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In this latest video series, watch as Spencer answers the top 20 most commonly-asked questions by new traders & investors!

For those just starting out, this will be a big help in avoiding a lot of “beginner pitfalls” which 90% of all traders get stuck at.

 

Here is the full list of Burning Questions:

  1. What is the difference between trading and investing?
  2. Do you believe in the buy-and-hold value investing approach?
  3. What is your long-term investment strategy?
  4. Trading is risky, shouldn’t I just buy stocks with good fundamentals?
  5. What is your trading strategy?
  6. What products should I trade? How many different products should I trade?
  7. What is the difference between TA (technical analysis) and FA (fundamental analysis)?
  8. Do you use fundamentals in your trading?
  9. What technical indicators do you use to trade?
  10. What type of charts do you use to trade, and what timeframe do you use? What is your holding period?
  11. How much capital do I need to start trading?
  12. How can I become more consistent in my trading results?
  13. How can I predict the price of a stock? How do I know when the price will turn and start going up/down?
  14. What is a good % return per year I should aim for? How much returns can I expect from trading?
  15. When should I trade? During the day, or the night? When is the best time to trade?
  16. How do you trade the news? What news should I look at and how can I profit from news?
  17. Is trading safe? Can I end up losing all my capital and more? How do you manage your risk?
  18. If everyone uses the same trading strategies (your strategies), will they stop working?
  19. What is the difference between trading for a fund and trading your own money?
  20. How can I get started on trading and investing? Any good resources?

Click here to download for free: http://bit.ly/2D9j6gk

In collaboration with TradeHero (now Ayondo) & SGX (Singapore Exchange), we have developed a series of 15 animated video tutorials that will make learning fun & easy for all beginners!

I have been tasked as the mastermind behind the content, drawing from my knowledge of the 200+ books I have read and 10,000+ hours of professional market experience as mentioned in the video.

The videos are divided into 5 parts:

Wealth has little to do with your age. Insteadmaturity is the key factor in living successfully and accumulating wealth. I’ve seen 40-somethings and 50-somethings behave like school children, and 20-somethings with nothing in their pockets but with an attitude that would put accomplished men to shame.

The latter are the superstars of tomorrow. But what is the defining difference between these 2 groups of people?

The answer lies in their life principles, and here are 3 essential life principles that are adopted by all the world’s richest and most successful people.

FIRSTLY, IT’S NOT WHAT YOU HAVE IN YOUR POCKET, BUT WHAT ATTITUDE YOU HAVE IN YOUR HEAD.

Attitude makes the difference. I have met employers, bosses, CEOs over the years and one thing I’ve noticed is that many of them do not mind hiring fresh graduates, as long as they want to learn. Many people come straight out of school expecting a $4,000 salary and posh benefits, but the truth is, these jobs no longer exist. Instead, the business world is a harsh hustle and the reality may shock comfort-seekers and fun-loving teenagers.

Money is not the solution to your financial difficulties. It’s your mentality towards wealth and life in general.

aSource: Quotefancy.com

Of course, in capitalism, money speaks. But when you have nothing to your name, it’s your willingness to change and your enthusiasm that attracts the money eventually.

Entrepreneurs are people who create money out of thin air. They see a problem, and find a way to

If someone is hiring a trader, I want to see at least 5 years of dedicated self-study to the subject, outside of the classroom. I want him to be proficient in all asset classes, conversant with financial jargon, and at least know who Yellen and Largade is.

When an aspiring trader tells me that the FOMC rate caused a bull spike and reversal on the yen yesterday despite the announcement being ambiguous, I’m sold.

Rich people have raw passion, and I believe every successful entrepreneur would say the same.

What kind of attitude do you have?

SECONDLY, LEARN TO SERVE INSTEAD OF BEING SERVED.

Many people, young or old, squirm at the idea of having to serve someone more experienced than them. After all, they would say to themselves “I could jolly-well do what my boss is doing. Why is he paid 3 x of my salary?”

“That’s because he’s the boss, silly you.”

This is the truth: your boss did something, and had something that got him there. He paid his dues and did what it takes to get to where he deserves.

 

1Would you ‘wash someone else’s feet’ in order to learn and get where you want eventually?
Source: enemyofdebt.com

And learning to serve is a great way to buy into the shoes of high-rolling elites. Many wealthy people are humble, hardworking, honest, eager to learn, and much much more. When they see the same qualities they once had, you’re in.

Serve your boss. Look out for what the company you are in wants. Help others around meet performance goals. Learn to work for a vision greater than yourself, and don’t beat yourself up for having low pay initially.

