Mistakes you have made while investing on the NSE

[dejino]

Originally Posted by Yomik

Hello guys,
I have a question for everyone please, if I bought my PO stocks through my stock broker do they have any paper to give me, because my broker did not give me anything, though I can see through my account in their web site what they bought and how much they bought it. My question is did I suppose to get anything to show that they purchase those stocks for me. Please help me out.

Thanks

Though you wrote this a long time ago, l was always waiting for some of the 'gurus' in da house (Apache, C Kenneth, Oluwakemi, Dotunk, e.t.c) to respond to it! Well, l guessed they skipped it but l hope l can draw their attention to it again by my post.
The sort of rascality in display by our stockbrokers is on the worrying side and l did share my experience with the house, in my thread, "my Broker is trying my patience".
To you worries, l will say experience has taught me NEVER to do a financial transaction without a RECEIPT, not even with my brother! (sorry brother, l know u have my back, always).
Without even considering the question of trust, for your financial records and accounting purposes, for the sake of your 'next-of-kin', for tax purposes, all financial transactions should leave a trail, whether in paper or electronically.
Human nature is such that 'money is the root of all evil' and its even worse when it comes to brokers but, even some Lawyers are known to dupe and act against their clients interest.
Tell your Broker to write you a receipt for all your purchases and send it to you or you go pick it up. Worst case, let him scan and send it as attachment to your E-mail box.
Well, maybe events wouldhave overtaken your position by now.
Cheers.

[Apache]

Originally Posted by dejino

Though you wrote this a long time ago, l was always waiting for some of the 'gurus' in da house (Apache, C Kenneth, Oluwakemi, Dotunk, e.t.c) to respond to it! Well, l guessed they skipped it but l hope l can draw their attention to it again by my post.
The sort of rascality in display by our stockbrokers is on the worrying side and l did share my experience with the house, in my thread, "my Broker is trying my patience".
To you worries, l will say experience has taught me NEVER to do a financial transaction without a RECEIPT, not even with my brother! (sorry brother, l know u have my back, always).
Without even considering the question of trust, for your financial records and accounting purposes, for the sake of your 'next-of-kin', for tax purposes, all financial transactions should leave a trail, whether in paper or electronically.
Human nature is such that 'money is the root of all evil' and its even worse when it comes to brokers but, even some Lawyers are known to dupe and act against their clients interest.
Tell your Broker to write you a receipt for all your purchases and send it to you or you go pick it up. Worst case, let him scan and send it as attachment to your E-mail box.
Well, maybe events wouldhave overtaken your position by now.
Cheers.

Guess i missed this one. I don't think it's necessary they give you a paper (by paper, i am guessing you mean certificate). On the other hand, you should have a copy of the form you filled during the PO. The units should be credited directly to your CSCS account (i.e if you filled for it) or if they get the cert. they will send it for verification immediately.
Personally i have not had that experience since i just recently started buying POs thru my broking firm. Anyone with experience can corroborate

[aogundele]

Have a Long-Term View of Your Investments

I very much support Taipans post on having a lomg-term view of your investments. I started investing in the market in 2003 when stocks like RT briscoe were sub N5 but i was always in a hurry to dispose off when a financial need arose. I am looking back at my portfolio then and thinking of how much i might have made if i had still had those stocks. I was given a name then, broke-ass investor, and you definitely don't hurry in and out of this market if you want to make good returns.

[embrozone]

There is being a lot of hyping in the Nigerian stock in the last 5 years). Question is does anyone have any idea of the industrial/sectoral compounded annual growth rate for the Nigerian Stock Market?

It appears the average Nigerian investor is a capital appreciation fortune hunter, without regard for long terrm returns factoring in capital appreciation, dividend yield and value loss due to inflation.Is this because long term returns are 'lousy' and the traditional investor - before the financial stock frenzy' - is a dividend investor who is only interested in buying stocks to secure income for generations?

[billions]

My people, it is important that we immortalize what d bears have tot us in the last 3-4 months so that we/others wld know how best to fight the bears in future.

He that does not learn from d errors of the past is condemned to repeat them!

