BlastInvest.com!   
by Henry Lu,   Known as  "Blast Investor" among online Chinese American communities.

How I beat market

Presentatio summary of Blast Investor Investment Method  at Chinese Stock Club Meeting, New York City, Oct 2003



My investment method is long term investment of both Growth and Value stocks.
 

Focused Portfolio

I typically only buy & hold 5-15 stocks.
 

Value stocks as core holding

Value investing is inherently safer. This is because value such as book value, PE support stock price in business sense. Value stocks perform even better in bear market.  Great investors such as Warren Buffett, Benjamin Graham, Peter Lynch are all  value-oriented investors.
 

Growth stock with reasonable price

Growth stock tends to perform very hot in bull or benign environment
when the valuation is reasonable or the growth has not been recognized by general market.  Growth stock is inherently risky and requires some market timing skills to make money. The downside of growth stocks is that growth stock will cost investors big money when the momentum is gone or earning growth slows down.

Value+growth : balanced approach

One way to approach both style to achieve better result is to
allocate portions of money into both growth and value stocks by
assessing market risk. If market is bull and valuation is reasonable, buy
growth stocks + value stocks. If bear or valuation is crazy, reduce
growth stocks or no growth stocks, only value stocks.
 

Minimum criteria of my pick

(1) No penny stock. exception is those asset play.
(2) No Non-USA stock usually. Exception is those China stocks that I can understand.
(3) No money losing stock. Must be profitable. Exception is those
asset play.
(4) Must have Quarterly earning report. XING does not qualify.
(5) Management integrity.
 

Profit target for different stocks

Profit target for growth stocks is higher than value stock because for same
profit potential, I will only favor value stocks or big cap safer stocks.

Blast_Investor
Oct 2003