When you serve, you grow as a person, you grow in maturity, you expose yourself to different experiences, and you’ll instantly stand out from the crowd.

 

LASTLY, BE FAITHFUL WITH LITTLE, AND YOU’LL BE GIVEN MORE.

I’m surprised by how many people I meet, fresh out of university, who have studied Economics, Finance, Corporate Accounting, Complex Derivatives, and many other subjects, but fail to manage their own income and expenses.

A person who manages his expenses at the age of 18 is impressive. People don’t look only for great results; the person’s habits will show.

I’ve seen youngsters who can pull out spreadsheets detailing their monthly income and expenses for the past 5 years, filed into category, along with savings plans, % completion on their financial goals, and many other cool details. These are the ones that will get ahead.

If you can’t manage $1,000 a month, don’t think that things will get better when you have $4,000 a month. If you are faithful with little, you will be faithful with much.

Have you ever heard of lottery winners striking it rich, and then lose it all because they were bad financial managers?

 

izI ain’t no saint, but Mother Teresa has some great wisdom on this issue.
Source: izquotes.com

 

Budget faithfully, keep to your current level of income, and stick to it. But always seek to grow your level of earning power.

TRUTH BE TOLD, MANY PEOPLE DON’T LIKE TO DO THE ABOVE 3 POINTS.

Sadly, I’ve also met adults in their 40s-50s who have lost hope. When the family comes, the kids come, and the crushing mortgage comes, the cracks will show in their financial discipline. These habits are formed over many years, and the lack of discipline and a humble attitude is to blame.

Keep at your inner-game and you’ll be much closer to your financial goals than you imagine.

Cheers! 🙂

Many people want to attain financial freedom, but most have little to no idea what it takes to get there. In this post, I will be sharing the 10 key financial milestones that everyone should be looking forward to, and it be a good chance for you to see how many you have achieved!

First things first…

Before one goes marching along the road of financial success, he has to get his house in order. Put it another way, he has to have a clean, honest audit of the current state of his financial health.

Also, the road to financial freedom is marked by progress. Overtime, as the person attains more and more milestones, he gets closer to his goal.

Some of these milestones are very critical; they can cause you to lose wealth in the future if they are not dealt with right now. Amassing wealth is great, but another key activity is preservation of wealth, which we are going to discuss in detail.

Here are 10 things that financial milestones that are often missed out in most people’s financial planning:

#1 HAVE A CLEAN CREDIT HISTORY

Paying personal bills on time is a great chore for many. However, the financially-free person has to attain mastery of this.

It’s quite simple really; don’t buy what is beyond you now. I’ve heard of startup founders who slept in basements to save on rent, bunking in with 4 other like-minded nerds who didn’t mind the initial shame for the future glory.

For many of us, truth be told, we are financially far-more secure. Even if we have debts, most middle-class families are able to get by and secure some savings each month.

Easier said than done; don’t spend what you don’t have.

Of course, business loans do not count, because they are much larger than personal loans.

Have you done a thorough audit of your personal debts? Getting a good credit rating is one big green tick on your financial health. Pay all your bills on time, avoid penalty fees, fines, and you can get a higher credit score on the CCRIS.

#2 LEARN THE SKILL OF BUDGETING

Before wealth is massed, one must learn how to manage small amounts of money. If he can be entrusted with little, he will be entrusted with much.

Budgeting is a simple skill, but truth be told, people don’t keep to their budgets. They adjust their budgets like their exercise schedule, their weight-loss plan, their study plan, and whatnot.

Budgeting without keeping to the budget makes budgeting useless.

The ability to keep to your budget is part of the skill of budgeting. No point having a great budgeting plan, but no resolve to get down to it. And you only have yourself to blame is you are unable to abide by your budget.

Parents have to instruct their children in this regard. If budgeting is taught to people when they are young, the attitude remains, and even when the amount of money gets bigger, the discipline keeps the person financially healthy over the long-run.

#3 BE A PROFESSIONAL TIME-INVESTOR

WRONG question to ask: “I have $10,000. What should I invest in?”

Anyone who asks this question is out of his mind. It’s not what you invest in; the correct question to ask should be “What skills should I acquire to become a proficient investor?”

Time is all you need to acquire skills. Many people complain about the lack of solid financially education in schools, but they remain at the complain stage. Being a professional investor of money requires you to first be a professional investor of your own time.

If you spend most of your time watching YouTube, great. If it makes you happy, great. But if that’s not what you want, do something about it.

Even after trading for many years, I make it a point to read good books, and stimulate my thoughts. They can be self-help books, trading-related books, or even fiction. You’ll be surprised how much you can learn from good, beefy fiction books!

#4 BE FINANCIALLY-INDEPENDENT

If you are still living off your parents, it’s ok. It’s nothing to be ashamed of, for all of us start that way. But you have to have a plan to get financially independent, where your livelihood is no longer dependent on who gives you money.

Many young people are truthfully still holding on to the security that their parents will save them if they mess up. That can be true, and no parent would want their child to suffer financial catastrophes. However, we all need to come to a place where we take responsibility for our finances, and keep track of where we are.

#5 ADEQUATE INSURANCE COVERAGE

As a responsible adult, your job is to not just protect yourself financially, but also the lives of those you love. You cannot compromise on insurance, because your life does not revolve around you alone.

Having a solid financial backing when something tragic happens will show your financial responsibility. It demonstrates that you have a clear plan for emergencies and know how to respond.

Investment-linked policies, in my opinion, aren’t really investments. Like I said above, invest your time, not in insurance policies. Take up the necessary protection, and that’s all you need. It gives you a peace of mind. You’ll be surprised by how uninformed most people are about insurance, and this is one key milestone that will set you apart from many others.

#6 HAVE AN ACTIVE PLAN TO KEEP YOURSELF FIT

Many people don’t even consider physical fitness as a key financial milestone. For what use is it to gain all the wealth you want, yet be unable to enjoy it?

Keeping fit is simple, but difficult to do.

Just like budgeting, many people know what to do, but don’t do it. Get yourself in shape if you want your financial health to be in shape.

#7 OWN THE ROOF OVER YOUR HEAD

Although there are stories of young people who’ve made it big, purchased a mansion with the $150 million they got from selling a company, most people don’t have that luxury. 

The majority of young people work their way to owning their first house, before getting anywhere major in life. When it comes to financial freedom, owning the roof over your head is the least you could do, because when an emergency strikes, you won’t be forced on the streets.

#8 MONITOR YOUR ACTIVE AND PASSIVE INCOME

Financial freedom involves having active and passive income. Monitoring them every 3 months or so is a good way to keep yourself up to date with your progress. It also gives a reality check every few months so that you won’t end up skiving.

A simple excel sheet will do the job. It’s just as easy as monitoring your expenses; most simple apps on the Apple Store of Android Store would do fine. It’s the discipline in keeping the routine that needs to be drilled in.

#9 KEEP 6 MONTHS OF EXPENSES IN CASH

Another defensive safety net; if you don’t even have a 6-month warchest, don’t even think about attaining financial freedom. It takes lots of effort and risk to achieve the goals that you want to set out, and the last thing you want to be worried about is whether there is bread on the table or milk in the fridge.

#10 MEET INVESTORS REGULARLY

If you are a pokemon card game fan, you probably spend most of your time around fellow pokemon addicts. That’s fine if you want to be Ash Ketchum, but if you want to be an investor, hang out around real investors.

Go to events, meet like-minded people, network like crazy, and find out what the scene is like. Know what is trending, what is out-dated, what people are interested in, and by spending time with these people, you will be in sync with the world of investments, and this expands your thinking greatly.

For example, when I first heard of options, it blew my mind; you can actually make money when prices do not move. You don’t have to bet on a rise or a fall; you simply collect premium. I won’t go into much detail, but this opened my mind when I was much younger, and kept me hungry to learn and explore.

Many people fall into a comfort zone once they reach their 30s-40s. It’s normal because the trials of life and the painfulness of toil takes a hit on people, but if you really want that fulfilling life you have, you got to step out and behave like you are going to live a fulfilling life.

Here’s a useful quote for those who are just starting out in the investment community:

If you’re 25, behave like you’re 35. Be mature, sensitive, patient, and be kind in your dealings with people.

On the other hand, if you are a seasoned veteran in your are of expertise, here’s a quote for you.

If you’re 55, behave like you’re 35. Be excited, passionate, willing to change, and accept young people for who they are.

In the past, I was criticized for spending too much time on my phone. Guess what? I now spend most of my time on the phone trading and analyzing charts, and I’m not confined to a desk in an office. The things which society didn’t really accept, can actually become mainstream in a very short time.

stonesHave you got these 10 mile-stones laid out?
Image Source: Dimitri.co.uk

WHAT’S YOUR DECISION?

If you’re going to make any headway in the path to financial freedom, it had better start today. Make a plan. Go to your drawing board. Stop complaining about the past, and live a life of possibilities. Don’t know where to start? Look for help. Ask, learn, and seek.

But first, make sure you’ve got these 10 financial milestones set up. Of course, you could forgo a few initially, but to be really stable, you’ve got to build up your foundation very strong.

