Why We Do What We Do

Investing-disasters that affect individual investors are often preventable through investor education. This is why The Good Investors exists.

I woke up at 6:15am this morning. One of the first few things I saw on the web shook me. Investor Bill Brewster wrote in his Twitter account that his cousin-in-law – a 20 year-old young man in the US – recently committed suicide after he seemed to have racked up huge losses (US$730,000) through the trading of options, which are inherently highly-leveraged financial instruments. 

A young life gone. Just like this. I’ve never met or known Bill and his family before this, but words can’t express how sorry I am to learn about the tragedy.

This painful incident reinforces the belief that Jeremy and myself share on the importance of promoting financial literacy. We started The Good Investors with the simple goal to help people develop sound, lasting investing principles, and avoid the pitfalls. Bill’s cousin-in-law is why we do what we do at The Good Investors. 

In one of my earliest articles for The Good Investors, written in November 2019, I shared an article I wrote for The Motley Fool Singapore in May 2016. The Fool Singapore article contained my simple analysis on the perpetual securities that Hyflux issued in the same month. I warned that the securities were dangerous and risky because Hyflux was highly leveraged and had struggled to produce any cash flow for many years. I wish I did more, because the perpetual securities ended up being oversubscribed while Hyflux is today bankrupt. The 34,000 individual investors who hold Hyflux’s preference shares and/or perpetual securities with a face value of S$900 million are why we do what we do at The Good Investors. 

Whatever that happened to Bill’s cousin-in-law and the 34,000 individual investors are preventable with education. They are not disasters that are destined to occur.  

Jeremy and myself are not running The Good Investors to earn any return. Okay, maybe we do want to ‘earn’ one return. Just one. That people reading our blog can develop sound, lasting investing principles, and avoid the pitfalls. “A candle loses nothing by lighting another candle” is an old Italian proverb. We don’t lose anything by helping light the candle of investing in others – in fact, we gain the world. This is why we do what we do.

R.I.P Alex. 

Disclaimer: The Good Investors is the personal investing blog of two simple guys who are passionate about educating Singaporeans about stock market investing. By using this Site, you specifically agree that none of the information provided constitutes financial, investment, or other professional advice. It is only intended to provide education. Speak with a professional before making important decisions about your money, your professional life, or even your personal life.

6 thoughts on “Why We Do What We Do”

  1. Thank you Ser Jing, Been reading your post since Motley Fool Singapore. Insightful and contributed greatly to my investment education. Appreciate the effort in education. Similar to my line of work, continued education of my juniors is paramount in building a society which when we become older and retired, will require the care of the younger generation.
    Even more applause to you is that there is no declared gain that you are looking for and an aptly declared conflict of interest.
    Quote “A candle loses nothing by lighting another candle” – Ser Jing, TGI, 17062020

    1. Hi CH! Thank you for your kind note. We really appreciate this. And hats off to you for putting the education of the juniors of our society as a priority. Just one thing to clarify: “A candle loses nothing by lighting another candle” is not my quote – it’s an old proverb that we really love =) – Ser Jing

  2. Hi Ser Jing

    Was sad to read about the loss of life over investment losses. No matter how much the monetary loss is , his life is infinitely more valuable.

    I feel bad about sharing this as it’s all in hindsight but since you mentioned Hyflux I need to share this with you. I was holding on to retail bonds of Hyflux ($20k) and after reading a couple of articles by bloggers raising red flags. It really “woke” me up to the high risks. Sorry I couldn’t recall who the few bloggers were but I’m quite sure yours is one of them so thanks so much !!!

    I redeemed it at a very slight loss then ( in fact the dividends I received more than covered ). I only accidentally discovered the huge drop in Hyflux retail bond after a few months. It was quite a shock but was I glad I was not holding on to them !

    Then the whole saga unfolded. I feel very sorry for those who were still holding on especially the older retirees.
    It was a lesson well learnt.

    Grateful for bloggers like you who write objectively with no hidden agendas. Keep up the good work good investors ! 🙂

    1. Hi Jade! Yes, it was really sad news to read about, so heartbreaking… Thank you for sharing your experience with your Hyflux investment. If my article really helped you, then I’m very happy. But if not, I’m still happy that you managed to preserve your capital. I feel really awful for the older retirees who are left holding the bag. I wish I could do more for them – Ser Jing

      1. Hi Ser Jing

        Thanks for reply. I didn’t get notifications that my comment was posted and you replied ! Strange.

        All the best. I heard your webinar with Sam from Endowus. I will drop you separate email on your compounded fund. Maybe I can learn more.

        Wishing you a blessed Sunday
        Elsie

        1. Hi Jade! No thanks needed, I’m always happy to engage our readers. Thank you for your kind words and for watching the webinar. I had such a wonderful time talking to Sam. I look forward to your email. Hope you had a wonderful weekend! – Ser Jing

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