Wednesday, February 22, 2012

PN17 stock? Should you sell or buy?

PN17 stands for Practice Note 17/2005 and is issued by Bursa Malaysia. In general, PN17 companies normally have some financial difficulties.

A rational investor will look for companies with good business fundamentals to invest in and we believe that most investors know which companies have good fundamentals.

Don’t tend to listen to market rumours and buy into companies with poor fundamentals or are speculative in nature with hope that the stock prices will recover. Cut the losses and never average down the purchase prices on these companies.

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