Showing posts with label Portfolio Management. Show all posts
Showing posts with label Portfolio Management. Show all posts

Sunday, September 25, 2011

Why don't you be your own Portfolio Manager

Why don't you be your own Portfolio Manager.... Different people may have different view regarding their portfolio design. No problem. We may share our view. I'm sharing my view with you.

How I organize my Portfolio :

1) 20% of my total amount I invest for long term.
2) 20% of my total amount I invest for mid term.
3) 40% of my total amount I invest for short term gain.
4) 20% of my total amount I keep as Cash.
 
I also follow the below rules strictly :
  • I always put Trailing Stop-Loss.
  • I never invest more than 20% of my money in any individual stock.
  • I never invest more than 40% of my money in any sector.
  • If I find the market is going to wrong, I withdraw all of my money and then wait for a suitable time for re-investment.
How can I make my portfolio better? I'll be very much grateful, if you give me any advice.

Friday, September 23, 2011

Portfolio Management

New Investor : As you are new in share market, you should take the taste of mutual funds.

Trader (Who hold share upto 10 days) : Pls. watch the price and candlestick pattern along with the volume. Your TA knowledge will help you to make a RIGHT decision.

Short Term Investor (Who holds share upto 1 month) : Pls. watch the price pattern along with the volume. Your TA knowledge will help you to make a RIGHT decision. After picking a share you may test it by your FA knowledge.

Mid Term Investor (Who holds share upto 6 months) : Please use your TA and FA (both) knowledge.

Long Term Investor (Who holds share more than 6 months) : Please use your FA knowledge. TA is not mandatory here.

Now, most of the people will tell me you are a big FOOL. You know nothing. You have missed a BIG thing i.e. NEWS/RUMOR. My answer is: A chart reader (chart reading is a part of TA) knows how to catch the effect of News/rumor. I haven't finished yet. Please read the below note :

Note : Please diversify your investment and after buying a share put a stop-loss. Inshallah, you will find later in my WALL regarding diversification (a part of Portfolio Management) and Stop-loss (a part of Money Management). by JC