This morning I added a few shares in Sinolink Holdings (HK:1168) to the portfolio. The company is a small scale PRC property developer and investor whose shares are currently selling a large discount to the net cash position (40%+) and an even larger discount to the book value of the assets (around 70%). Even by the standards of the discounts applying to peer group companies, this would appear to excessive to me - especially given the very high net cash position.
The company does not pay a dividend.
I paid an average of HK$0.61 per share.
Hi, i'd be interested to know to what extent you consider market timing in your investment decisions. When buying to hold & accumulate over a longer time horizon, i'd imagine this would be less critical, but not completely ignored.
Personally, i often frustrate myself, after having made a decision to buy, i'll sit and wait for a dip, and often regret it when the dip doesn't happen!
Thanks for the question.
I tried short term market timing for a while (some trades in 2008/2010 on the blog), but generally found it wasn't working for me.
On a longer term basis, I try to focus on fundamentals and look for value rather than high growth stories. I try very hard to ignore short term moves in the overall market - they are too unpredictable for me - and just keep asking myself if I think I will look back in a year or two and be happy that I purchased the share at this price today.
Patience is a very hard skill to learn - I still have a long way to go.
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