Username
Password
Forget Password?
  1. Indices
  2. Commodities
  3. Currencies
Straits Times 3,063.74 -46.61 -1.50%
Hang Seng 25,361.16 -818.17 -3.13%
Dow Jones 25,628.90 -623.30 -2.37%
Shanghai Composite 2,862.28 -35.15 -1.21%
Ken Chee: What’s Your Mindset When You Invest?
Aspire, Thought Leaders | 13 April 2015
By: Vance Wong
Articles (74) Profile

“It’s far better to buy a wonderful company at a fair price than a fair company at a wonderful price.” Considered as one of Warren Buffett’s greatest quotes on investing. Basically, this quote tells us that buying a stock is more than just about the price, its about the business as well.

Ken Chee, self-made millionaire and investment trainer certainly subscribes to this line of thought. In fact, one of the major steps in his stock selection process is to understand the underlying business of the stock.

The Business Owner Mindset

In a recent interview with Success Legacy, Ken Chee mentioned about how most investors buy into stocks without proper research. He pointed out that some investors put in even more effort to research on shampoo than stocks.

Ken then introduced the concept of having the mindset of a business owner when buying into a stock, considering the aspects an entrepreneur would when setting up or buying over a business.

Some of the common areas that he highlighted was

  1. outstanding debts,

  2. sustainable revenue and profits,

  3. management capability,

  4. simplicity of the business’s success and

  5. whether the business can be replicated and franchise opportunities.

Spotting Investment Opportunities

Ken Chee’s advice to investment opportunities was to look at daily life’s products to spot great stocks to buy. In particular, he mentioned about the clothes zippers that are widely used by everyone being made by YKK, which is a listed company in Japan.

Ken went on to say that one should look at the products and commodities that everyone buys and uses everyday. He commented that most of us buy and use these products so often and for the longest time but never thought of buying their stocks.

Ken Chee will cover more areas about how anyone can start investing in stocks with adequate knowledge and the right mindset in his Value Growth Workshop on 25 April 2015, Saturday. For more information, click on this link.

With a Communications background, Vance has the passion to write with a purpose - to provide content supported with substantial evidence to vested readers.

Please click here for more information about this author.


Join The Conversation
The Shares Investment editorial team welcomes constructive feedback on our coverage and content. We would also be delighted to answer any questions on the above article. Leave us a comment below, and we'll get back to you shortly!

All Rights Reserved. Pioneers & Leaders (Publishers) Pte Ltd. Best viewed with Mozilla Firefox 3.5 and above.