Buffett’s 7 Nuggets of Wisdom at Berkshire Hathaway Meeting

Buffett’s 7 Nuggets of Wisdom at Berkshire Hathaway Meeting:

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CapitaMalls Asia's Q2 earnings up 5.9% at $245.6 million

CapitaMalls Asia's Q2 earnings up 5.9% at $245.6 million:

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Three More Growth Shares Sharing Their Earnings With You | The Motley Fool

Three More Growth Shares Sharing Their Earnings With You | The Motley Fool:

Most investors consider mature, slow-growing companies to be those that pay out a large portion of their earnings as dividends. But that can be a misleading – albeit mostly true – generalisation.

I previously shared three shares that have been growing their earnings per share (EPS) at double-digit growth rates and yet dole out a significant chunk of those earnings to shareholders as dividends.

The beauty of these shares is that investors can benefit from both capital gains – as the shares rise in price along with EPS growth – as well as rising dividends.

Let’s take a look at three shares that have grown their EPS by more than 15% per year for the past five years and yet sport dividend pay-out ratios of more than 40%

1. ARA Asset Management (SGX: D1R) – Price: $1.85; Trailing Price-Earnings (PE) Ratio: 22.5; Trailing Dividend Yield: 2.5%

ARA manages private real estate funds as well as Real Estate Investment Trusts (REITs). Some local REITs under ARA’s care include Suntec REIT (SGX: T82U) and Fortune REIT(SGX: F25U).

Since the company’s debut on the Mainboard Exchange on November 2007, its assets under management (AUM) have doubled from S$11.5b in 2008 to S$22.7b as of March 2013. That has been good news for shareholders as part of ARA’s revenue stream stems from the gross property values of the various REITs and funds it manages, which tends to increase in tandem with AUM.

ARA’s EPS has increased by more than 18.6% annually from 2008 to 2012 while dividends have grown by 10.6% per year. The company does not have a fixed dividend policy, but as part of its capital management policy, the Board of Directors “monitors the level of dividends to ordinary shareholders” in addition to “monitor[ing] the return on capital” of the business.

In any case, ARA’s dividend pay-out ratio has never dipped below 50% over the past five years, as seen in the chart below.

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'Should I commit suicide?': Swatch CEO on falling share price

'Should I commit suicide?': Swatch CEO on falling share price:

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Sony to launch lenses with built-in image sensors, screenless cameras that can be attached to smartphones | ExtremeTech

Sony to launch lenses with built-in image sensors, screenless cameras that can be attached to smartphones | ExtremeTech:

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How Dangerous Is Singapore's Soaring Household Debt?

How Dangerous Is Singapore's Soaring Household Debt?: ""It's definitely a concern, any country that has household debt at a high level will face problems when interest rates go up," said Baig. "While there may not be bankruptcies, there will be a transition that entails some pain.""

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Hedge Funds Bought Gold in Biggest Rally Since 2011: Commodities - Bloomberg

Hedge Funds Bought Gold in Biggest Rally Since 2011: Commodities - Bloomberg:

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After Bernanke Bump, Buy the Dip

After Bernanke Bump, Buy the Dip: ""I think you have to buy the dip that you get out of the market at this point," he said on CNBC's "Fast Money."

"But what Bernanke did last night was important. He came on and he essentially said, 'Look, you guys have misunderstood what I've been trying to communicate to you.

"The tapering is not going to happen as powerfully and as quickly as we believe. We need to separate tapering from tightening. You need to understand that short-term interest rates aren't going up anytime soon.' And I think that's what the market took relief from.""

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Markets Fairly Priced, Equities Only Place to Be: Goldman

Markets Fairly Priced, Equities Only Place to Be: Goldman: ""The market is at a reasonable valuation," he said. "The No. 1 trade remains to sell bonds and to buy stocks because that economic scenario is a story of generally rising long-term rates. That's good for the earnings of many companies. It's basically a reflection of a better economy.""

