Skip navigation

The KSE: i would say i told you so,……

but i think i’ll wait for the end of the week so i can really gloat!

mwuahahaha!

now i dont pretend to know which way the markets go, and anyone that says they know is full of shit. think about it, theres only two possible answers if you dont consider “it will range trade” an answer.

up

or

down

50/50 split, 50/50 chance of being right or wrong.

so i’ll admit, i flipped a coin,…and i called tails :P.

anyway i never wanted this blog to be about picking market direction or about stock tips. people listen to enough BS on a regular basis, and i certainly wouldnt buy anything cos some guy on a blog suggested it :P.

and despite all the mud being flung at the idiot speculators here, and the accusations of the arab markets being untransparent and the info unreliable, that doesnt explain why people just like them in the US, UK, Japan, etc lose just as much money, as frequently as the investors here.

enron, xerox, long term capital management,….. they all happened under the watchfull eye of the SEC.

lack of market transparency is just an excuse, face it you didnt do your homework did you πŸ˜›

an SEC here will return investor confidence, to a point, then its about waiting for our enron,…. which i’m sure is out there somewhere, this very moment. it may not be in kuwait, but if its in the region it’ll hit everyone just like enron did.

be sure to have some cash on hand cos the pessimism and lack of confidence will push prices to all time lows :D.

having said that,… there are a bunch of really good companies here in kuwait, some of whom have the potential to become truely global players.

ok ok,… if youve finished laughing, allow me to explain.

so theres no industry here and hardly any customer base. lets face it 2.5 million is a little suburb at best compared to some countries.

theres oil, and oil generates money. money generates more money,…. provided its managed by proper management. but hey, good money can pay for good management from expensive wealth managers.

some things you cant skimp on, like good dentists, honest mechanics, freshly baked bread, and if youre a country,… the best assett managers money can buy.

ask switzerland πŸ˜›

they didnt get to chargeing 6 pounds for a beer by making cuckoo clocks and fancy watches.

kuwaits second largest export?

foreign aid.

and the dividends are massive leverage when it comes to doing business.

now before any naive people start huffing and puffing, the japanese have been doing it for decades, the americans had the marshall plan, and everyone inthe world is doing it in iraq now :D.

its how the business of generosity works πŸ˜›


if you look at it that way, certain companies have a virtually bottomless money pit to dip into whenever they feel like it. couple that with islamic financing and we could be seeing the beginings of a truely amazing decade.

if anyones been reading the papers here they’ll know who i’m talkin about in particular, but it applies to the vast majority of the blue chip companies in the MENA region, ………but specifically in the GCC.

at the same time, theres a whole lot of garbage out there also.

and alot of it lies in garbage management, or just plain bad business economics.

and to those i say:

…..even if some dude’s got a second cousin whos got an brother on the board of directors who knows the harris that cleans the office of the sister of the CEO’s deaf monkey,…….

breathe,………..

……..who said they are going to buy, and the company is wicked cool πŸ˜›

do your own homework cos at the end of the day youre the one you have to convince that what youre investing in is worth your money. youre the one whos gotta believe youre own story.



and watch Weeds,…… its taken me an hour to write this cos that keeps distracting me πŸ˜›

Advertisements

2 Comments

  1. BS? Enron? xerox? SEC?
    I will end up googling this!

    But I am starting to understand some of it.

    You better be in Kuwait this summer because you will have to teach me all about this while eating mushroom burgers at Burger King πŸ˜›

  2. haha good to hear youre starting to get some of this. dont worry tho i’ll be doing a series on investing soon. it’ll do me good too, remind me of the basics etc.

    but again not sure when i’ll be here in the summer, or for how long, but i should be back for a while i think. anyway i’ll let you know closer to the summer πŸ˜›

    and i’m flattered that youre spending all this time going thru my archives πŸ˜€


Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: