Sunday, November 6, 2016

When should i start selling my shares in a company?

I bought G Invacom's share in 2012 at about 16.8cts/share. I bought 214,000 shares at that time. The share price went up all the way to the highest of 57.5cts/share in the early of 2014 (about 2 years from my purchase). If i had sold my shares at one of the peak point say 52cts/share, i would had made about 200% gain or $72k from my $36k capital.

Too bad i did not do that. I only managed to sell about 30% out of my total holding, and the remaining shares went down all the way to about 10cts in the early of 2016.


This is a good lesson learnt for me:


(1) I should have started to sell the shares when the company started to report less profit in 2 consecutive quarters (for quarterly reporting company) or 2 consecutive half years (for semi annual reporting company). G Invacom started to report less profit in their FY2014 result.

(2) I should only be focused on the fundamental of the company, not on my investment return.

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