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Global Markets Sigh in Relief on Bernanke Comments

Global Markets Sigh in Relief on Bernanke Comments: "Dovish comments from U.S. Federal Reserve Chairman Ben Bernanke sparked a sharp rally across financial markets on Thursday, as relief followed weeks of jitters that the central bank could take back some of its hefty monetary stimulus soon."

This had an immediate impact on asset prices that have fallen sharply on Fed tapering fears. Gold prices jumped more than 2 percent to around $1,289, their highest level in more than two weeks and the 10-year Treasury yield fell to around 2.59 percent in Asia from around 2.67 percent in late New York trade – about 17 basis points below a two-year peak hit in the wake of Friday's strong U.S. jobs data.

The U.S. stock futures, meanwhile, point to a firm opening for Wall Street shares, which were closed when Bernanke made his comments.

"I don't see any reason why we would have a bear trend in U.S. stocks if the Fed stays in the game and they've just indicated that they are going to," said Anthony Scaramucci, managing partner at SkyBridge Capital in New York. "I don't see the Fed doing anything to upset this fragile global recovery," he added."Don't get fooled here. The long-end of the bond market [yields] was rising quite substantially. Many Fed members had come out to say that this was an overreaction – we've seen this before, you start believing them and before you know it, they are talking tapering again and you get smashed," David Bloom, global head of currency strategy at HSBC, told CNBC Asia's "Squawk Box."

"They are going to taper, it's just a matter of timing," he added.Dollar Dive

The dollar, one beneficiary of the expectations for an unwinding of Fed monetary stimulus, fell sharply against major currencies in the wake of Bernanke's comments.

The dollar index was down more than 1 percent to 82.96 and more than 2 percent lower from this week's three-year peak. The euro jumped to a three-week high at about $1.32 and the yen strengthened to about 98.35 per dollar, its strongest level in almost two weeks.

Analysts said the dollar's upward trend against major currencies had not changed.

(Read More: In the Race to the Bottom, US Dollar Falls Behind)

"The U.S. economy is improving, the Europeans are still talking about negative interest rates and [Bank of England Governor Mark] Carney was dovish," said HSBC's Bloom, referring to comments last week from the European Central Bank and Bank of England that suggested they would keep rates low for some time.

"The Fed is on the road to rate hikes whether it's in 2015 or not and it's the differential in interest rates between the U.S. and the rest of the world that matters and will power the dollar ahead," he said.

-By CNBC's Dhara Ranasinghe; Follow her on Twitter: 

@DharaCNBC

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Bring It On: Investors Bullish During June Pullback

Bring It On: Investors Bullish During June Pullback: "Investors showed no fear during the June stock market pullback, aggressively buying the dip and getting even more bullish by the end of the month than they were before it started, according to TD Ameritrade data on the largest pool of retail traders.

While many professional managers sold stocks as Ben Bernanke's comments sparked an alarming back up for interest rates, retail investors remained steadfast in their bullishness, seeking out stocks they believed to hold a value opportunity."

"Our clients got the correction they were looking for and increased exposure into the end of the month," said Nicole Sherrod, managing director of TD Ameritrade's Trader Group.

Investors sold high-flying tech stocks such as Baidu,Microsoft, Cisco andHewlett-Packard and scooped up banks like Wells Fargoand Bank of America, as well as automaker Ford, according to Sherrod.

The firm's IMX Index, which uses a proprietary formula to gauge the sentiment of its active clients, rebounded from a 5.02 reading in May to a 5.15 level in June, just below the uber-bullish readings in March and April. Anything above 5 is considered bullish.

(Read More: Retail Investors Uneasy, but Trading in Tesla Explodes: TD)

The S&P 500 dropped almost 6 percent last month from its high recorded in May as the Federal Reserve chairman indicated the central bank may taper its quantitative easing program earlier than expected.Since those comments, the 10-year yield has climbed to 2.75 percent, the highest since August 2011. Investors fear the jump in yields will hit the housing market, along with the easy source of funds companies have used to buy back stock, invest, etc.

