Thread: Passive income in thailand

Oh, Passive income in Thailand, now I get it. I thought it was about starfish.

Originally Posted by draco888

Are real returns more likely from property than any other form of investment? I doubt it. I suspect most 'real' returns investors see from property are due to inflation, helped by progressively lower interest rates, ignoring the time and expenses upkeeping the property, taxes etc etc.....Yes property has provided positive real returns in the past, but probably not as much as people like to think. A look at all the property in the US in negative equity/under water would suggest a lot of investors are probably having to rethink their previous assumptions about property. Remove the billions in Govt support for the property market and the disaster would be how much worse?

real returns in terms of "real" income received on investment. Don't disagree with the rest of your analysis, Real Estate is a poor return asset class over the long run, marked by speculative boom and burst cycle, like commodities. But for the clueless individual investor, it's their only viable option. That or CDs paying 1% per year.

Originally Posted by Butterfly

Originally Posted by draco888

I was referring to the ready-made thai high dividend ETF

PTT 31.8%
Siam Cement 14.5%
Bangkok Bank 12.4%
Charoen Pokphand Foods 10.5%

yeah if you do it yourself then obviously can pick and choose.

which one would that be ? the ETF from Asset One / KGI that is tracking the whole SETHD index ?

Found this:

Thai Bourse Lists ThaiDEX SET High Dividend ETF On August 16

1DIV New ETF tracking High Dividend Index, 1st Trade 16 Aug

other SET relayed ETFs here:

The Stock Exchange of Thailand - Products & Services - ETF

thats the 1DIV breakdown.

there is an easy strategy to follow actually,

cap weighted indexes have been found to lag equal weighted indexes, because of the rebalancing effect (aka value effect, or even market timing effect)

Taking the SETHD index and doing a monthly or quarterly rebalancing based on Equal Weighted allocation could proved to be a successful strategy in the long run, beating that SETHD index without doing much work

Originally Posted by Butterfly

there is an easy strategy to follow actually

Sure, there always is

Why did you deny working for Societe Generale? I think I said somewhere you are intelligent. But a bastard.

I challenge you to explain bollinger band and ichimoku cloud to the "idiots" as you put it. Could add elliot wave but don't want to lead you to suicide, you are good entertainment. And I do not want death to anyone in here.

Originally Posted by draco888

I suspect most 'real' returns investors see from property are due to inflation, helped by progressively lower interest rates, ignoring the time and expenses upkeeping the property, taxes etc etc.....Yes property has provided positive real returns in the past, but probably not as much as people like to think.

That is something I might agree to.

Originally Posted by Butterfly

there is an easy strategy to follow actually,

cap weighted indexes have been found to lag equal weighted indexes, because of the rebalancing effect (aka value effect, or even market timing effect)

Taking the SETHD index and doing a monthly or quarterly rebalancing based on Equal Weighted allocation could proved to be a successful strategy in the long run, beating that SETHD index without doing much work

Another strategy may be to average into positions if the market dips when the next member of the royal family prepares for the throne.

Originally Posted by draco888

Another strategy may be to average into positions if the market dips

not always a good strategy if a market is going to crash long and hard, you unnecessarily increase your THB exposure and consequently your VaR

Originally Posted by draco888

when the next member of the royal family prepares for the throne.

I think we can expect the SET market to be "suspended" for a few weeks when that happens

Originally Posted by Butterfly

Originally Posted by draco888

Another strategy may be to average into positions if the market dips

not always a good strategy if a market is going to crash long and hard, you unnecessarily increase your THB exposure and consequently your VaR

surely a better strategy than being all in all along, mathematically THB is the same and risk lower.

Originally Posted by Butterfly

Originally Posted by draco888

when the next member of the royal family prepares for the throne.

I think we can expect the SET market to be "suspended" for a few weeks when that happens

As long as a few weeks you think? Interesting and a little disturbing.

a bit disturbing but something dramatic will happen for sure,

that or all the brokerage accounts frozen to stop everyone from leaving

it would have to be SET otherwise the offshore accounts would be at a big advantage?

I said weeks, but could be months

regardless, a big crash first, something like 20% or 40% and then some kind of suspension of all financial activities

Very much enjoyed these posts and appreciate the efforts of contributors.

It is my hope this thread can find a permanent home among the forums of this most-commendable website. Nostromo? Draco?

Kind regards

Anything over 25% drop would make an attractive entry point I think, then time to pick up those companies with exposure to Burma.....

Originally Posted by superman

Originally Posted by draco888

What do you mean by 'E gold' exactly?

You don't actually see the gold. It's in paper form. If gold goes up or down the price of your E-gold is affected in the same manner. I believe you can cash your E-gold in at anytime. Other than that I'm hoping someone will fill me in.

There are gold ETF's available from different providers, it's a topic which provokes a lot of debate re the physical gold backing, leasing, derivatives etc but a few try to differentiate themselves by promoting physical backing in secure locations, no leasing out and offer the opportunity to redeem in physical gold.

Originally Posted by Butterfly

I said weeks, but could be months

regardless, a big crash first, something like 20% or 40% and then some kind of suspension of all financial activities

Interesting. You saying that. Can we make a bet? Expresso at Paragon? I will give you a tip though, chart out movement of THB against major currencies. Of course we will not know beforehand what happens, but I am afraid you are lead by your anti-Thai feelings instead of watching the markets- yes, it happens, but trader should distance himself from his feelings when taking positions - yeah unless he is in for the kill and knows it and is right - not so simple world, and as you said, simple strategy... everyone knows the simple strategy- why it fails.

Originally Posted by Thaiedward

Very much enjoyed these posts and appreciate the efforts of contributors.

It is my hope this thread can find a permanent home among the forums of this most-commendable website. Nostromo? Draco?

Kind regards

Sadly my holidays are about to end now and so ends my time available for this, but thanks for feedback and thinking about it - next time, whenever, wherever it might be How about you doing it?

Kind regards, have a good life and return on your investments.

ETF's by construction do not trade at a premium or discount to the underlying, E gold certificates I have no knowledge of. Standard transaction and delivery costs for insured precious metals.

Cost of redeeming ETF is standard equity brokerage commission and redemption is instant. Again no idea with E-gold certificates.

Originally Posted by draco888

ETF's by construction do not trade at a premium or discount to the underlying,

Have seen some bond ETF trading at a small premium

BSJE - Guggenheim BulletShares 2014 High Yield Corporate Bond ETF - Guggenheim Funds Distributors, LLC

BTW these are good if you don't fancy loosing your principal

Originally Posted by Lorenzo

Originally Posted by draco888

ETF's by construction do not trade at a premium or discount to the underlying,

Have seen some bond ETF trading at a small premium

BSJE - Guggenheim BulletShares 2014 High Yield Corporate Bond ETF - Guggenheim Funds Distributors, LLC

BTW these are good if you don't fancy loosing your principal

Other than fractions of a % point for the Market makers spread I don't see how it's possible for the price to deviate from the underlying NAV for more than a few micro seconds. What order of magnitude have you observed this premium reach?