Wazua
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How I'm surviving the brutal NSE bear run
Rank: Elder Joined: 9/25/2009 Posts: 4,534 Location: Windhoek/Nairobbery
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mv_ufanisi wrote:Ebenyo wrote:Fyatu wrote:I am managing my blood sugar pole pole reflecting on the years that have been. My entire portfolio is 50%(on average) in the negative with some counters at -ve 90% while others have been suspended with no communication at all(read Atlas Africa Industries). The winter has been long and dark. Money has been hard to come by as usual(economics 101: Money is scarce by nature). From the look of things, there is no respite in the near future. Books have been cooked and continue to be cooked with impunity. Profit warnings still persist.
What baffles me is that counters that not so long did rights issues at a whooping 30bob are now trading at 4.50bob others whose rights were floated 19.5 bob are now selling for 3 bob.When i think of these wonders of the world that only happen in Kenya, i derive solace that i am not alone. There are many others nursing their sukari quietly and not sleeping at night.
Sometimes i wish i just kept my money under the mattress and not attempted chasing the Kenyan dream.
How are you surviving?
@fyatu,dont regret.Stock market is one of the best place to grow wealth over time. Its true you are not alone.The bear is rough to everyone. Take heart and view it as a lesson.I first joined NSE through safaricom IPO of 2008.i was among the many green wanjikus who bought their first shares then.I also bought other shares till 2012 and sold everything at some losses. I came back in 2015 with determination to become wealthy through NSE. I started a fresh slowly and im growing with confidence as each day goes by. Over those years,i have learnt some few lessons: a) Put money in the stock money that you can afford to loose.The kind of money that if it drops from your pocket you will not stress up. These also involves money that you may not need anytime soon. b)Stock market requires patience.Im currently buying safaricom at 23 yet there was a time it was 2.50!.These means you need to be patient and give it time. c) Take time to do proper reasearch on any company before buying it.Avoid sentiments and herd mentality. @fyatu,i will encourage you to never give up. Im here to make wealth for me and my children and i will only strive with many challenges and obstacles.Cheer up and relax.avoid stress. I really don't agree with Ebenyo. Firstly, the stock market you read about by Warren Buffett and the likes is not the same stock market we have here. They are not the same "animal". Here we have very weak law enforcement, so there are a lot of leakages in shareholder wealth that go unpunished which creates a vicious cycle. So stock market in Kenya and the one in the US are not the same "thing." My strategy which works very well for me has been to put most of my money i.e. 90% in risk free treasury bills and bonds. Then I use the rest of the money i.e. 10% to set up or invest in very high risk new ventures. The 10% provides me with the potentially unlimited upside while the 90% provides me with a floor beyond which I cannot go under. The way to stay rich is to avoid being poor! One of the biggest hidden costs of the NSE is that it attracts a lot of smart people, who are over trained and over read for a market with so few investable companies. A lot of companies e.g. EAPC are riddled with corruption and the NSE doesn't really suit an emerging market with a high level of corruption. So it's a big waste that people full of American ideas about the stock market operate in the NSE where a lot of rules learnt from American investors make no sense! Your intellect, money and time is much better spent creating your own company in stead of fishing in the muddy polluted waters of the NSE. Funny enough my biggest success is outside the NSE... Today my exposure is 20% of my networth... It's significant despite me don't seeing myself not settling in Kenya lol... Hopefully my daughter is interested one day...
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Rank: Member Joined: 1/15/2010 Posts: 625
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What I advocate as a good investment strategy is 90% Treasury Bills and Bonds and 10% High Risk Investments in new Ventures. You could start the venture yourself or fund a venture with a team you believe in.
This portfolio is good because it's very robust. You are basically guaranteeing that you will not go below 90% of your assets, which means that you can sleep easy at night and have no major downside shocks. The way to stay rich is avoid losing your money!
The 10% investment in new ventures or start ups on the other hand gives you unlimited upside potential.
So basically the strategy is, limited downside, unlimited upside
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Rank: Member Joined: 2/20/2007 Posts: 767
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mv_ufanisi wrote:What I advocate as a good investment strategy is 90% Treasury Bills and Bonds and 10% High Risk Investments in new Ventures. You could start the venture yourself or fund a venture with a team you believe in.
This portfolio is good because it's very robust. You are basically guaranteeing that you will not go below 90% of your assets, which means that you can sleep easy at night and have no major downside shocks. The way to stay rich is avoid losing your money!
The 10% investment in new ventures or start ups on the other hand gives you unlimited upside potential.
