Share investing has been made simple and has become a most exciting investment vehicle since the advent of online trading.
There is absolutely no inconvenience and setting up an online account was easy. I chose e-trade for ASX online trading. You can also access other international stock markets plus their current offer of 90 days of free trading for new customers was a real bonus!! E-trade offers all the tools such as graphs, analysis and offers some sound recommendations to get started.
I've chosen the ASX to trade as it gives access to a range of often lucritive mining stocks. The ASX has been an exceptional performer although more volatile compared to the NZX but has a critical mass (sufficient trading volume) to achieve profit margin goals.
Unfortunately NZX trading is not yet supported by e-trade, so I run a parallel NZX portfolio using Direct Broking.
Although you can trade both ASX and NZX using direct broking they don't have all those handy tools accessable on e-trade.
QuikRiches has chosen a portfolio of FIVE stocks for each of the ASX and NZX. Changes are made monthly.
Disclosure: QuikRiches does not benefit from any implied recommendation of
6 August: OIC - Opus International Consultants Limited (NZX) - BUY - Engineering firm which has just announced a net profit of 10.4 million in the 6 months to 30 June, more than double that of the same period a year ago. A dividend of 3.4 cents a share is payable on Sept 30. This is a good result in tough trading environments but what we like about this company is that Alan Isaac is recent additon to the board of this company as a director. Alan Isaac is a well respected and very astute operator, a chartered accountant by occupation having headed KPMG as Chairman of partners for the last 10 years of his 35 year association until 2006. Having numerous board roles and directorships there is nothing Alan touches which doesn't turn into gold. About to be ratified as the International Cricket Council (ICC) Vice President - a role he will undertake for 2 years before becoming ICC President. Alan Isaac has a history of involvement in business recovery and growth which is most encouraging for the future of Opus International Consultants.. Price at Recommendation: $1.70
1 June: TEL - Telecom New Zealand Limited (NZX/ASX) - BUY - Telecom New Zealands share price was battered when problems dogged its new XT mobile network. Compensation packages to customers did little to arrest those exiting their contracts and with negative sentiment about CEO Paul Reynolds huge salary it may have been unwise to send him out to face the public heat. The share bottomed out at a low of $1.78.
But the problems appear to be fixed and Telecom is repositioning itself to split up its core business divisions into independant, stand alone companies. This will satisfy the government allowing Telecom New Zealands direct involvement in the much anticipated Ultra Fast Broadband network to be rolled out New Zealand wide. Gains are here for the taking not only on the share price recovery, but dividends, and should the company be split shareholders are destined to prosper with any holdings in the resulting off shoot companies. Price at Recommendation: NZ$1.83
1 June: SLG - Sealegs (NZX) - BUY - Sealegs - amphibious boatmaker whose patented technology of unique engineering design has the potential to storm overseas markets - customers include both military and enforcement organisations as well as an attraction from leisure craft buyers. This company has progressed from "start-up" phase and attracted a cornerstone investor Avenport who has just increased its shareholding from 20% to 40% realising 6.2 million of working capital for the expansion of Sealegs. Over 500 craft have been exported to over 50 countries and although the investment of Avenport in the company dilutes the holdings of smaller investors, their intentions seem to be growth driven so this should be the beginning of a wave worth riding.
Price at Recommendation $0.20
1 June: GPG - Guinness Peat Group (ASX/NZX) - BUY - presumably through GPG Sir Ron Brierly the corporate raiding King will have his final foray in actively doing what he does best. The promise to deliver value back to shareholders soon the company is hamstrung with trying to offload its biggest asset Coats PLC to realise this value - I hear ringing alarm bells with former Brierly Investments shareholders who remember its cornerstone investment Thistle Hotels which bought about boardroom discontent similar to that just seen between GPG directors Tony Gibbs and Gary Weiss. That aside it is common knowlege that the current share price is significantly below asset backing per share. The proposal to split the company into Australian Holdings and The Rest probably would see immediate paper profits to existing investors - much like the benefits Tower shareholders gained when its Aussie interests were cut away to arms length - an instrumental master stroke by Tony Gibbs not only for GPG but for all Tower shareholders. Tonys' gone but the share price remains steadfastly refusing to go no lower. Its a little bit of a waiting game with GPG but whatever finally happens it can only be up from here.
