Contrary Investing — Medium

Collection edited by Malvin Tan

Stepping out of Net Nets

When compared, Stock markets outside of the U.S is less enticing because they lack big brand names like Microsoft, MacDonald or Coca Cola…. Most investors know that these companies have what Warren Buffett likes to call an “Economic Moat” Of course investing in companies that have economic moat is a great idea, however there are some problems; The price already reflect the value of the economic moat and most of the time you are paying a premium for it. You may have already missed the growth potential of these companies and they are now in the mature stage.

Malvin Tan4 min read

A small little dye manufacturer

This company has a market capitalization below 40 million, it would be an understatement to call it small. People tend to avoid small cap…stocks because of the psychological effect of dogma that the bigger companies are more stable therefore smaller companies are the opposite, less stable. That may be true to a certain extend but it is because of this thinking that brings us opportunities due to exceedingly low pricing for them. A substantial shareholder, above 20%, has started to liquidate their holdings. You would look at this and strike off this company from your mind but let’s ask why?

Malvin Tan3 min read

HOW TO WIN IN INVESTING?

So how do you win in this game of investing and why should you care?What do we mean by winning? Firstly who are we competing against? Is it the person who sells you the share that you are buying? Because if you are buying that means you believe the future prospects of this company is bright while the seller thinks otherwise. Are you competing with the lady luck and you are betting against adverse developments from happening? Or is it just a matter of self control, restraining yourself from making foolish mistakes.

Malvin Tan3 min read