Zkpilot From New Zealand, joined Mar 2006, 4739 posts, RR: 10 Reply 6, posted (5 years 7 months 2 weeks 4 days 6 hours ago) and read 1937 times:
Woolworths (Woolies.... ASX code WOW) has been outperforming the market for years.... has been increasing profits substantially is on a growth path with acquisitions and has growing market share... Top 10 company in Australia. Market cap about $37bn. I got shares when they were $10 ea now they are over $30 in the space of 4 years plus div payments
Bill142 From Australia, joined Aug 2004, 8320 posts, RR: 9 Reply 9, posted (5 years 7 months 2 weeks 3 days ago) and read 1937 times:
Quoting Zkpilot (Reply 6): Woolworths (Woolies.... ASX code WOW) has been outperforming the market for years.... has been increasing profits substantially is on a growth path with acquisitions and has growing market share... Top 10 company in Australia. Market cap about $37bn. I got shares when they were $10 ea now they are over $30 in the space of 4 years plus div payments Smile
Nice work, but I bought them at 2.45 then sold some at $20. It's a nice little earner isn't it?
Baroque From Australia, joined Apr 2006, 15380 posts, RR: 60 Reply 11, posted (5 years 7 months 2 weeks 2 days 21 hours ago) and read 1937 times:
Quoting QFA380 (Reply 2): Also, have a look around Australian Securities Exchange but the best thing to do is talk to a broker.
Who will most likely give you moderately good advice on what to buy last year.
A good first run for established companies might be to run through the price/earnings ratios.
Presuming you are resident in HK for tax purposes, tax imputation for dividends will not be of much interest to you which may mean that dividends are less relevant to you than to most Aus resident holders. Conversely, you have less (probably none) liability for capital gains.
So Telstra currently has a high dividend and with the tax savings this makes it equivalent of over 8% for Aus residents. However, if Telstra do not win their battle with the regulators, their market share may well fall, in which case you would have capital losses without the some of the benefits of the dividend.
Toast From , joined Dec 1969, posts, RR: Reply 12, posted (5 years 7 months 2 weeks 2 days 20 hours ago) and read 1937 times:
@ Baroque: sorry for not replying to your PM, I'm having a major browser issue preventing me from doing so (see my thread "Certain actions make Firefox crash" in Site Related). I'm working on it. Feel free to SD this post after reading it.
@ the others: sorry, I've no bloody clue about Aussie shares.
Baroque From Australia, joined Apr 2006, 15380 posts, RR: 60 Reply 13, posted (5 years 7 months 2 weeks 2 days 20 hours ago) and read 1937 times:
Quoting Toast (Reply 12): @ the others: sorry, I've no bloody clue about Aussie shares.
Well the Toast tip must be close to the most honest one you will get! We can all be wise after the results. With the ASX at record levels you would have to say stay out, but then the P/E ratios are a tad below long terms averages - but then for that to be useful, long term averages would have to mean something.
Andrej From United Kingdom, joined Jun 2001, 810 posts, RR: 0 Reply 17, posted (5 years 7 months 2 weeks 1 day 15 hours ago) and read 1921 times:
Hey United Airline,
how much do you want to invest? If you have less than AUS$50,000 (some would say 40K or maybe 20K and others more than 50K) then to be honest your best bet would be getting into mutual fund. I am sure that your advisors at HSBC will recommend you one that meets your needs. Be it large-cap value with Australia focus type or growth focus one or any other mutual funds the HSBC and other banks offer.
There are few reasons, for one your transaction costs will not be as big as if you would buy few shares separately. Also the mutual funds are well diversified and therefore will lower your risk exposure to the market. Another benefit is that you do not have to manage your fund. You do not have to relocate shares to stay within your portfolio allocation. (Do you want 100% of the portfolio to be . And finally in stocks only, how about fixed income, or derivatives, commodities or combination of these securities?) Also you do not have to waist your time doing research. Quality research takes time. Trust me, it takes a lots of time. Are you looking at growth company, or value company that will pay you annual dividends? This is also important for your investing strategy. Mutual Funds take its commissions, and it may be anywhere 2-5%. That depends of the fund, your initial investment and other requirements. This will cover their operation fees, brokerage fees and other transaction fees.
However if you still want to buy some shares and have some "play" money than getting into buying and selling stocks can be fun. Although you will still pay transaction fees every time you sell or buy a stock. Sometimes you make money and sometimes you loose your money. I do not know your risk allowance, but if you have AUS$500ust be advised that it is very easy to loose money. Do your research properly as I think that is very important. Remember not every good company is a good buy. (Just because you like it, does not mean that you should buy it.)