So basically the strategy is, limited downside, unlimited upside Your strategy is very sound. I agree you make more money by losing the least amount. My only issue is that the 10% can just as easily be lost in the venture deals and it can just as easily grow exponentially in the stock market. Look at Equity, Safaricom, Kakuzi, to name a few. I think caution is critical whether in nse or anywhere else. The shenanigans in nse firms are also in those american firms. Look up the tech bubble and how it happened. How many were wiped out by it? They must find it difficult....... those who have taken authority as the truth, rather than truth as the authority. -G. Massey.
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Rank: Elder Joined: 9/23/2009 Posts: 8,083 Location: Enk are Nyirobi
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mv_ufanisi wrote:What I advocate as a good investment strategy is 90% Treasury Bills and Bonds and 10% High Risk Investments in new Ventures. You could start the venture yourself or fund a venture with a team you believe in.
This portfolio is good because it's very robust. You are basically guaranteeing that you will not go below 90% of your assets, which means that you can sleep easy at night and have no major downside shocks. The way to stay rich is avoid losing your money!
The 10% investment in new ventures or start ups on the other hand gives you unlimited upside potential.
So basically the strategy is, limited downside, unlimited upside Some stocks have higher dividend yields than interest on T-Bills, after tax. Life is short. Live passionately.
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Rank: Veteran Joined: 4/4/2016 Posts: 2,016 Location: Kitale
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mv_ufanisi wrote:Ebenyo wrote:Fyatu wrote:I am managing my blood sugar pole pole reflecting on the years that have been. My entire portfolio is 50%(on average) in the negative with some counters at -ve 90% while others have been suspended with no communication at all(read Atlas Africa Industries). The winter has been long and dark. Money has been hard to come by as usual(economics 101: Money is scarce by nature). From the look of things, there is no respite in the near future. Books have been cooked and continue to be cooked with impunity. Profit warnings still persist.
What baffles me is that counters that not so long did rights issues at a whooping 30bob are now trading at 4.50bob others whose rights were floated 19.5 bob are now selling for 3 bob.When i think of these wonders of the world that only happen in Kenya, i derive solace that i am not alone. There are many others nursing their sukari quietly and not sleeping at night.
Sometimes i wish i just kept my money under the mattress and not attempted chasing the Kenyan dream.
How are you surviving?
@fyatu,dont regret.Stock market is one of the best place to grow wealth over time. Its true you are not alone.The bear is rough to everyone. Take heart and view it as a lesson.I first joined NSE through safaricom IPO of 2008.i was among the many green wanjikus who bought their first shares then.I also bought other shares till 2012 and sold everything at some losses. I came back in 2015 with determination to become wealthy through NSE. I started a fresh slowly and im growing with confidence as each day goes by. Over those years,i have learnt some few lessons: a) Put money in the stock money that you can afford to loose.The kind of money that if it drops from your pocket you will not stress up. These also involves money that you may not need anytime soon. b)Stock market requires patience.Im currently buying safaricom at 23 yet there was a time it was 2.50!.These means you need to be patient and give it time. c) Take time to do proper reasearch on any company before buying it.Avoid sentiments and herd mentality. @fyatu,i will encourage you to never give up. Im here to make wealth for me and my children and i will only strive with many challenges and obstacles.Cheer up and relax.avoid stress. I really don't agree with Ebenyo. Firstly, the stock market you read about by Warren Buffett and the likes is not the same stock market we have here. They are not the same "animal". Here we have very weak law enforcement, so there are a lot of leakages in shareholder wealth that go unpunished which creates a vicious cycle. So stock market in Kenya and the one in the US are not the same "thing." My strategy which works very well for me has been to put most of my money i.e. 90% in risk free treasury bills and bonds. Then I use the rest of the money i.e. 10% to set up or invest in very high risk new ventures. The 10% provides me with the potentially unlimited upside while the 90% provides me with a floor beyond which I cannot go under. The way to stay rich is to avoid being poor! One of the biggest hidden costs of the NSE is that it attracts a lot of smart people, who are over trained and over read for a market with so few investable companies. A lot of companies e.g. EAPC are riddled with corruption and the NSE doesn't really suit an emerging market with a high level of corruption. So it's a big waste that people full of American ideas about the stock market operate in the NSE where a lot of rules learnt from American investors make no sense! Your intellect, money and time is much better spent creating your own company in stead of fishing in the muddy polluted waters of the NSE. The rule of thumb is to diversify our investments to minimize risks.Putting all your eggs in one basket is risky.Putting 90% in one investment is risky.I prefer 45% 30% and 25% I have diversified between stocks and bonds for now and later when i grow strong i will put a percent in real estate. I like stocks because they beat inflation in the long run. Towards the goal of financial freedom
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Rank: Member Joined: 3/8/2018 Posts: 507 Location: Nairobi
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Ebenyo wrote:mv_ufanisi wrote:Ebenyo wrote:Fyatu wrote:I am managing my blood sugar pole pole reflecting on the years that have been. My entire portfolio is 50%(on average) in the negative with some counters at -ve 90% while others have been suspended with no communication at all(read Atlas Africa Industries). The winter has been long and dark. Money has been hard to come by as usual(economics 101: Money is scarce by nature). From the look of things, there is no respite in the near future. Books have been cooked and continue to be cooked with impunity. Profit warnings still persist.