When the storm comes, would your financial house stand strong?

Here’s to a great month ahead, cheers! 😀

asd

LOW VOLUME MAKES IT CHALLENGING

The volume of stocks traded on the SGX has been falling over the years.

The SGX has been plagued by weak volumes; well-known brands like Tiger Airways, OSIM, and Eu Yan Sang have left the exchange. In one article I read, a stock broker told The Straits Times that “stockbroking is looking like a sunset profession now”.

As for the number of IPOs?

Nov 2016: 1

Aug 2016: 2

Jul 2016: 6

Jun 2016: 1

May 2016: 1

Apr 2016: 1

sgxSince the start of 2016, trading volumes have been lacklustre.
Source: ChannelNewsAsia

Not only has volume been lacklustre; the Singapore Straits Times Index has been hovering sideways for most of 2016. Intra-day trading is an impossibility for many because of the huge amount of funds needed to trade stocks in and out.

SAVE MONEY 7 TIMES BY MOVING TO FOREX TRADING

$ – Save Initial ‘Tuition’ Fees

Trade small, make mistakes with small sums of money.

$$ – Save on commissions

Zero commissions, period.

$$$ – Track your stats and make changes

Use myfxbook to track your statistics, and adjust your strategy accordingly.

$$$$ – Charts are free

Pay nothing for charts, forever.

$$$$$ – Trade only when you are not working

24/7 market allows you to choose to trade only when you are free; won’t have to sacrifice your job.

$$$$$$ – Market volatility known ahead of time

Use the forex calendar to know when your forex pair will encounter volatility; no more rude news shocks.

$$$$$$$ – Accumulate expertise cheaply

No need to wait years or pay market strategists to test if your strategy works; try it out on past charts, execute it ‘live’, and see how it goes.

IT’S CRAZY; I DON’T UNDERSTAND WHY PEOPLE HATE FOREX

Some people quip that the forex market is more difficult to trade than the stock market. I beg to differ, because it is your circle of competence that determines your success, not the actual characteristics of the market.

You get to start with as little as $500.

In the Forex market, you are entitled to ‘get a feel of the game’ by risking a few dollars per trade. Most brokers allow you to trade 0.01 lots, which is $0.10 per pip on average!

The quickest way to rack up trading experience is to make many trades and check out the statistics behind your trades. After all, it’s a numbers’ game: with a properly developed trading edge, your account should have a positive expectation and profits should be the norm over the long-run.

You trade ‘live’ and get skin in the game.

There’s this huge debate about ‘live’ accounts versus demo accounts. Here’s the solution: start with a ‘live’ account right from the beginning. Get yourself into the reality of trading, risking money on a daily basis. Sooner or later you will get used to the risk that is inherent to the game.

By learning to make many decisions and experiencing all the different conditions of the market, you would become seasoned enough to trade a bigger size, and fine-tune your own trading strategy. I like what Tom Sosnoff said about learning to trade: “Trade small, trade often.”

No commission charges!

Forex has no commission charges. This may come as a shocker to the stock trader, but for forex traders it is a constant reality. This reduces the ‘tuition fees’ you need to pay to the market as a result of making trades.

Many new traders make any of the following mistakes:

  • Trading the wrong lot size (1.00 instead of 0.10, causing too big a trade size)
  • Going short instead of long
  • Entering a trade only to realize the market is closed

Yes! These mistakes may sound silly, but every trader who has had skin in the game would understand what I just said.

24/7 market; choose when you want to trade.

The great thing about Forex is that you can decide when to trade based on your schedule. That helps people who have punishing schedules: trading in the middle of the night, or during lunch, on a daily basis, works out to a trading schedule that accommodates your lifestyle needs.

 

THE SIMPLE 3 STEPS TO MITIGATE FOREX TRADING RISKS

Here are three simple steps to mitigate Forex trading risks:

  • Think in Percentages – takes the emotion out of the dollars
  • Find an Edge – only an edge gives you a profit in the long-run
  • Stick to One Style – don’t try to be everything at the start

asdToo many forex traders try to do everything at once. Focus on first becoming profitable; diversifying across trading styles can come later.

If you want to get started on forex trading, what’s stopping you? I’ve shown you 7 ways it can save you money in your trading career.

If not today, then when?

Cheers!

REFERENCES & RESEARCH SOURCES

straitstimes.com/business/companies-markets/sgx-turnover-plunges-27-to-206b-in-august
theindependent.sg/business/the-hollowing-of-the-singapore-stock-exchange-sgx/
channelnewsasia.com/news/business/singapore/sgx-reports-on-year/2406994.html
shareinvestor.com/ipo/index.html