Retail's quick buy trigger may be proven right as the S&P 500 has rebounded to within 3 percent from its record high. A stronger-than-expected June jobs report on Friday supported the thesis that the economy is ready to stand on its own without the Fed's crutch. That theory will be put to the test further this month as companies report second-quarter results.TD Ameritrade has 6 million funded accounts from which it pulls this data. Its monthly IMX measure uses a complex formula of those investors which completed at least one trade and weighs more heavily active investors who use leverage. After years of back testing, they officially launched this index and data pool in January.

Some other notable tidbits from this unprecedented look into retail trading activity include a continued interested in buying momentum play Tesla. Investors were also net sellers of gold last month as the metal plunged because of the higher rates and a stronger dollar. Interestingly though, they were net buyers of silver.

—By CNBC's John Melloy. Follow him on Twitter @CNBCMelloy.

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Sony Claims that PS4 Is the Most Powerful Gaming Device Ever Conceived - International Business Times

Sony Claims that PS4 Is the Most Powerful Gaming Device Ever Conceived - International Business Times: "The latest PS4 has been receiving much hype and attention. Following the release of its competitor, Xbox One, all eyes are on Sony (NYSE: SONY) to see what the company will bring on the table. Reports indicate that Sony is trying its hardest to deliver possibly the best gaming console on the market yet."

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Sony Xperia SP Australian Review: Attack Of The Clones | Gizmodo Australia

Sony Xperia SP Australian Review: Attack Of The Clones | Gizmodo Australia:

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Sony back among tech's leading lights | Business Times | BDlive

Sony back among tech's leading lights | Business Times | BDlive: "ONCE upon a time, Sony was Apple. For decades, the Japanese consumer electronics giant was known for its innovation as much as Apple is today.

It commercialised the transistor radio with the TR-63 and popularised the console gaming market with the PlayStation.

It pioneered the compact disc (with Philips) and invented Blu-ray. Heck, it single-handedly created the portable music device market with the Walkman, two decades before Steve Jobs reinvented it for the digital age with Apple’s iPod.

Sony was known for quality, which allowed it to maintain healthy margins. Demand for the company’s products underpinned Japan’s export-led economic boom between the 1960s and 1980s."

Last week, Sony reported its first full-year profit in four years. Net income for 2013 was ¥43bn (about R4.4bn), from a loss of ¥457bn a year ago. Since the beginning of the year, Sony’s share price has almost doubled.

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The Top 17 Investing Quotes of All Time

The Top 17 Investing Quotes of All Time:

1. "An investment in knowledge pays the best interest." - Benjamin Franklin
When it comes to investing, nothing will pay off more than educating yourself. Do the necessary research, study and analysis before making any investment decisions.

2. "Bottoms in the investment world don't end with four-year lows; they end with 10- or 15-year lows." - Jim Rogers
While 10-15 year lows are not common, they do happen. During these down times, don't be shy about going against the trend and investing; you could make a fortune by making a bold move - or lose your shirt. Remember quote #1 and invest in an industry you've researched thoroughly. Then, be prepared to see your investment sink lower before it turns around and starts to pay off.

3. "I will tell you how to become rich. Close the doors. Be fearful when others are greedy. Be greedy when others are fearful." - Warren Buffett
Be prepared to invest in a down market and to "get out" in a soaring market. (For more, read Think Like Warren Buffett.)

4. "The stock market is filled with individuals who know the price of everything, but the value of nothing." - Phillip Fisher
Another testament to the fact that investing without an education and research will ultimately lead to regrettable investment decisions. Research is much more than just listening to popular opinion.

5. "In investing, what is comfortable is rarely profitable." - Robert Arnott
At times, you will have to step out of your comfort zone to realize significant gains. Know the boundaries of your comfort zone and practice stepping out of it in small doses. As much as you need to know the market, you need to know yourself too. Can you handle staying in when everyone else is jumping ship? Or getting out during the biggest rally of the century? There's no room for pride in this kind of self-analysis. The best investment strategy can turn into the worst if you don't have the stomach to see it through.

