I do agree with all points but I like to mention my own observation, I had invested in stocks of perticular company as you already mentioned in JS momentum etf vlog, but I thought it will return to its previous price as of 4 months ago, but its price went up like never expected so I had purchased it again at 30 % higher price, dont know my decision will be right or wrong, but nut shell is that some time you should be proactive patience while investing at lower price dont always works
I 100% agree to your point - but I have one rule for such scenarios. Let me explain:
I keep a monthly budget for investing in stocks, lets say 100K per month. In case the stock market goes down after I invested 100K for that month and I am tempted to invest because I feel I can get value from low price, I will invest further 25K for that month and after that I would not come back to see the situation. The next investment will happen the next month.
This way I will save myself from behaviour base that we have for buying on dips - but the dip might get deeper sooner. One cannot predict the market - but one can create system of their own in case they are long term investor.
I am also long time investor, I had bought Shares of ubl and Hbl during ipo, when I was at university, but saddly could not follow it, now I am back with full motivation.
For trial purpose I had invested about 300K in different companies with different ratio.
In case of EPCL I had bought it at price @ 55, now its price is around 85, as per my analysis ( it could be wrong), its price wont get under 75, same is the case with EFERT, so some time we have to be proactive.
But in case of MCB I bought it arount 155, but price went down to 142 but now around 148, there is alot of momentum in engro subsideries, what is your openion will be fair price of EPCL & EFERT?
Engro is great, but for EFERT i always mention that I wont go above 20% of the overall portfolio due to inherent risk associated with concentrating on one company - same with EPCL, but still both are great entities for dividend income.
However, for EFERT, a couple of issues i can see are:
1: The gas prices and crisis which can dampen the growth.
2: The dividend payout is crazy - its greater than 100% from the profit. There might be an end to it.
Having said that, I still keep on investing on monthly basis as per my strategy.
I do agree with all points but I like to mention my own observation, I had invested in stocks of perticular company as you already mentioned in JS momentum etf vlog, but I thought it will return to its previous price as of 4 months ago, but its price went up like never expected so I had purchased it again at 30 % higher price, dont know my decision will be right or wrong, but nut shell is that some time you should be proactive patience while investing at lower price dont always works
I 100% agree to your point - but I have one rule for such scenarios. Let me explain:
I keep a monthly budget for investing in stocks, lets say 100K per month. In case the stock market goes down after I invested 100K for that month and I am tempted to invest because I feel I can get value from low price, I will invest further 25K for that month and after that I would not come back to see the situation. The next investment will happen the next month.
This way I will save myself from behaviour base that we have for buying on dips - but the dip might get deeper sooner. One cannot predict the market - but one can create system of their own in case they are long term investor.
I am also long time investor, I had bought Shares of ubl and Hbl during ipo, when I was at university, but saddly could not follow it, now I am back with full motivation.
For trial purpose I had invested about 300K in different companies with different ratio.
In case of EPCL I had bought it at price @ 55, now its price is around 85, as per my analysis ( it could be wrong), its price wont get under 75, same is the case with EFERT, so some time we have to be proactive.
But in case of MCB I bought it arount 155, but price went down to 142 but now around 148, there is alot of momentum in engro subsideries, what is your openion will be fair price of EPCL & EFERT?
Engro is great, but for EFERT i always mention that I wont go above 20% of the overall portfolio due to inherent risk associated with concentrating on one company - same with EPCL, but still both are great entities for dividend income.
However, for EFERT, a couple of issues i can see are:
1: The gas prices and crisis which can dampen the growth.
2: The dividend payout is crazy - its greater than 100% from the profit. There might be an end to it.
Having said that, I still keep on investing on monthly basis as per my strategy.
Thanks for your reply,
One thing that I want to discuss is abomal price increase in case of EPCL this month, couldnt got any clue whats going on.
Do you have any idea?
No idea, but I yesterday was the dividend announcement - that has slightly arrested the price, but long term I am still bullish on it.