Tuesday, 8 January 2008

Transactions of Own Portfolio

Bought back Jiutian Chemical sold last week at $0.37.

Legg Mason and maybe other fund managers have been selling down furiously last few days. Same old story, their backyard caught fire so need to liquidate some funds to rescue their portfolio.

2 comments:

Anonymous said...

Hi Kit,
I have been tracking Jiutian for a while. I see a couple of problems with the company outlook.

1. DMF seems to be oversupply in China, the price will drop gradually.
2. The largest DMF maker in China, Hualu, slashed the DMF price recently to gain market share
3. Uncertainty about Jiutian's DMF operation and Methanol plant progress.

What is your take on this company>

regards
Alex

Kit said...

Hi Alex,

Your concerns are valid and the market seems to think the same way too.

For me, I just trade some for short term and hold some for long term from my previous profit. I will continue to pick up some whenever I see value emerging.

To each his own, sometimes one needs to think the opposite in order to make money from the market, with a clear strategy and calculated risk of course.

Regards,
Kit