Using some modifications on Magic Formula of Joel Greenblatt, my thoughts on investment are based on the below 5 yardsticks: 1. Return on equity: at least the return is higher than the prevailing market bank interest rate. 2. Cash flows: company may be making profits but I would set an expectation that at least the cash flows from operating activities should be positive. Alternatively I would be happy that the company has extra monies to distribute dividend or invest and expand its business strategy. 3. Growth: keep an eye on its quality growth where the it's earnings are increasing and compliment the ROE as in point 1. 4. PE ratio: setting price not more than 20 times earnings; a good business does not necessarily measured by a super high PE ratio 5. Dividend yield: as long it is comparable to FD interest rate but have to take note to avoid dividend trap companies Of course, the simplest way is passive investing via etf$标普500指数(.SPX.US)$$道琼斯指数(.DJI.US)$$长期公司债ETF-Vanguard(VCLT.US)$$整体股市指数ETF-Vanguard(VTI.US)$$纳指100ETF-Invesco QQQ Trust(QQQ.US)$which the risks are diversified and they will revised their basket. Good luck in investing 🍀
103872690 : 时刻做好风险管理
Teh shit lah : 是时候减仓了,起到太恐怖了
103385128 : 别害怕,这是台积电
wangcaifan :