6. "How many millionaires do you know who have become wealthy by investing in savings accounts? I rest my case." - Robert G. Allen
Though investing in a savings account is a sure bet, your gains will be minimal given the extremely low interest rates. But don't forgo one completely. A savings account is a reliable place for an emergency fund, whereas a market investment is not. (To learn more, see Savings Accounts Not Always The Best Place For Cash Assets.)

7. "Invest in yourself. Your career is the engine of your wealth." - Paul Clitheroe
We all want wealth, but how do we achieve it? It starts with a successful career which relies on your skills and talents. Invest in yourself through school, books, or a quality job where you can acquire a quality skill set. Identify your talents and find a way to turn them into an income-generating vehicle. In doing so, you can truly leverage your career into an "engine of your wealth."

8. "Every once in a while, the market does something so stupid it takes your breath away." - Jim Cramer
There are no sure bets in the world of investing; there is risk in everything. Be prepared for the ups and downs. (To read more on how Cramer makes his pick, see Cramer's 'Mad Money' Recap: Tools of the Trade.)

9. "The individual investor should act consistently as an investor and not as a speculator." - Ben Graham
You are an investor, not someone who can predict the future. Base your decisions on real facts and analysis rather than risky, speculative forecasts.

10. "It's not how much money you make, but how much money you keep, how hard it works for you, and how many generations you keep it for." - Robert Kiyosaki
If you're a millionaire by the time you're 30, but blow it all by age 40, you've gained nothing. Grow and protect your investment portfolio by carefully diversifying it, and you may find yourself funding many generations to come.

11. "Know what you own, and know why you own it." - Peter Lynch
Do your homework before making a decision. And once you've made a decision, make sure to re-evaluate your portfolio on a timely basis. A wise holding today may not be a wise holding in the future.

12. "Financial peace isn't the acquisition of stuff. It's learning to live on less than you make, so you can give money back and have money to invest. You can't win until you do this." - Dave Ramsey
By being modest in your spending, you can ensure you will have enough for retirement and can give back to the community as well.

13. "Investing should be more like watching paint dry or watching grass grow. If you want excitement, take $800 and go to Las Vegas." - Paul Samuelson
If you think investing is gambling, you're doing it wrong. The work involved requires planning and patience. However, the gains you see over time are indeed exciting! (For more reasons to be patient, check out Patience Is A Trader's Virtue.)

14. "I would not pre-pay. I would invest instead and let the investments cover it." - Dave Ramsey
A perfect answer to the question: "Should I pay off my _____(fill in the blank) or invest for retirement?" That said, a credit card balance ringing up 30% can turn into a black hole if not paid off quickly. Basically, pay off debt at high interest rates and keep debt at low ones.

15. "The four most dangerous words in investing are: 'this time it's different.'" - Sir John Templeton
Follow market trends and history. Don't speculate that this particular time will be any different. For example, a major key to investing in a particular stock or bond fund is its performance over five years. Nothing shorter.

16. "Wide diversification is only required when investors do not understand what they are doing." - Warren Buffett
In the beginning, diversification is relevant. Once you've gotten your feet wet and have confidence in your investments, you can adjust your portfolio accordingly and make bigger bets. (For more reason to reduce your diversification, read The Dangers Of Over-Diversifying Your Portfolio.)

17. "You get recessions, you have stock market declines. If you don't understand that's going to happen, then you're not ready, you won't do well in the markets." - Peter Lynch
When hit with recessions or declines, you must stay the course. Economies are cyclical, and the markets have shown that they will recover. Make sure you are a part of those recoveries!

The Bottom Line
The world of investing can be cold and hard. But if you do thorough research and keep your head on straight, your chances of long-term success are good. Refer back to these quotes when you're feeling shaky or are confused about investing. How are they relevant to your experience? Do you have any favorite quotes to add? (To learn more from great investors, read Greatest Investors.)