And this brings me to my last point, airlines are great companies, but usually they are not the best companies to own. I know people will disagree with me. But the truth is that they are very cyclical companies and timing is very important to own them. (Just look at prices of airlines (US ones) after 9-11 and now). Airlines are also risky, because there are many external factors that influence stock price and sometimes even good airline, may be undervalued yet market will not notice it. Now, if you want to own Qantas go for it.
But as QFA380 and Bill142 suggested, look into mining companies, Rio-Tinto comes to my mind. But to be honest I never looked at the Australian shares, have not done any research on them and I am not following any of the companies.
I hope that you will make the best choice that suites your best needs. Just remember do your research!
PS I would recommend some good books, such as Intelligent Investor by *Benjamin Graham. I great book for everyone to read that is interested into finance and investing. And also, believe it or not, but you should read Letter to the shareholders by Warren Buffet!!! You can find them for free on http://www.berkshirehathaway.com/ (or you may buy the same thing for $25 at Amazon.com!)
now this guys nows thing or two about investing and reading these letters is very informative! You may gain quite some knowledge from the best in the business.
Andrej From United Kingdom, joined Jun 2001, 810 posts, RR: 0 Reply 19, posted (5 years 7 months 2 weeks 1 day 6 hours ago) and read 1911 times:
Quoting United Airline (Reply 18): It's just that I want to buy a small amount of Australian stocks to try out.
If you want to have "play" money that is fine. Just remember that you can make money and loose them easily. I would divide between "play" money, in most cases usually no more than $1000 (I do not know your actual wealth, so this may be low if you net wealth is in millions ) and than to have serious investing pool of money that you should use for real investing.
A brokerage firm will charge commission rate for services its provides to you. Such as when you buy or sell stocks. I do not know how much they will charge you, but usually the rate lowers if you spend more money.
Clearly you've signed up for a product you haven't done the research on. If you're not going to research the product, you're not going to research the investment so you're setting yourself up for failure.
Baroque From Australia, joined Apr 2006, 15380 posts, RR: 60 Reply 21, posted (5 years 7 months 2 weeks 1 day 1 hour ago) and read 1887 times:
Quoting Andrej (Reply 17): But as QFA380 and Bill142 suggested, look into mining companies, Rio-Tinto comes to my mind. But to be honest I never looked at the Australian shares, have not done any research on them and I am not following any of the companies.
The miners as a group are doing very well, but do not forget that the buy on rumour sell on fact often applies. The rumours are that iron ore prices will be up about 50% next year. Even if they are up 50% - and the Chinese will have a bit of resistance there - if that does happen, the iron ore miners (includes both Rio and BHPBilliton) might still sink back a bit. BHP is bringing on a significant amount of new oil in the Gulf of Mexico but then this might still be vulnerable to hurricanes even though the platforms have been redesigned in the light of experience in 2005.
The best investment would be to work out which of the oil or mineral minors is going to make a major find. Answer to that is, not even they know!
To be fair Telstra are not a short term share if you are looking for growth at the moment and are still under quasi Government control, not something that sits well with Telstra or the Government. If you are looking for some short term "income" then you "might" consider them. If you purchase the cheaper T3 (Third Tranch) then you would be obligated to fully purchase the share at a later date if you don't sell before hand, but you will still get the dividend depending on your Nationality and your Domicile and the method in which you purchase them.
Personally Industrial shares in Australia aren't as good as the Miners at the moment and much of the Australian Bourse is propped up by Miners and Banks. Small miners have a lot of risk attached and are propped up at the moment by development in China and India.
It always pays to research well especially if you are going to place a retail purchase in a foreign market.
Regrets: I only flew Concorde Trans Atlantic twice
CupraIbiza From Australia, joined Feb 2007, 831 posts, RR: 7 Reply 23, posted (5 years 7 months 1 week 5 days 21 hours ago) and read 1845 times:
Quoting Andrej (Reply 17): Mutual Funds take its commissions, and it may be anywhere 2-5%.
Stay away from them! They are in it to make money for their shareholders first, investors second! Also the 2-5% MER (management expense ratio) that they charge are a rip off.
A much better option is to invest in a LIC (listed investment company) They are stock market listed companies that only trade in ASX shares and as you are both the shareholder and investor you arent ripped off! A good example is Argo Investments Limited (ASX Code ARG) They have been around since 1946, have paid a dividend every year and instead of 2-5% the effective MER is 0.12%
Everyday is a gift…… but why does it have to be a pair of socks?