What baffles me is that counters that not so long did rights issues at a whooping 30bob are now trading at 4.50bob others whose rights were floated 19.5 bob are now selling for 3 bob.When i think of these wonders of the world that only happen in Kenya, i derive solace that i am not alone. There are many others nursing their sukari quietly and not sleeping at night.
Sometimes i wish i just kept my money under the mattress and not attempted chasing the Kenyan dream.
How are you surviving?
@fyatu,dont regret.Stock market is one of the best place to grow wealth over time. Its true you are not alone.The bear is rough to everyone. Take heart and view it as a lesson.I first joined NSE through safaricom IPO of 2008.i was among the many green wanjikus who bought their first shares then.I also bought other shares till 2012 and sold everything at some losses. I came back in 2015 with determination to become wealthy through NSE. I started a fresh slowly and im growing with confidence as each day goes by. Over those years,i have learnt some few lessons: a) Put money in the stock money that you can afford to loose.The kind of money that if it drops from your pocket you will not stress up. These also involves money that you may not need anytime soon. b)Stock market requires patience.Im currently buying safaricom at 23 yet there was a time it was 2.50!.These means you need to be patient and give it time. c) Take time to do proper reasearch on any company before buying it.Avoid sentiments and herd mentality. @fyatu,i will encourage you to never give up. Im here to make wealth for me and my children and i will only strive with many challenges and obstacles.Cheer up and relax.avoid stress. I really don't agree with Ebenyo. Firstly, the stock market you read about by Warren Buffett and the likes is not the same stock market we have here. They are not the same "animal". Here we have very weak law enforcement, so there are a lot of leakages in shareholder wealth that go unpunished which creates a vicious cycle. So stock market in Kenya and the one in the US are not the same "thing." My strategy which works very well for me has been to put most of my money i.e. 90% in risk free treasury bills and bonds. Then I use the rest of the money i.e. 10% to set up or invest in very high risk new ventures. The 10% provides me with the potentially unlimited upside while the 90% provides me with a floor beyond which I cannot go under. The way to stay rich is to avoid being poor! One of the biggest hidden costs of the NSE is that it attracts a lot of smart people, who are over trained and over read for a market with so few investable companies. A lot of companies e.g. EAPC are riddled with corruption and the NSE doesn't really suit an emerging market with a high level of corruption. So it's a big waste that people full of American ideas about the stock market operate in the NSE where a lot of rules learnt from American investors make no sense! Your intellect, money and time is much better spent creating your own company in stead of fishing in the muddy polluted waters of the NSE. The rule of thumb is to diversify our investments to minimize risks.Putting all your eggs in one basket is risky.Putting 90% in one investment is risky.I prefer 45% 30% and 25% I have diversified between stocks and bonds for now and later when i grow strong i will put a percent in real estate. I like stocks because they beat inflation in the long run. Mimi niko 90% NSE, 8% Bitcoin, 2% waiting on bargains on either of the former.  I will survive, donge?
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Rank: Elder Joined: 12/7/2012 Posts: 11,935
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Bitcoin cannot be recovered by Assets Recovery, safe heaven!!! In the business world, everyone is paid in two coins - cash and experience. Take the experience first; the cash will come later - H Geneen
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Rank: Veteran Joined: 8/28/2015 Posts: 1,247
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rwitre wrote:Ebenyo wrote:mv_ufanisi wrote:Ebenyo wrote:Fyatu wrote:I am managing my blood sugar pole pole reflecting on the years that have been. My entire portfolio is 50%(on average) in the negative with some counters at -ve 90% while others have been suspended with no communication at all(read Atlas Africa Industries). The winter has been long and dark. Money has been hard to come by as usual(economics 101: Money is scarce by nature). From the look of things, there is no respite in the near future. Books have been cooked and continue to be cooked with impunity. Profit warnings still persist.