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China Cash Squeeze Seen Creating Vietnam-Size Credit Hole - Bloomberg

China Cash Squeeze Seen Creating Vietnam-Size Credit Hole - Bloomberg: "“The liquidity crunch has increased downside risks,” said Louis Kuijs, chief China economist at Royal Bank of Scotland Group Plc in Hong Kong, who estimates it will reduce aggregate credit by 1.8 trillion yuan this year. “As long as policy makers cushion the impact through fiscal and exchange-rate measures, the damage to the economy could be quite modest.”"

“Although the country is talking about reform, reform, reform, I think at this point of time probably the country will still focus on growth,” said Jimmy Zhu, an economist at brokerage FXPrimus Ltd. in Singapore. “The credit crunch should have a very short life.” He estimates a 200 billion yuan cut in aggregate financing from the cash squeeze.

Inflation and trade indicators may show pickups for June. The consumer price index probably rose 2.5 percent from a year earlier, according to the median estimate of 31 economists surveyed by Bloomberg News, up from 2.1 percent in May.

Gains in exports may have accelerated to 3.9 percent from a year earlier last month after collapsing to 1 percent in May following a crackdown on fake invoices that inflated January-April data. Imports probably rose 6.2 percent from a year earlier, after a 0.3 percent drop in May.

Export data are “likely to be under continued pressures” as authorities try to stop over-reporting of figures, Goldman Sachs Group Inc. economists including Yu Song in Beijing said in a July 4 report. Gains in imports “will likely face separate pressures from weak domestic demand growth,” they wrote.

To contact Bloomberg News staff for this story: Kevin Hamlin in Beijing atkhamlin@bloomberg.net; Ailing Tan in Singapore at atan193@bloomberg.net

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Sony gets its mojo back | TechCentral

Sony gets its mojo back | TechCentral: "Once upon a time, Sony was Apple. For decades, the Japanese consumer electronics giant was known for its innovation as much as Apple is today. It commercialised the transistor radio with the TR-63 and popularised the console gaming market with the PlayStation.

It pioneered the compact disc (with Philips) and invented Blu-ray. Heck, it singlehandedly created the portable music device market with the Walkman, two decades before Steve Jobs reinvented it for the digital age with Apple’s iPod.

Sony was known for quality, which allowed it to maintain healthy margins. Demand for the company’s products underpinned Japan’s export-led economic boom between the 1960s and 1980s.

But Sony squandered its lead — and markets like digital music players that it should have dominated. Quietly, however, under the leadership of Sony’s new CEO, Kazuo Hirai — he took the reins from Briton Howard Stringer in April 2012 — the company has begun churning out one head-turning product after another. From cellphones to laptops, and from tablets to consoles, Sony appears to have rediscovered its winning formula of old. And sales numbers and forecasts suggest strong recovery in core areas such as televisions, where it has struggled in a cut-throat market, and in smartphones.

Last week, it reported its first full-year profit in four years – and told shareholders it expects further improvements in the current financial year. Net income for 2013 was ¥43bn (R4,4bn), from a loss of ¥457bn (R46,3bn) a year ago. Since the beginning of the year, Sony’s share price has almost doubled.

The first in a string of new products that has begun to pique consumers’ interest again is its new Xperia Z smartphone. The company hasn’t had a smash-hit smartphone product in years — its now-ended alliance with Sweden’s Ericsson never really went anywhere. But the Xperia Z has won rave reviews around the world for its ruggedised, waterproof and super-thin and stylish design. Sony has a long way to go if it’s going to beat Samsung’s momentum with the Galaxy range, but the Xperia Z is right up there and competing with the best in smartphones right now.

Another product that has got people talking is Sony’s incredibly slim and lightweight Xperia Z tablet. Some reviewers say it’s the first Android-powered tablet that poses a real threat to Apple’s dominance with the iPad. It certainly runs rings around most of the non-Apple competition.

