June 30, 2016

6 Criteria for Selecting Stocks

Dr. Tan Chong Koay's investment philosophy: Be fully invested near the bottom and trimmed near the peak. But should never be fully invested at all times.

Dr. Tan is one of Malaysia's eminent value investor, having managed several award winning funds under his company Pheim Asset Management.

He select stocks based on the following criteria:
1. focused management
2. high earnings growth potential
3. attractive profit margins
4. strong balance sheet with low gearing
5. market leadership in growth industries
6. reasonable valuation

His book Rising Above Financial Storms can be bought from local bookstores.

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