Asia Value Investor

Outstanding shares is used to calculate many metrics, including market capitalization and earnings per share (EPS). A corporation’s market capitalization is figured by multiplying its outstanding shares by the market price of one share.

Shares that is held by the public and can be freely bought and sold by public investors are called the float, and this value changes depending on if the company wishes to repurchase shares from the market or sell out more of its authorized shares within its treasury.

Outstanding shares refer to the number of stocks that a company actually has issued.
Stock currently held by investors, including restricted shares owned by the company’s officers and insiders, as well as those held by the public. This number represents all the shares that can be bought and sold by the public as well as all the restricted shares that require special permission before being transacted. They have voting rights and represent ownership in the corporation by the person or institution that holds the shares.
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A stock or share is not a symbol on a computer screen or newspaper. Stock is ownership in a company. This means that a private company decided to allow the public to be part owners of the firm and sold shares of ownership through a stock offering. If a company has one million shares of outstanding stock, then owning one share means that you own one-millionth of that company. When you buy a stock, you are paying for a small percentage of everything that the company owns, buildings, chairs, computers, etc. Also in this case, you will own a slice of every dollar of profit generated in the business.

Being a shareholder of a public company does not mean you have a say in the operation of company. Each stock you own has a little bit of voting power, so the more stocks you have, the more decision making power you have. Any person or institution that owns over a majority of the stock is called the “controlling shareholder”. Essentially, this person can do anything they want in a company - right down to firing the CEO.
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Warrent Buffett is the person I admire and respect. Not only he is my learning model in investment, but also my learning model for charity work. He donated billions of dollars to the charity so far!

In case you never heard about Warrent Buffett, following is an article that is related to this richest man in the world. Hope that you enjoy it!

Learning From Warren Buffet

Investing in stock and shares is no more a game of gambling as it was considered some time ago. Instead it is a game of taking mathematically calculated and correct moves to grow rich beyond one’s dreams.

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It is extremely difficult to time the market.

Any financial market in the world experiences both bad and good times. Never expect the market will go up forever and go down forever. It is impossible. Never believe in predictions

Instead of spending the time to predict when the bottom of the market will take place and investing a lump sum of money at one time, it is recommended to invest a constant amount of money periodically. The risk of timing the market incorrectly could be greatly reduced in this strategy - it lessens the risk of you investing a large amount of money into the market at the wrong time.

Regardless of economic conditions, using this strategy, an investor is prevented from making massive losses with large amount of money at one go in a volatile environment should the market turn against them. Of course, an investor will also not going to make a big profit in this case.
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Many people have lost much of their hard earned money in this financial crisis.

More and more people are looking for tips and guidance in overcoming the current financial crisis. Many are searching for information on the timing of the end of this bear market and figure out what to do with their money. The true is nobody know the answer.

Is it the time to sell right now, or should we stay invested? Nobody know. However, cashing out right now means missing out on rebound. In current situation many fundamentally strong stocks are selling at bargain-basement prices and are undervalued and cheap!
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Once I asked one of my friends what is his purpose for achieving financial freedom. He told me that he want to have the option for retirement.

That is it!

Like many of my friends, I like the job I am working now. I like the colleagues and friends in my company. Even though one day I may be financial free, but I doubt if I will quit my job immediately
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Unless you haven’t been paying attention, you already know that China has one of the fastest growing economies in the world. Money is pouring into the country at an unbelievable rate. Want to know how your portfolio can benefit from the growth? Read on…

The easiest way to gain exposure to the boom going on in the far east is through a China ETF. In case your not familiar with the ETF investment vehicle, here’s the skinny. ETFs are internally diversified, like a mutual fund. But, unlike a mutual fund, and ETF can be traded intra-day (like a stock). And ETFs cost far less than typical mutual funds.

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This is an attractive ETF which provides access to some of China’s largest and stable companies. It seeks investment results that correspond generally to the price and yield performance of the iShare FTSE/Xinhua China 25 Index (FXI).

All of the securities in the Index are trade on the Hong Kong Stock Exchange. Based on the fund’s website today, there are a total of 26 companies in this ETF:
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There are people who invest only based on fundamental analysis. On the other hand, there are people who trade solely based on technical analysis. Both methods have their pros and cons. However, it is highly recommended to utilize both methods in your investment portfolio construction.

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