And the hits keep on coming. In notebooks, where Sony has long had a reputation for building lightweight and ultraportable machines, it has outdone itself with its new Vaio laptops: the Duo and Pro models, which come in 11-inch and 13-inch models.

For years now, anyone looking for an ultraportable computer would have been hard pressed not to give serious consideration to the MacBook Air over just about anything else. PC manufacturers have struggled to develop compelling Windows-based alternatives to the Apple line-up. That’s finally starting to change, and Sony is leading the charge with its new Vaios.

Of course, the company faces a number of very strong competitors in all of the markets in which it competes: Samsung in television, Apple and Samsung in smartphones, and Microsoft in gaming consoles. Although Sony won a crucial PR battle with Microsoft recently when both companies announced their next-generation gaming consoles — the PlayStation 4 and the Xbox One — it’s far from clear who will win the war in the long term. The two raced each other to a dead heat in the current console generation.

After just 15 months at the helm, it appears Sony’s new boss has found the key to the technology wizardry that made the company such a formidable competitor in consumer electronics for so many years. Sony, it seems, has rediscovered its mojo. Hip hip Hirai.

• Duncan McLeod is editor of TechCentral. Engage with him on Twitter
• This column was first published in the Sunday Times

Business magazines have featured countless cover stories on what went wrong. Management tomes have been written on the subject.

For years now, Sony has reported brutal financial losses as it failed to come up with compelling new products. (A strong yen compounded the situation.)"

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Toshiba's Permanent Magnet Synchronous Motor Selected for Singapore Train's Drive Systems - WSJ.com

Toshiba's Permanent Magnet Synchronous Motor Selected for Singapore Train's Drive Systems - WSJ.com:

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SMRT a partner in Jakarta monorail project

SMRT a partner in Jakarta monorail project: "Indonesia's capital is reviving plans for a monorail to help ease traffic and has made SMRT, Singapore's main MRT operator, one of its partners for the project.

PT Jakarta Monorail, which was awarded the 8 trillion rupiah (S$1.04 billion) contract last week, yesterday signed a partnership agreement at Jakarta's City Hall with SMRT and six other companies.

"A project like Singapore's MRT is our shared dream, in particular that of governor Joko Widodo," Jakarta Monorail director, Ms Sukmawaty Syukur, said at the signing ceremony.

Mr Widodo visited Singapore three months ago and met officials to learn about the country's experiences in public transport planning and management. Yesterday, he told reporters: "This collaboration represents the aspirations of our people to see Jakarta become like major world cities.""

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BIZ BRIEF: Toshiba to supply new drive systems for Singapore trains - AJW by The Asahi Shimbun

BIZ BRIEF: Toshiba to supply new drive systems for Singapore trains - AJW by The Asahi Shimbun:

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Stalled train causes disruption to Bukit Panjang LRT services - Channel NewsAsia

Stalled train causes disruption to Bukit Panjang LRT services - Channel NewsAsia:

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Sony Xperia ZL: An unlocked 5-in. gem in a diverse Android smartphone market | Computerworld Blogs

Sony Xperia ZL: An unlocked 5-in. gem in a diverse Android smartphone market | Computerworld Blogs: "In summary, my experience with the Sony Xperia ZL left me feeling that this old-line electronics manufacturer really can compete with quality smartphones in a intense and crowded market.  It will not only take unique Sony technology of the kind it learned with Bravia, but a willingness to be savvy with diversity in its models and marketing that recognizes there will be unlocked buyers and carriers that still want an exclusive.

Sony seems willing to do what it takes to compete, not only against Samsung, but Apple and others"

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Toshiba's Permanent Magnet Synchronous Motor Selected for Singapore Train's Drive Systems - WSJ.com

Toshiba's Permanent Magnet Synchronous Motor Selected for Singapore Train's Drive Systems - WSJ.com:

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