Learning to invest in Thai Stocks

Thanks Sandy,

Well truth in lending I lost about 1500 baht in profits, percentages don't really tell the story anymore. I've already sold two stocks which has me up 35K since I started. That doesn't include the stocks still working, which is now at 7K baht profit. That is down 1500 from yesterday.

It ain't all roses but I follow Paul's lead and doing OK.

I'm learning as I go a few stocks I should have waited a bit before I purchased. One stock I sold at market price while it was still on the rise, I actually ended up getting less then I anticipated second time around I sit the sale price an did better.

Set dropped back down below 800 today. Paul called that one correctly and why I had a sale on Tuesday.

My best guess and I mean guess things will slow down a bit now. Weaker numbers out of America and the EU scare still have people nervous. On the positive side looks more foreigners are buying back in.

A message to me from Jason Kelly:

Author of The neatest Little guide to Stock Market Investing

Dear Ray,

Thank you so much for the kind review from Thailand! I'm happy to know that the book is helping people around the world. I agree that you won't find better Thai stock info than what you're getting from Thaistocks.com, and Paul's ability to speak Thai fluently certainly adds to the appeal of that service.

Well today was a decision day for me. I hold a stock in Green energy, currently at 4.88 been on the rise for a few week now. They have been awarded a contract at cost plus 15% in addition they will operate the project at the same cost plus. Both in wind and solar energy.

Well established strong company small debt ration, cash on hand and pays annual dividends.

This is a huge build so they are issuing warrants effective 7-31-2010 at a 4.1 ratio with a price 2.70.

I held 3500 stocks, which would have made available 850 stocks to me at 2.70

I beat myself to death trying to figure this out, in the end I couldn't see a down side. I increased my holding to 10,500. which now makes W-3 warrants available to me 2600 shares at 2.70. Normally a stock market price will drop as the P/E ration changes. But at 2.70 you really have a lot room for error.

I managed to get some feed back from the other investors on Thaistocks. Remember I don't have 90 days in this yet. To say I'm not confident at this point would be a huge understatement of fact. I also used the formula from the book I purchased and read once so far still a work in progress, certain sections I will review several times more.

There will also be a W-4 warrant at 5 baht, I will qualify for that as well. Off the top of my head the a ration of 6.1 I will have two years to decide if I want the W-4 warrant.

I was actually expecting the set to be down today It's not thus far over 800 again surprise surprise. Not really sure why I didn't see much of anything from the G-20 meeting.

If nothing else this all interesting to me and is keeping nice and busy.

Interesting week, actually down 1521 baht

But through this week I purchased 13600 new stocks. The majority of this wasn't. from my 15K a month. But, from reinvesting profits.

My net profit from the portfolio. is over 50K. But this is based on a five year building plan. I don't intend to take any money out. So in five years I should be a good position. So I'm beating the banks 1/2%, so far.

My AJ (plastic wrap producer) stock that I purchased years ago due to Paul's recomendation is finally and unexpectedly recovering from its significant drop. The speculators seem to have found something about it they like. Usually this is just them favoring any fast rising stock which they know nothing about.

Congradulations, not every pick is a winner. Being diveresified seems very important. I have enough winner at this juncture to carry the laggards. I set stop loss amount and stuck with it so far. Only one stock hit that point of course after I sold it rebounded

There is definetly risk in investing, but, from what I can see you can control to some extent. If you watch what is going on you may lose some but not all of your investment.

I think Paul is struggling right now to find another real winner. Fear seems to spread very fast. If you look at the U.S. the talking heads like to bring the double dip recession. But when you really look at it. It is slow, did anyone actual expect things rebound that quickly. I sure didn't.

We may be going sideways for a while

The talking heads seem to be really stressing a double dip recession, at least they try to get someone to say that in every interview they do. So far no takers. You posted an article about fear. This seem to be what they are trying to create. The world is a mess, but that not anything new. Not once in the past week have heard them say Asia doing OK. They finally mentioned Thailand this morning on Bloomberg interviewed a deputy from the BOT. What were they pushing interest rates and inflation. They tried to nail him to a date specific. He didn't fall in the trap.

It makes one ask did anyone really expect America to hit the numbers they had before? I don't unless the foundation is built on clouds. EU yes it has problems and the talking heads are speaking like the deficit reduction a much a 40% will be done overnight. Sorry not the way they are doing it some of these deficit reductions are on four and five year plans.

Most people that have interviewed have indicated that there will be a side ways market for the second half. Makes you wonder how many times a the talking heads have top hear it. Am I missing something anyone really think that everything in general will sky rocket this year.

I have noticed Paul isn't pounding the table at the moment. He is not saying jump ship either. Me I was amazed at what we gave done already. Haven't even sen on dividend yet and I'm 7% ahead of the game.

When I talked to the broker today we talked about TOG, he wasn't really enthusiastic about it, Wasn't a high growth stock. The wen talked about dividends today, they pay twice a years and will come in at 7% to 10% per annum in dividends.

Lets see Bank 1/2% I bought TOG today, 7% sounds very good to me these days.

You know if things held right where they are right now for the year, you would hear no complaints from me. But, I have to admit I'm a bit tired of the fear factor trying to created and shoved down my throat.

So what you think a little leveling out coming up?

I will stay on plan put 15K a month in. If I don't anything else I will have a fair buy account available to me. At the the moment I accumulate the stocks that are holding on and building my portfolio. The absolute worse that can happen is missed one good bike trip a month.

Anyway nothing I see thus far scares me about Thailand

P.S. Since I first wrote this Bloomberg went to Bangkok finally found a guy who was willing to say a double dip recession. However he was talking about the stocks in the states.

