Tuesday, September 30, 2014

Who benefit from Hong Kong's success

Initially during the late 40s, Chinese from Shanghai made good money by forming textile factories in Hong Kong. They bought with them their expertise in management, money and skills. They exploited the cheap labor of the desperate refugees escaping from the communists and desperately they wanted to be exploited. Many of these products were exported to the US (to provide cheap stuffs for the poor) and also drove some US factories out-of-business.

After the takeover, Hong Kongese moved the factories to Southern China under Deng's special economical zone policy. Some factory area became ghost town for a short while. From then on, most big money are made in real estate in Hong Kong due to a supply and demand reality.

The Brits made good money by governing HK. The street sweepers in London could get high official jobs in HK, plus many 'loots' were sent to Britain. All the big projects including the then new airport hired British firms to make big money. There is a general misunderstanding why the slave's GDP per capita passed the master as written by the Stanford professor. It is not the colonial governance but the proximity to China.

Americans never made big money in HK except the Hollywood movies initially; it provided vacation destination for the army during the Vietnam War (remember Suzy Wong). However, it is the HK connection (and Taiwan too) to make China the global factory for American companies. Wal-Mart benefit itself, its customers and the Chinese factories. Now, the growing Chinese middle class is making Americans rich and actually had saved some American companies such as GM.

China benefits a lot. However, the status of HK will decrease when Shanghai takes over.

Prostitue, Programmer and Rocket Scientist

Guess who can get a job easier and one can hide all her income too.

My classmate and a good friend works in that division of Boeing. Most likely he will retire from today's Boeing announcement. There are only one or two places in the USA that would hire him. 

A programmer or an accountant is easier to get a decent job than a PhD in space study unless you count elevator operator as a fighter pilot. When NASA is raped (to me and a lot of folks), the dreams of many students on science evaporate too. Are we still encouraging science and maths? It will not if a scientist can get a job paid the same as the minimum wage.

I did not compare the prostitute, our oldest professional profession. It is always in demand, always paid in cash and always giving the best entertainment value. 

Before you select your major, ensure the job is well-paid and plentiful.

Thursday, September 25, 2014

Unemployment IS rising

There are many reasons we will continue the jobless recovery.

1. Many give up looking for jobs and they're not counted.
2. Our median salary is not improving.
3. Outsourcing.
4. Our education cannot compete.
5. Generous welfare.
7. Too much 'help' and regulations for the worker (such as min. wage of 15).
8. High cost of doing businesses (regulations and taxes). 
as illustrated in my book The Art of Investing.

Wednesday, September 24, 2014

New article

 Dear friends and colleagues,
Here is the second article at Seeking Alpha in 10 days. When the market is risky, I do not want to research stocks to buy. If you have one of my books, you can replace the The Mysteries of P/E article with the update one below.
Seeking Alpha article:
The older article is: 
My new book The Art of Investing (Myths + its sequel).
Write a review if you have it or the book Debunk the Myths in Investing.
Tony Pow

P.S. So far, I do not know any reviewers on my books. I did see a lot of other reviews that most likely were written by friends and family members. I wasted money on one book I bought based on 'great' reviews. Your fair reviews, good or bad, would help potential buyers. TP

Monday, September 22, 2014

Believe it or not: I was Shakepear in my last life

For proof, here are my titles of my articles in Seeking Alpha.

1. The Tale of Two Portfolios.

2. Six Signs of a Correction, or known as "To correct, or not correct".

3. Amazing Return, similar to "Outrageous Fortune".

The naive Chinese and their bad public behavior

Chinese tourists are robbed in Paris unproportionally high. If you carry a lot of cash and expensive stuffs, you're the target (I believe you guys are smarter than your look, or obviously not). 

About 1/3 of the line filling orders for the new phone are Asians. That's their class discrimination as they many do not have racial discrimination. Discrimination is a bad but REQUIRED human nature. If everyone is the same, we're communists and do not want to work harder. :)

Bad public behaviors. Please do not talk too loud in the public. Do not cut line as you are in China. Do not pick you nose. When you're in a foreign country,  you represent a nation. This generation of Chinese are the children of the 'Cultural' Revolution who did not go to school. That's why. Remember you do not gain respect by how rich you're, but by what you behave.

My social standing in the USA must be dragged down by these barbarians. Excuse me for being so blunt. I love my countrymen. If we do not learn, we never be a first-class and respected country.

Wednesday, September 17, 2014

The Art of War

The spider depicts how we buy stocks: Time, Find and Score. For the spider, it is Wait, Aim and Bite in the cover of my book The Art of Investing.
Actually its availability from the free clip arts is the sole reason for my choice and the above is makeup. :)
The Art of War
The title of this book was inspired by the above book that was written about 2500 years ago. I was surprised that no one uses the title The Art of Investing.
With some minor interpretation (such as the titles of the officials, the capital names...), Chinese text can be understood even from that long ago. I believe they're craved on bamboo. It has 13 chapters. I believe there were more books from this author and got lost from the long history. This book could be the official recording from the emperor, a usual practice in Chinese history.

Japanese business men use this book and the Romance of Three Kingdoms a lot. The US army adopted this book as the required reading for their officers. I do not think it would be useful in today's warfare except the urban wars that we lose most of the time. Maybe the other side studied harder than us. I will try to see what and how this book is relevant to investing. Initially none except some for day traders.

The story
The emperor asked that author to demonstrate his technique of training an army. He asked the emperor's ladies to learn how to drill. After several laughs, two leaders of the drill were beheaded and then everyone was serious and then he had trained successfully the most beautiful army in world's history.