Riding the elevator with JOY

source: http://www.legalpad.com

My title might be kinda out of this world or off topic.

I just read Francis Kong's blog post about Happiness and Joy. In this time I know most of us who invested in the stock market don't feel happy because the US crisis and the European Debt crisis is hurting us. Our portfolio has been in the red for the longest time and it seems cost averaging wont allow us to be in the point of even breaking even.

But again as the author Tony Campolo in Francis Kong's blog says many people are in the elevator and yet it seems that because in the elevator everyone is in a gloomy state waiting for their floor so that they can get off and go to their job or meeting. Why don't we enjoy the ride by singing with rest of the passengers. And when we get off why don't we continue singing and enjoy the rest of the day.  

I know it has been the longest time or probably you just got in the stock market and think it was the right time and yet you still end up in the red like the rest of us. Would you put a sad face or would you rather sing?

Yup analyst predict that this bearish market will drag on, the market seems to be moving sideways till the end of the year. But a some investors, not traders, are more happy than you think. They are happy because they can buy more stocks of good and great companies at a bargain price. Investors buy only when the price of a good and great company is down; did you catch that?

I say it again: Investors buy only when "PRICE" of a good and great company is down. A lot of traders buy up when a stock's price is climbing because they hope to catch the ride and profit by the time the stock's price is higher than what they bought it for which is correct. But if that company is not good or have poor fundamentals you will end up caught when the stock's price drop down. That is why the advice is to buy stocks of blue chips which gives regular dividends so that when such company's stock have a not so favorable price we can still profit with the dividend and in time the price of such stock will go up and that is the right time to sell.

Retiring at 40

source: http://exoticpetstore.blogspot.com/

While the market is still down deep(yup don't lose hope it will go up anytime now) lets talk about what you and I wanted to do in life.

Back then I have told myself that I will retire at 40. By that, to clarify, I mean to retire from being an employee and be the boss of my own. Kinda big job to accomplish but as they say unless you have a specific goal you want to achieve you will be always reckless and find yourself from where you have always been, that is the beginning.

So make a bold statement. Tell the world what you wanted in the next few years(and for me its about 10 more years to go). Tell yourself, yup of all you have to make yourself aware of what you have been asking or else after starting such journey you might give up).

I have started this blog primarily to document my journey to financial freedom. Many people think "FINANCIAL FREEDOM" is when one has a lot of money. That means you have money enough so that you can just sit down and relax in the comfort of one of your 200 40 hectare vacation houses in the world. Probably this is how you picture yourself being financially free but even though you are filthy rich(as most of us term it) Financial Freedom actually is not measured in the quantity of money you have. Rather one is said to be financially free once one has achieve mastery of how money works for oneself and not the other way around. Probably you may have all those vacation houses I just mentioned but you are still unhappy in spite of what you already have then I guess you are not financially free. Your accumulated wealth has just become an escape or a facade of your unhappiness.

A lot of people also say that to be selfless is the way to happiness. Yeah you did it. You join a charity group once in a while you do give donations and join in activities which are good. But in the middle of it you are still unhappy. Probably you cant put such activity to your schedule any more or maybe financially you are incapable yourself. Instead of feeling the happiness and self fulfilment it seems that your joining a group is choking you. And that is an unhappy situation.

So how should we be able to achieve our goals?

source: http://www.speaklifeyouthministries.com

2 Corinthians 9:7

Each one must give as he has decided in his heart, not reluctantly or under compulsion, for God loves a cheerful giver. 

We have to strike a balance. As the verse from the Bible says, we must be decided, not reluctant, and not under compulsion. When we make decisions and set our goals we must give our 100% and not just a partial of it. When we give we must not have any hesitation. So if you are hesitant please don't give. Let that opportunity pass. Maybe you are not ready because at the back of your mind there are needs of your own or your family that you have to care of. 

So as early as possible decide what you really want(for me that is retiring at 40). Set a date for that and as you do your day to day living ideas or opportunities will open up for you to take action. Yes you may grab that opportunity but again if such opportunity is paired with hesitation or reluctance let go. It simple means you are not ready. 