Both Ford and Mitsubishi are building new plants here. The big guy stocks are out of my price range, but thye needs parts to build those cars.

SAT is the parts supplier for Mitsubishi and several others here, so it may go to Ford as well. I think it's trading at 14.90 now. Not sure if it would be a good investment now it had a real good run this last week. Global seems to be doing well, this week also.

I don't own either one I joined the Thaistocks club, they are not in the model portfolio. I've done well so if it ain't broken don't fix it.

I have my first 90 days done now, which makes reporting progress a bit more difficult. In total I have put 120K invested of my income. My portfolio value is now 174K. Only have 10K profit. That doesn't add up does it.

A few things happened in my travels, I thinned out the non performers, so on the negative side of life I have 190 Baht.

I sold a few and took the profit, since I don't intend to take money at this juncture I reinvested the profits, so the portfolio is growing nicely, During the course of this people have stepped and told me about good reading materials. Another showed me simple way of charting instead chasing the the lines. Check the volume.

So I took his advice and checked all my stocks using the method and I will be darn, the more complex method matched the that one measurement every time. Makes life a little easier.

The SET has been in the 820's area for the week. Will it get better looks like it.

For me it has been a good experience. It would not have been without the proper advice. Looks like I will beat the 1% from the bank.

Two of my SET stocks which have been doing poorly for years have come to life the past week. Southern Concrete Pile (SCP) and Thai Wire Products (TWP), neither of which I recommend, have made good advances and are showing a modest degree of liquidity. Being producers of materials required for state infrastructure development, perhaps their revival is partly due to other nations' stimulus efforts, along with lower commodity prices. The strong baht continues to harm Thai industrial exports' competativeness and profits.

This week has been strange so far, SET up and down like A yoyo. Lot of infrastructure projects in the works. Some of my non performers got busy today. So I ended up with a 1K profit for the day. I have one that I think has made it's run and is slowly falling.

Been picking up some tips on charting tomorrow will be the first time I try it for real. I will sale off 50% of one stock that is falling that will raise 26K buy money for me. I'm watching one stock in the energy field that I think is going to get busy. It makes Electric Transformers. EGAT Has requested funding to expand the energy grid from Lao. It hasn't moved yet. But, it looks might now.

It has a low debt ratio and a good cash and inventory balance. Since the project is not scheduled for completion until 2014. It's not a get rich quick thing, does pay good dividends. So you will make a few baht while waiting.

I'm really trying to figure out what is causing the YoYo effect. Yesterday was easy to see the talk about the VAT increase dropped the market instantly. When it was revealed it would be at least two years before the VAT would be increased Market recovered as fast as it went down.

Started out on a rise today. Then China said it was discouraging loan for the third homes, dropped a bit then started up again. Then the Democrat case was forwarded to the Court and it dropped again.

Things seem to be running on the Edge for the past two days, fear pops up quickly. EU is still a factor. Portugal was down rated today. Greece had it first Bond sale since this started I haven't heard how that went yet, Surprisingly positive news out of the states, showing slow growth. Not gang busters but Growth none the less.

The BOT meets tomorrow and people are betting on a rate increase of .25%. I understand what that will do to my dollar. I don't have a clue what effect it will have on the SET.

Well I'm still learning and really find it all very interesting. Still following the model portfolio from Thaistocks and thus far it has done very good by me. That is interesting as well in that Paul tells you what he is doing up to you if you want to do the same or not.

Because of the way I started, very cautiously I have missed some buy points and made a few mistakes. Now I have assets I can sale in addition to my 15K monthly, which results in a lot more flexibility, for me. Which can translate to a lot more room for error

I'm a still not going outside the model Portfolio, so I'm reasonably confident I won't mess up badly, I'm about to find out.

Hmmm!!!!!!!! Best laid plans of mice and Men. Watching CNBC this morning the Asia markets are picking up at the open. Intel went great guns and more demand for hardware as well. The one I was going to sale today makes Hardware among other things.

So at this point I think the best thing to do is nothing and just watch. I think it is imperative to have access to really good research. Then follow up on what is happening with business. So there is a good chance I won't buy or sell anything today.

LA explained early on that he and his brother had a good system going. His Brother did the research to include company visit's. His talent was calling the numbers ECT.

I get that through Thaistocks, no commissions flat fee annually to fund the research. I really like my Broker at Asiaplus but, she works on commission so the more trading I do the more she makes. That is probably good for a day trader but not someone who is looking three to five years down line.

Well doing nothing was the right answer jumped 2K baht on the opening.

Hi Bumper,

I am interested in investing in the thai market, do you know if you can open online trading accounts here. Allowing you to trade by yourself without a broker, and get discounted fees like you can in North America. Any info would be appreciated as to how to start.

Thanks

Mike

My Account is with Asiaplus it's discounted if you do it on the web. Broker is available but at a higher rate. On the web commissions are .75% for sell and buy.

They are located on the third floor on Posri Rd Bangkok bank building. I only go there to put money in my account. I think you can do it via the net. But I enjoy visiting once a month anyway. They are very helpful, when you ask.

All your transactions are mailed to you. So you have a hard copy.

That is the only one I have any experience with.

Hi Mike
As bumper has indicated, you can set up an account with a broker, no problem. Brokers commissions were recently deregulated in Thailand and so you really need to hunt out each of the brokers web sites to check out their current rates. They are, on the whole, very reasonable though. I got a great book - Your Investment Guide to Thailand - and it provides a list of Thai brokers and their web sites, plus helpful info regarding how to go about making the right choices. You can google on the book title to get more details. It was just released this year. Happy investing