I had an intriguing chat with a friend recently about investing and life. And of course, his view of investing really echoes that of the masses. The way we have been taught to invest from the perspective of the media is largely erroneous in my opinion. This is a bold statement to make and hopefully, through my books and my posts on this humble blog, you get a different take on what investing is about.
At the very core of my investing beliefs is the need to be contrarian.
And because of that very belief of mine, I find myself in beaten and battered stocks such as AEI Corporation listed on the Singapore Stock Exchange.
When I purchased AEI Corporation about 12 months back, then, the company would be what one would call a cash bargain. When one can purchase a stock for less than the cash on the balance sheet net of all reported liabilities, the company can be theoretically be taken over for free.
Not all of these stocks work out. But if you pick your spots and find an operating entity and not just a box of cash, they tend to work out pretty well in the stock market.
The performance of the company can be seen below.
Source : Yahoo Finance
if you are in doubt as to boring and unsexy is good, stick around. And seek the answer for yourself. Hopefully, this blog and the case studies within our books will help to validate them for you.
if you are interested in a short snippet of a blog post related to AEI Corporation, you can find it here. And you can find my books here.
May you and your family be blessed with prosperity, health and happiness! May you be a better investor!