by Chinaman » Wed Jun 23, 2010 2:30 pm
This few days my laptop over-load by waching TVU WC game..hang liao.
While clearing the folder I found this old article abt AAR….tot of returning back to the originator…hahaha.
After Action Review ( AAR ) : The US Army has an AAR after any operation.
They will ask two simple questions:-
1) What did we do right and therefore, should continue to do?
2) What did we do wrong and therefore, should try to improve upon ?
This AAR idea has since been used in the corporate world.
As this is a new year, let's do an AAR on your investments. I will start first.
1) What did I do right in 2007 and therefore, should continue to do in 2008?
a) I was right on various Commodity stocks. This came from a lot of reading.
b) I sold when people were greedy and bought when people were panicking
c) I did not listen to the people who were saying that a lot of the Chinese QDII money will be going to Singapore. In fact, nothing came at all.
d) I did not listen to the people who said that a lot of Chinese Money will be going to HK thru the "Direct Train" scheme. The scheme has been postponed indefinitely.
e) I kept plenty of cash handy and when the market corrected, I has the resources to buy some good stocks
f) I bought when the short term players have finished their selling and sold when the short term players have finished their buying
2) What did I do wrong in 2007 and therefore, should try to improve upon in 2008?
a) I still allowed so called "experts" to influence my investment decisions. "Experts" as in young Analysts who have not seen a bear market or just plain lousy Analysts. In 2008, I will still listen to these experts for ideas but I will rely more on my common sense.
b) I should be greedier. I should have sit longer on some of my winning positions. In 2008, I will use more trailing Stop-Loss
c) I will not listen to things that I cannot verify eg. Stock market crash in years ending in 1987, 1997, 2007, prophesies, fortune tellers, Astrologers, Feng Shui Masters etc.
d) I will not base my investment decisions on rumors or things that I cannot verify eg. Potential A share listing, potential M&A, potential Asset Injection by parent etc.
e) I should run faster when there is any hint of trouble. Sell First then Investigate. I can always buy back later if I'm wrong. A 1% extra in commission is nothing compare to a potential loss of maybe 20%
f) I should have a plan before any major event plays. A plan will allow me to act decisively when it is time to buy or sell
just a recap, u know who is the writer....?