STI has been trending up for the past few weeks, and reading from some of the stock forums, I know many people have gone into the market with the hope of making a quick profit, as they can't resist that other people are making money. Before all of us(including me) get carried away, I thought I just share my 2 cents on risk and reward. Many of us when we invest, we always look at the rewards or profit first, how much we are going to make from this counter, share price is going up or in local term 'cheonging', how much higher can it go. We have forgotten one very important thing which most people neglect, it is the risk.
Some of these risks that we want to be aware of are :
- Are you having your portfolio skewed towards certain sector - Remember a time when Reits were ...