If without 1997 repeat of history, we think the market is oversold.  There is value in the market now.  But I really don’t know how much it will go lower or even a major political shock is on its way.

But we bargain hunted again for great values in the market.  We bought Paramount at RM 1.63 in average, MBSB RM 1.50, Cypark RM 1.55, OCB RM 0.78 and EIG at RM 0.99

We will buy slowly in this marathon of great values.  Honestly, we acknowledged that we have problems both internal and external in the markets.  But averaging investment in great values is always our strategy.  But really slow buying.

We believe FED may have bullet to up rates by 25 basis point.  But that’s going to be for long.  As if USD continue to up.  The country export will cause big problem.  Probably oil price and gold may return its upward trend.  Selling on news and we believe USD is definitely overvalue now.  We will sell USD and buy gold.

We bought MBSB at RM 1.57 and Affin at RM 2.38.  We will continue to buy mildly as we forsee this correction due to both external and internal problems will prolong.

Perhaps all seen Obama tricks by forcing USD devaluation first follow by strong economy growth.   Mote central banks will somehow revenge and currencies devaluation war worsen.

We believe parking money in asset related tools will be best protection.  We don’t know how it goes further but we continue buy cheap at any given time and sell high.

We bought KSL at RM 1.46 and ARREIT at RM 0.855.  We do not plan to invest anything externally due to weak RM exchange rate.  We may buy more AUD if RM strengthen back below RM 2.90 vs AUD 1 level.  We will buy more if there is bargain in the market.

We believe the fair value of RM even in wake of FED interest rate hike still at around RM 3.30 – RM 3.50 against USD.  However, we strongly believe that it is 1MDB and the way of handling it from governemnt to political parties are in disastrous governance stage.  1MDB and the current situation must change in order for RM to rebound if without international change of financial situation.

We like food manufacturing, climate changed related, healthcare related, technology and recently added cosmetics.  Priority will be given to these segment for any consideration in further investment.

As Ringgit continues weaken due to estimated FED rate hike and 1MDB issues.  We pick AUD as the best investment target as of now.  AUD hovering between RM 2.78 to 2.98 for the past few months.  We suggest real estate investment in Australia may be the best option to park you AUD.

We like Kawan Food, Cypark, Alaqar REIT, Apex Healthcare and EIG.  MNRB, MBSB, KSL remained our hold position.  We may buy more if price dip.

The prices of both companies continue to run up given us opportunity for a lucrative profit at the current sentiment.  We continue disposed both counters and nibbling EIG, MQREIT AND MNRB.  We think the recent price pressures on MNRB may link to MH370 debris confirmed.  However, we still like it especially at the price at RM 3.70 below.  

We see the market will be pressured to move downward towards with immediate support at 1660 – 1680. We are not sure who is right and wrong. But after this video leaked, either one of them are not genuine.

We foresee a potential snap election for the nation, UMNO snap poll or even more people who have strongly supporting a potential scandal will be dragged out. Be it Najib is the person as mentioned or a conspiracy to take him out of office. There is no way to turn back.

We suggest not to buy into any 1MDB or related companies during the down time. It is good opportunity but you got to pick those not involved in the show. We maintain our top picks and bargain hunting if there is value emerge.

Beside of praying God please safe Malaysia. I think everyone in every angles must toe their line to help the nation. We can go through it thin and thick but the truth must be revealed for a better nation.

In our point of view, the cash flow problem is already a valid reason for PM Najib to resign. No company will ask a CEO stay that make such situation unless you are the owner itself. 1MDB is an asset of Malaysia not individual.

We continue to sell off Kawan warrant at RM 1.71.  We switched to EIG at RM 1.04 and MNRB at RM 3.80