[olusolakemmy]

Originally Posted by billions

My people, it is important that we immortalize what d bears have tot us in the last 3-4 months so that we/others wld know how best to fight the bears in future.

He that does not learn from d errors of the past is condemned to repeat them!

yeah right!!!

[Abinishio]

Pls keep the talk.
I/We are listning.
For me, money was a lag
coments pls

AB

[billions]

I remember that i bought some IEI at 6.03 naira,then more at about N4.70 and then the rest at N4.15.

Some investors say dis is not advisable in a bear period,that it is throwing good money after bad.By averaging down....i reduced my effective entry price to about N5.

I think averaging down is good but what do u think about dis and other things?

[zainabusman]

Originally Posted by billions

My people, it is important that we immortalize what d bears have tot us in the last 3-4 months so that we/others wld know how best to fight the bears in future.

He that does not learn from d errors of the past is condemned to repeat them!

Read my take here Change Agent

[DaInvestor]

The bears Hmmmm
The good old bears

It has taught me the lesson of my life

1. Always be liquid, i engaged in a lot of capital required ventures early this year so my acc was in red, planned to sell some stocks later in the year to cushion the effect of cos the bears were in town

2. Delayed most of the activities hoping the bear was just coming to visit but alas it was there to stay at least for 4 months, more than just a visit it said.

3. Just 2 weeks ago when i couldnt take it any longer, I decided to sell some of my well not most prized but some pretty good stiocks to solve my problem, but alas again the bear was on its way out, and i realised i didnt need the money as urgently as i thought, leaving me in double jeapardy.

4. but the greatest lesson of all was dat b4 now i was always reluctant in trading online i.e. giving online mandates i'm more of the old school, go to their office, fill the mandate form discuss with them, u know an open relationship so i can always get the gists and stuffs like dat, but the nature of my job requires me to be out of town for weeks at times even months so all i do is study the market online and bite my nails when the bears come to visit, but with this last experience i've told myself never again, i repeat never again, when the bulls arrived i made my first call from out of town to my broker and to my surprise i still got the same treatment like i always do.

5. the golden rule of all as Zainabs Blog says is to always be liquid, have some starsh to await the bear when next it comes visiting so u can both be happy, the bear will be well feed and u would have been a good host. Right now im preparing for the next visist of the bear.

Never again will i be afraid of the bear, i've now come of age just like the spartans do to their sons.

[billions]

Originally Posted by DaInvestor

The bears Hmmmm
The good old bears

It has taught me the lesson of my life

1. Always be liquid, i engaged in a lot of capital required ventures early this year so my acc was in red, planned to sell some stocks later in the year to cushion the effect of cos the bears were in town

2. Delayed most of the activities hoping the bear was just coming to visit but alas it was there to stay at least for 4 months, more than just a visit it said.

3. Just 2 weeks ago when i couldnt take it any longer, I decided to sell some of my well not most prized but some pretty good stiocks to solve my problem, but alas again the bear was on its way out, and i realised i didnt need the money as urgently as i thought, leaving me in double jeapardy.

4. but the greatest lesson of all was dat b4 now i was always reluctant in trading online i.e. giving online mandates i'm more of the old school, go to their office, fill the mandate form discuss with them, u know an open relationship so i can always get the gists and stuffs like dat, but the nature of my job requires me to be out of town for weeks at times even months so all i do is study the market online and bite my nails when the bears come to visit, but with this last experience i've told myself never again, i repeat never again, when the bulls arrived i made my first call from out of town to my broker and to my surprise i still got the same treatment like i always do.

5. the golden rule of all as Zainabs Blog says is to always be liquid, have some starsh to await the bear when next it comes visiting so u can both be happy, the bear will be well feed and u would have been a good host. Right now im preparing for the next visist of the bear.
Never again will i be afraid of the bear, i've now come of age just like the spartans do to their sons.

Thanks for all u wrote.Let us try to see how practicable or impracticable it is to always hold cash in preparation for the bears.

During the bearish period,all that happened to me was ....i buy a good stock,the price falls,i buy more,the price falls again,i buy more again and again.I spent over 7m naira doing this in d last 4 months.So d effect of the bears was not much on my portfolio.