What baffles me is that counters that not so long did rights issues at a whooping 30bob are now trading at 4.50bob others whose rights were floated 19.5 bob are now selling for 3 bob.When i think of these wonders of the world that only happen in Kenya, i derive solace that i am not alone. There are many others nursing their sukari quietly and not sleeping at night.
Sometimes i wish i just kept my money under the mattress and not attempted chasing the Kenyan dream.
How are you surviving?
@fyatu,dont regret.Stock market is one of the best place to grow wealth over time. Its true you are not alone.The bear is rough to everyone. Take heart and view it as a lesson.I first joined NSE through safaricom IPO of 2008.i was among the many green wanjikus who bought their first shares then.I also bought other shares till 2012 and sold everything at some losses. I came back in 2015 with determination to become wealthy through NSE. I started a fresh slowly and im growing with confidence as each day goes by. Over those years,i have learnt some few lessons: a) Put money in the stock money that you can afford to loose.The kind of money that if it drops from your pocket you will not stress up. These also involves money that you may not need anytime soon. b)Stock market requires patience.Im currently buying safaricom at 23 yet there was a time it was 2.50!.These means you need to be patient and give it time. c) Take time to do proper reasearch on any company before buying it.Avoid sentiments and herd mentality. @fyatu,i will encourage you to never give up. Im here to make wealth for me and my children and i will only strive with many challenges and obstacles.Cheer up and relax.avoid stress. I really don't agree with Ebenyo. Firstly, the stock market you read about by Warren Buffett and the likes is not the same stock market we have here. They are not the same "animal". Here we have very weak law enforcement, so there are a lot of leakages in shareholder wealth that go unpunished which creates a vicious cycle. So stock market in Kenya and the one in the US are not the same "thing." My strategy which works very well for me has been to put most of my money i.e. 90% in risk free treasury bills and bonds. Then I use the rest of the money i.e. 10% to set up or invest in very high risk new ventures. The 10% provides me with the potentially unlimited upside while the 90% provides me with a floor beyond which I cannot go under. The way to stay rich is to avoid being poor! One of the biggest hidden costs of the NSE is that it attracts a lot of smart people, who are over trained and over read for a market with so few investable companies. A lot of companies e.g. EAPC are riddled with corruption and the NSE doesn't really suit an emerging market with a high level of corruption. So it's a big waste that people full of American ideas about the stock market operate in the NSE where a lot of rules learnt from American investors make no sense! Your intellect, money and time is much better spent creating your own company in stead of fishing in the muddy polluted waters of the NSE. The rule of thumb is to diversify our investments to minimize risks.Putting all your eggs in one basket is risky.Putting 90% in one investment is risky.I prefer 45% 30% and 25% I have diversified between stocks and bonds for now and later when i grow strong i will put a percent in real estate. I like stocks because they beat inflation in the long run. Mimi niko 90% NSE, 8% Bitcoin, 2% waiting on bargains on either of the former. I will survive, donge? One more shakeout, and we are home dry. A bounce is in the whooping to relieve those need desperately to leave. Ashortened window. I believe many are on the gate eager to exit were their loss positions to slightly improve. That shall be the killer bullet, a 15% to 20% upside with a new level of cut loss position set in place, creates a further 40% to 50% downside. That incident will definitely rough the smart money the wrong way and action will have to be guranteed. A few crime like scenes will have to be recorded, definitely. My dream is valid. Time frames, upshot about two four years all in all. Triggers. Moderate macro and micro economics upshot Hiked taxition cold branket in spring Austerity budget climax Electioneering. The plunger. PEV / default by gok MRC/ constitutional Criss/ left winged talks. Current stage Cohabation with weaker ties, breedinging mistrust. Dreams. ,Behold, a sower went forth to sow;....
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Rank: Member Joined: 1/3/2011 Posts: 264 Location: Nairobi
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I exited after the elections last year while still in the green. I came back in September 2018.
I'm buying on a regular basis with some spare change picked up here and there. I was a speculator before my return, but now I'm going for dividend. Sticking to the blue chips.
Trying to position myself for future cash flows. Appreciating the falling prices.
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Rank: Veteran Joined: 4/4/2016 Posts: 2,016 Location: Kitale
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Muthawamunene wrote:I exited after the elections last year while still in the green. I came back in September 2018.
I'm buying on a regular basis with some spare change picked up here and there. I was a speculator before my return, but now I'm going for dividend. Sticking to the blue chips.
Trying to position myself for future cash flows. Appreciating the falling prices.
Its indeed a buying time.bahati mbaya sina pesa ya kutosha.i could have gone on a buying spree. Towards the goal of financial freedom
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