2011 Investment Review

2011 is a terrible year, Bad, Bad
No excuse

Asset Allocation -20% ( HSI -20%)
Stock Selection -29%
Total Return -49%

2012 outlook : Bullish
HSI : PE = 8.5 Vs 13 (more than 1 Standard deviation down)
CSI : PE = 11 Vs 16

Factors
Europe : bond crisis
China : Real Estate Bubble; 準備金水平 (RRR level)
US : QE3

Industry
IN : 金額 ; 內需 ;
OUT : 內房

Investment Logo
Think like a fundamentalist
Trade like a trader
Go with the trend
Pick the side as a contradian

Review

Cut loss indicator for Portfolio and individual stocks should be in place for risk management

Strategy directions

spot and follow star stocks

let go the losers sooner rather later.

Room for Improvement

1. Portfolio Re-balance

Strictly follow the set plan for portfolio re-balancing

2. Buy-Sell timing

- Buy-Sell Gap for rebound
- Bollinger tunnel for holding

3. Diversification

Build up fix-income for long term retirement as well as risk management (10%)