Fund Performance

Dear Readers,

This year has not been a good year for my fund. Share purchases have been dismal and the portfolio damning.

Lets go through the table to view the performance.

Stocks	Average Price bought	Current Price (as of 5 December 2012)	Percentage
Pjdev-wc	0.22	0.17	(22.73)
KSL	1.44	1.45	0.69
Tagb	0.28	0.25	(10.71)
Favco	1.80	1.67	(7.22)

To say that the performance has been dismal would be a compliment. I have never had such bad performance in my entire life! The reason(s) for this dismal performance is the fact that I, as the holder of the fund, did not do enough aggressive expansion.

I made a mistake for allowing a small problem to slip through undetected that caused a huge catastrophe. I spent more than I expected ten bloody percent more, to purchase a property that generates positive cash flow every month. (Thank heaven for that). But it still does not mask the fact that I allowed my funds to be used in an unproductive manner. I made that mistake.

Imagine you have 3 bullets left, and you used one bullet to put down a zombie. Somehow, due to your stupidity, you mistakenly fired another bullet into the dead zombie! You have one bullet left and there are 2 zombies coming to eat your brains out. You could have survived if you have 2 bullets, but with only 1 left, you have this “Oh sh!t im f*cked.” Feeling.

The second reason would be me losing my balls. The simple adage I hold dear to my heart seems to be true.

“When you have everything to lose, you tend to err on the side of caution, hoping to preserve what you have” No more risk taking, no more gung ho approach. No more attack maneuvers. Thus, I missed out on the following:

Padini at RM1

Old town at RM0.80

The two stocks would provide the much required ammunition for me to go hunting again, but alas, it was not to be. I take full responsibility for this.

However next year would be a different year. There are four reasons for that:

Reason number 1:

US fiscal cliff. Regardless of whether America goes off the cliff or not, either way it is good. I am going against the norm here to say that the Fiscal cliff is a good thing. A wonderful thing even! You cant keep an economy afloat without higher tax revenue. Sure, America might be sent to a recession if it goes over the cliff, but in the long run, it is a much better proposition. America, you need to bite the bullet for the short term pain for the betterment of your future generation.

If America does not go over the fiscal cliff, its also a good thing. Somehow or rather, they will find a compromise that improves the economy. Thus, it would still be a good move.

Reason Number 2:

I love Europe. They have been battered so bad that the banks in Europe now seems cheap. No bad news can come out from there that could change the outlook anymore. Greece going to go bankrupt? It already has! Three bloody times ( if my calculations are correct)! Spain is in recession? We knew that last year. Germany is slowing down or maybe contract? What you expect? Germany has been propping up Greece, Ireland, Spain and Italy. Of course they are going to break.

Reason Number 3:

You know I love China lot right? My partner soon to be wife is from China so I love the country to bits. Im looking at the fact that China seems to be slowing down. Im also forecasting that the property bubble will burst in China, sending its economy spiraling. However, there is a saving grace. There is a new premier. The new premier would use every last Renmenbi to prop up the economy. They will spend as much as they can so that the economy grows. So expect in the next year or the next two years, China will grow, albeit at a slower rate.

Reason Number 4:

You have me back on seat. I will be taking a very active approach next year. I will not hesitate to remove underperforming stocks to be replaced with other stocks. I will go in strong and go in fast. No more holding back. No more shirking my responsibility.