Recently, I read Uncle CW8888 post about Uncle Chua. Hey! the story sound quite familiar and I did read it somewhere a few years ago. So I dig my bookshelf and finally found the book 'Why I keep losing money in Stock Market'. It was first published in 2005 by a remiser. Wow, almost 10 years ago. The last section of the book has a very motivating real live case study of Uncle Chua. He is a great movitation for all of us.
How about if I tell you that you just need to start building up your retirement stock portfolio when you are retired in the 50s and you will end up a millionaire? No need to do in depth stock analysis, everyday just need to monitor the stock price using daily newspaper and no computer, graphs or fanciful software required.
Finally someone local, a Singaporean did it. He achieved financial freedom and build riches by investing in stocks.
Here's how Uncle Chua did it
1. Buy only and just blue chips eg SPH, Keppel Corp, Sembcorp, SingTel, etc
Copy of the hardcopy statement
2. Buy bit by bit when market is down
3. Live till ripe old age to allow your investment to compound and multiply. He lived up to 85 years old.
4. Stay invested and reinvest all dividends into his portfolio
5. Frugal. Lead a very simple life, he wore simple clothes, slippers and travel by bus. Car is way too expensive in Singapore
Uncle Chua is no longer with us now but his investment portfolio and knowledge has been inherited by his children. Accordingly to the book, his children will still call the remiser to buy blue chips when market is down.
We should all learn from his experience.