and the large outlay of cash (about 20%) served as ballast (critics call it deadweight, but their strategy is different from mine). At this point of time, I have not completed my studies and calculations for my next two strategies. It'd take some time, since I'm not a full-time fund manager (and would not go full-time for at least 5 years). I still feel I need to study more, and seek further understanding, so I would like to take it slow. I will not repeat the mistake of my first fund.

I've finally taken the plunge to put my ideas into test with a Virtual Trading Account. I hope to be able to share with readers (and potential investors) some of the ideas behind my investments. With a simulated portfolio of USD100k, I made the plunge on 25 May 07 in the US market (the one I'm the most familar with). I'll be spending time studying and testing out the ideas I have on the SGX and the Shanghai markets as well - this would widen potential investing markets for my investors. I placed USD73,472 into just 3 leading dividend-paying stocks in 2 major industries (F&B and Finance), and parked the rest (USD26,752) in cash. Astute readers would have noticed the cash figures do not match - not only did I account for commissions, but I bought OTM calls covered by the stocks, to get some income first, essentially treating my stocks as rental units.