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How much do you rely on, or trust these reports when it comes to investing? Are these the underlying factors that guide and shape your decision-making when it comes to investing?
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Gabriel Tham
18 Jan 2020
Tag Team Member at Kenichi Tag Team
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Billy
18 Jan 2020
Development & Acquisitions Manager at Real Estate Private Equity
10%! Best to take it with a pinch of salt. Otherwise if one follows such reports without doing one's DD, one has only himself to blame if the stock goes in the opposite direction.
I once attended a investment fair and there was this investing workshop that was pitching a stock. Till this day, that pitched scarred me for life. Thankfully I didn't follow their recommendations. They longed Singpost at 2.30.
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If you backdate and test their recommendation, most of them do not hit their take profit range. So take them as references but don't get too invested in their report.
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I dont rely much on stock brokerage reports. There is a well known fact that stock borkerages have buy and sell side brokerages. Retail investors always get the sell side brokerage whose aim is to "sell reports" in order to chrun more trading business for the brokerages. They tend to be not so well written brokerage reports just with the aim of churning turnover. In fact, most of the brokerage reports always indicate "buy" and only like 30% of their reserach reports will ever hit the target prices; most never do
To summarise, I put close to zero value in these reports
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By relying on such reports, our mind and self-analysis could be influenced heavily.
I prefer to do ...
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Not much. Most of them are biased and paid to write good reports.
I will just read for background info into the business and company on-goings. Not so much to read about target price or buy calls.