As someone who is relatively new to investing, I only started dabbling in equities(stocks/shares etc) in mid-January 2014. With a portion of my savings, I bought my first stock, SATS, at a unit price of $3.08. It would have been Singtel but due to my eagerness to enter the market, I just went for whatever that was cheaper. A little regret now, lol.
Anyway, as it was sort of a big deal to me back then to be investing, I remembered looking up on the internet to learn as much as I can about SATS for at least a few months since late-2013. Prior to my research, I was aware that they are the one providing the passenger services at the airport. Upon researching, I discovered that they do so much more than that. I then became much more interested in their business, especially with words about a new terminal at the airport. That would clearly translate into more business for SATS in the future. And with that, I made up my mind. Being a noob, I based my entry price on the 52-week price range. Seeing that $3.08 was "good enough" for me, I made the queue(during my lunch break in school).
Being a newcomer, it was a quite an enriching experience to have my money in stocks and not in the "safety" of the bank. Seeing and feeling what it was like to have the value of my stock dropped a day after the purchase was quite daunting. It then went to stay lower for the next few months. Eventually, I learnt not to bother with the fluctuation of price.
Some time later in May, I realised that SATS was just not the business that I would want to be in at the point of time. I then divested my holdings and channelled the small profit to my investment fund. By pure luck I must say, that I managed to make a profit. It just happened that SATS was trading at a good price when I decided to exit.
As you can see, being invested is very simple. But of course, it requires some effort to determine your fate at it. As a newcomer, it took me months of reading forums, sites, blogs, news before making my purchase. I could have bought a bad business unknowingly if I had not done so.
Anyway, I hope what I had shared would motivate and interest others to pick up investing as well.
Regards
The Frugal Mat
No comments:
Post a Comment