If you are still undecided why don't you take a walk in your village or a nearby park where it is quite. Just walk. They say walking clears the mind. 

source: http://tripwow.tripadvisor.com

Will you join me in my walk? Yes in awhile I will be walking in the lovely sunset here in Tumon, Guam(I hope the dark clouds will be fully blown away) the stock market is probably in its bottom and I am thinking which stocks to buy next week.

Revisiting my first post: Is it a good time to invest now?

source: http://www.stockginger.com

It is worth reading an old post. 

Back then the situation is pretty much similar that is we are in the middle of a financial crisis. (Click here to read my very first post. Please leave your comments on how different is today's crisis from the last). My question was "Why invest?"

Now this is my question: Is it a good time to invest now?

Yup the stock market had a roller coaster ride. The Philippine Stock Market reached its highest two or three times before it succumb to its current level due to US debt crisis. You might wonder why am I asking if it is the right time to invest. Well as I recall again there is no right time to invest because "now" is the right time to invest. But it is so scary out there don't you think. The DOW dive nearly 600 points down then recovered back then went down again, it is so risky and still why do I say it is a good time to invest now.

source: http://www.bloomberg.com/apps/quote?ticker=INDU:IND

Now probably you have to ask me direct, Louis why is it a good time to invest now?

Here are my reasons:

1. Stock prices of blue chips companies went down therefore you

    are getting them at a bargain.

2. The current financial crisis is of the US not of the world yet. So it

   may have affected other markets but surely it is temporary as it

   has always been. So take advantage of the time.

3. Stocks of true value will come out in such situations. Those who

   are really just mere stocks will fall but those who truly deliver 

   profitability amidst crisis will stand out.

4. If you already have stocks it is a good time for you to average

    down big time. 

So what is your move now? Probably you might say you'll think about it. And that is good as well. In stock investing you always have the final word. No one can tell you what to do but only you as an investor have to push that buy button or if you prefer to sell then sell button.

source: http://iamamentallychallengedteen.blogspot.com

So is it really a good time to invest now? Would appreciate sharing your thoughts by leaving comments below.

Online Broker: Philstocks.ph

source: https://www.philstocks.ph/PublicV3/default.aspx

With the recent upgrades of most Philippine online stockbrokers, Philstocks.ph which is the online brokerage arm of Accord Capital recently lunch there upgraded online platform taking pride in their all in one page trading platform.

I don't have an account with Accord/Philstock but I am presenting these online brokerage firm for newbie investors to have a chance to look at their platform and even possible chose Accord/Philstocks as their online broker.

Below is a video presentation of their all in one page trading platform:

Interested in Philstocks?

You can attend there PISO to learn more.

What is PISO anayways?

Philstocks Investing Stocks Online(PISO).

The PISO Series is the newest learning service offered by Philstocks Live. In line with the company’s direction toward de-mythifying and democratizing the stock market, the PISO Series seeks to present the stock market as a viable investment option for every Filipino. PISO: Jumpstart, the first offering of the PISO Series, is a highly-interactive and dynamic learning session specifically designed for first-time investors where our dedicated Philstocks team will be @ Your Service.

PISO (Philstocks Investing Stocks Online) is…

• Informative learning about the stock market

• Finding the right investment options

• Meeting people who aspire for success

• An exciting way to reach your financial goals

Call them to reserve a seat at 632-687-5071 local 146

Disclosure: The author is not paid to promote Philstocks.ph or Accord Capital Securities Corporation.  

Investing word of the day: Secondary market

source: http://richard-wilson.blogspot.com

What is a secondary market?

As per PSE:

exchanges and OTC markets where securities are bought and sold subsequent to original issuance which took place in the primary market. Also called "aftermarket". source: www.pse.com.ph

So secondary market refers to the the next change of hand from the original source. So in the case of stocks the origin was from the company and the one traded in the stock exchange is already the second change of hand thus stock markets are often called secondary market. 

When the company issued the stocks to one of its subscriber that is called the first market. When the particular stock is listed in an exchange and the subscriber/investor sells his stocks through the stock exchange there is a change of owner of the stock thus it is deemed that such transaction is after the first issuance.

In the case of IPO it is considered as a primary market since banks only act as underwriters of the company that is why the transfer from the underwriter bank to an investor in an IPO is not a secondary market. It only becomes secondary market when the investor will trade his newly acquired stock.