Now, i dont have any money left....if d bears decide to come next week what am i gonna do?I have used all my cash to fight d last bear.

It is difficult to always keep cash just for d sake of fighting a bear that may come next week or may not even come in d next 2 yrs.

Some people will say dat i shd not hv used all d 7m to fight d last bear...that i shd hv kept about 3m in my account in preparation for d next visit of d bear.D fact is if i did not fight d last bear with all d money i could raise,my portfolio wld not be as good as it is now.

I think d idea of always having extra cash in reserve for d bears is good but not sustainable.

Pls further ideas are needed on how to fight d bears with reserved cash.Cheers.

[billions]

Originally Posted by zainabusman

Read my take here Change Agent

Thanks for d site...it is cool.

[DaInvestor]

Originally Posted by billions

Thanks for your all u wrote.Let us try to see how practicable or impracticable it is to always hold cash in preparation for the bears.
During the bearish period,all that happened to me was ....i buy a good stock,the price falls,i buy more,the price falls,i buy more again and again.I spent over 7m naira doing this in d last 4 months.So d effect of the bears was not much on my portfolio.

Now, i dont have any money left....if d bears decide to come next week what am i gonna do?I have used all my cash to fight d last bear.

It is difficult to always keep cash just for d sake of fighting a bear that may come next week or may not even come in d next 2 yrs.

Some people will say dat i shd not hv used all d 7m to fight d last bear...that i shd hv kept about 3m in my account in preparation for d next visit of d bear.D fact is if i did not fight d last bear with all d money i could raise,my portfolio wld not be as good as it is now.

I think d idea of always having extra cash in reserve for d bears is good but not sustainable.

Pls further ideas are needed on how to fight d bears with reserved cash.Cheers.

When i said u need to be liquid, i didnt mean keeping money or reserving money for the bears, all i was trying to say, just like i mentioned just like ZEE have other forms of investment, be it buying and selling, market instruments, BAs just stuffs dat can be liquidated almost immediately to allow u take positions, just like the 7 million u just mentioned,

If i had planned better i would probabaly be in ur shoes now, cos all thru the latter part of last year and this year i have been waiting for GTB to drop so i could take position, the oppourtunity came but i couldnt cos i got my money tied up into all sorts of stuffs and by the time my sales mandate was excuted by my broker on some of the stocks i sold it was a no go area for me, but if i was liquid i would probably be smiling like u.

and believe me u cant always be prepared, u can only control and anticipate for oppourtunities to come, u were lucky enough to take this there is no formula to fully/ totally predict the market if there was then we will all be winners

but then congrats on being a good host to the bear, u wouldnt regret it.

[zainabusman]

Originally Posted by billions

Thanks for your all u wrote.Let us try to see how practicable or impracticable it is to always hold cash in preparation for the bears.

During the bearish period,all that happened to me was ....i buy a good stock,the price falls,i buy more,the price falls again,i buy more again and again.I spent over 7m naira doing this in d last 4 months.So d effect of the bears was not much on my portfolio.

Now, i dont have any money left....if d bears decide to come next week what am i gonna do?I have used all my cash to fight d last bear.

It is difficult to always keep cash just for d sake of fighting a bear that may come next week or may not even come in d next 2 yrs.

Some people will say dat i shd not hv used all d 7m to fight d last bear...that i shd hv kept about 3m in my account in preparation for d next visit of d bear.D fact is if i did not fight d last bear with all d money i could raise,my portfolio wld not be as good as it is now.

I think d idea of always having extra cash in reserve for d bears is good but not sustainable.

Pls further ideas are needed on how to fight d bears with reserved cash.Cheers.

The idea is to have some cash to take advantage of such opportunities just like u did. If the bears continue for such a long time off course ur saved funds might also be exhausted. However, i suspect if the bears also go on for long, u will be getting income from dividends, salary etc which can then be invested in the market. It is therefore a cycle.

I recall reading about this in an interview with Alwalid Bn Talal (one of the richest Saudis and major shareholder in Citigroup). He said he always keeps cash to enable him invest when an excellent opportunity shows up.