Started in 2010 decided to put aside a portion of money from my trading capital to buy a stock, which I deemed could provide multi-fold return in the future, under observation. Once certain conditions are met, the stock will be transferred to my long-term investment portfolio. As such a move is relatively higher risk than the usual investment, only a small portion of capital is allocated to it (amount of money that I could afford to lose if things turn sour). This is what I termed as calculated risk. After all, nothing is risk free in this world (money don’t just drop down from the sky for you). One just have to take risk, calculated risk to be exact, if you want the return in any investment.
The first stock under this category was SembMar which I eventually shifted to the long-term investment portfolio in 2011. SembMar was chosen then …Read the full article →