by mark8mah » Sun Dec 12, 2010 7:01 pm
Hi Winston
Thank you. May I ask, how do you do your After Action Review?
Let's say, I bought HL Asia mid year at $4.20. Now the price is $3.06.
HL Asia has much exposure in China investments. It has substantial building materials business in Singapore.
What would be your take if you conduct an After Action Review?
Much appreciated.
Hi Mark,
I dont follow this stock that closely anymore, so I cant really comment on the company.
If I'm doing an After Action Review ( AAR ), I would ask myself two questions:-
1) What did I do right on this trade and therefore would continue to do on the next trade ?
2) What did I do wrong and should try to improve on the next trade ?
In your case, maybe I would ask the following questions:-
1) Was there an exit strategy ?
2) If yes, was it a correct exit strategy eg. 7% Stop Loss, "Sell only when Fundamentals change", "Sell within one month", "Sell on some technical indicators turning negative" eg. crashing through a support etc
3) Did you followed your exit strategy ? If not, why not ?
4) Were your exposure to this stock within your objectives ? Or were your exposure too much ?
If my exit strategy was "sell when business fundamentals change", I would probably ask the following:-
1) Were the sale and profit of white goods within expectation ?
2) Were the sale and profit of diesel engines within expectation ?
3) Were the sale and profit of construction materials within expectation ?
Going forward, where do you see things heading ?
Or if I bought this counter on the hope of some M&A, did that materialize ?
I hoped that the above is useful.
Take care,
Winston
It's all about "how much you made when you were right" & "how little you lost when you were wrong"