rightcoastconservative

Given the persistent headwinds from the external sector and general election overhang on the home front, we are of  the view that the market will likely be stuck in a range-bound trading pattern in the 4Q. Consequently, we believe  investors would still need to accumulate fundamentally-robust stocks on weakness in order to outperform the  market, while staying defensive on the core holdings will provide greater stability to the portfolio performance. In  addition, as the search for yield will likely remain a key driver for both retail and institutional investors in the 4Q, high  divided-yielding stocks will also continue to outperform the market, in our view. A list of our top picks is reflected in t able below, which includes “buy on weakness” tactical stocks. Which Sector to look at? Sector-wise, our key overweights are telecommunications and banking , although we also have an overweight stance on the consumer, utilities, gaming and rubber gloves unde...

Lately, there was a slew of divestment by Khazanah Nasional Bhd (Investment arm of Malaysia Government). And, the most recent one was the divestment of Proton stakes to DRB-Hicom. But, the strange part was DRB-Hicom was the winning bidder for Khazanah's stake in POS Malaysia last year too. Questions have been pouring in to Finance Malaysia regarding this issue, such as, are there any linkages between the two national deals? Other than DRB-Hicom, there was none other better suitors? As such, we would like to give our opinion on this matter. (Just for your reading pleasure) You have the Questions, We have the Answers First, both POS and Proton were considered as " sunset " companies in their respective industry. Both were not managed well and fallen from their glamorous days. Just as many investors written them off from investment radar, DRB-Hicom comes into the picture. Frankly speaking, the only asset both companies have was Government's backing. While POS has the mo...

Thinking that yesterday's 13points drop is enough? Today, KLCI slumps again for the 2nd day in a row. Are you expecting it? Personally, I don't think most of us can predict the future. But, what I can say is that many investors like me would positioning our money very well, anticipating some good announcements during Invest Malaysia 2011 Conference today and tomorrow. If you're thinking the same way, Good Luck!!! TheStar picture Any BAD news? Excluding foreign news, NO bad news at all in Malaysia. But, investors see the opposite side now - no good news = bad news ! Profit-taking activities set in on Malaysia market beginning this week. If you're not the one who cash out yesterday, you would probably forced to stay on holding until the " tsunami " is over. Money is washing away from the market, flowing overseas (capital outflow by foreign funds). That's why banking stocks, Genting, Petronas Chemicals took a beating today, pulling down KLCI as a result. ...

It's been awhile since the government announcing its intention to divest its shareholding in Pos Malaysia last year. Through Khazanah Holdings, the government owned 32% stake in Pos. Let's re-look at the news with updated info, and hopefully we can have a better prediction on Pos in the near term. While waiting for a new strategic partner, Pos has declared a one-off final and special dividend of 17.5sen , which provides a dividend yield of 5.7%. However, OSK is maintaining its fair value for Pos at RM4.12 with a BUY call. It closed at RM3.32 yesterday. On 29th March 2011, Business Times reported unconfirmed sources said that Khazanah had just shortlisted 3 out of 5 parties bidding for its 32% stake in Pos. Who are they? The 2 candidates that already failed are: Scomi Bhd Tricubes Bhd The 3 still-in-run candidates are: Nationwide MPC-Amanah REIT DRB-Hicom The shortlisted parties will make a final presentation today to Khazanah and McKinsey & Co, who is the adviser. Pos...