my good friends,i have been in the stock market for over 3yrs now,with a portfolio of arnd ksh 1.5m.However my net valuatn of my portfolio is always negative or at balance..i make money in this stock but another one pulls me down more.i rarely sell though..actualy only sold kengen after the ipo in 2006??i am always considering quiting coz i believe my money would have worked better for me in other investmnts..when i hear ppl talking of making money in stocks,i am left wondering wether its me who invested in the wrng counters..but again my counters are good from what i read in sk..i have BBK,KCB,HFCK,KENGEN,SCNGRP,SAFCM,EACBLES,NBK & EVRDY..I have participated in ipos,and rights issue for some of these companies..the only reason i havnt quit thus far is becos am not i need of the money at the moment and view it as a saving scheme...but this wont last longer.now my brothers & sisters,could u pls advise me wether to leave or hang on..and if to hang on..how i can make money..grds


seize the moment

You seem to be a long term investor. Your portfollio should consist of shares with a proven track record of growth. These are east african brewers,equity bank,nation media kcb. Other with potential prospects are,hfck,athi river,access kenya. You should by now have sold safaricom if you bought during the ipo to make a profit. Get rid of every thing and buy what I have outlined above.

Osama bin Laden

Your portfolio is what you have said it is - a saving. Would you rather liquidate it and keep the cash in a bank as an alternative saving method? I urge patience my friend. What do you do with the dividends anyway? If you reinvest it in more stock you will be amazed at the power of compounding.

life is not always fair....

you have the money but it doesnt give you the returns...

to be sincere i only have 20,000 and i have been able to get some good returns...can you loan me some of your cash..then i pay at an interest....banks dont like giving single ladies loans..

though i also have a friend who pays some guy 10,000 then they trade on your behalf...she has been abls to make good money....

ahh

thanks guys,what am getting is i need to specialise,get a portfolio manager,be patient etc..it all sounds good but i have tried most...i dont want abnornal returns so am focusing on making 20-30% p.a..how can i?given that i have limited time.rgds

seize the moment

Hi..............pole sana. Had you invested the same in unit trusts you would have made close to 84% net returns. Talk to me i have done it and it works

Tim Mwaura
Personal Financial Advice

@Mandlagh

Two words: trading plan

Forget the rest of the advice given in reply to your thread,it might work for those who wrote it but its unlikely to work for you because your objectives are different from theirs.

Whats a trading plan?

A trading plan is a tool that helps maintain consistency in trading and acts as a reference tool when a trader needs guidance in making a trading decision

A trading plan will list the trader’s: objectives,risk capital,trading strategy,trading routine,weaknesses,and how to keep a trading journal

Contents of a plan

Traders need to have a plan and need to follow the plan. Some of the essentials that every trading plan should have are:

Objectives: A clear set of SMART objectives must be established by the trader; these will form the vision of the trader and guide his/her every trading decision.

Risk Capital: Your plan should indicate how much money you want to dedicate towards speculative trading. Do not trade more than what you indicate as your risk capital,and contrary to what some have said,money invested in speculative trading cannot be considered as savings as equities are highly volatile.

Trading System: A trading system is the heart of your trading plan. It is the technical part that indicates how each trade is taken. It will indicate the stocks that you intend to trade,the time frame over which you trade (one week,one month etc.),the signal that identifies a trade setup,the signal that confirms a trade setup,your entry and exit points.

Trading Routine: Your routine will determine three things: when you will analyze the market and plan your trades,when you will actually watch the market to take trades,and when you will evaluate your trading actions.

Trader’s weaknesses: To be a better trader,one needs to admit on personal weaknesses in order to work on them This will be an objective way to keep track of things that you need to work on in order to become a successful trader. e.g. 'I tend to overtrade','I tend to hold on to large losses,and take small profits'


Happy trading

It's not about the ending,it's about the journey.

Boss,you say youre a long term investor. Wachana na shares.

Buy just 1 acre of land somewhere in Kitengela for like 1.2 - 1.3M. Pay 150k or so to subdivide to quarters or eigths. Relax for 2 years.

Then buy me a beer.




Be greedy when others are fearful,be fearful when others are greedy.