Inspired by the global financial
meltdown, Adam Khoo and his co authors have come up with another
best seller book called “Profit From The Panic”. Their
primary objective of writing this book was with the hope that it
would assist more ordinary people to be more investment savvy. We
cannot deny the fact that the global financial meltdown had
affected every economy in the world. From Wall Street to Main
Street, everyone was affected. However, it is without a doubt that
main street, the ordinary people, are most affected by this
economic downturn. Many have not only lost their retirement nest
but also their homes and jobs. Thus, this trio has come together
in order to produce this insightful book about the global
financial meltdown that is specifically geared towards bringing
awareness to the general masses. In addition, they have also
pledged to donate the royalties from this book to charity in order
to assist the down trodden.
majority of the public not schooled in financial wizardry, the
reasons for the global financial meltdown are baffling. This is
where one of the authors, Ryan Huang did an excellent job in
explaining and outlining the reasons for the global financial
meltdown. The trio of authors who came up with this book comprises
of Adam Khoo, Conrad Alvin Lim and Ryan Huang. Adam Khoo is one of
Singapore top best selling author with seven bestsellers to his
credit. An extremely successful entrepreneur and a peak
performance trainer, he had touched the lives of over 355
thousands people positively over the duration of 15 years as a
on the other hand, is one of the very few successful online
traders based in Singapore. His intimate grasp of technical
analysis and online trading strategies has made him one of the
most sought after online trading master. He was also the co-author
together with Adam Khoo for the number one bestseller in Singapore
for 2007, “Secrets of Millionaire Investors”. A journalist
by profession, Ryan Huang works with Channel NewsAsia. His
coverage of international news allowed him to be very well
informed about the circumstances surrounding the global financial
From The Panic” is not merely a book that seek to enlighten us
about the global financial meltdown. In fact, the book goes deeper
than that. It also explain how instead of just licking one’s wound
as a result of the biggest financial catastrophe since the Great
Depression of the late 1920s, one can actually turn the whole
scenario around. Each chapter of the book lay down the ground work
towards a deeper understanding of how the current downturn in the
economy is actually a blessing in disguise for even the novice
explaining the reasons for the global financial meltdown in
chapter one, chapter two of “Profit from the Panic” explain
in a simple but clear manner how the financial market works. With
case studies based on historical data, the book explains the
intricacies of the financial market in such a manner that even a
lay person will have no difficulties grasping the concepts and
principles behind the inner workings of the financial market. For
example, with the use of the S & P 500 index, the authors managed
to illustrate the point that regardless of the short term
fluctuations in the financial market, in the long run, the
financial market will always be on the uptrend. This illustration
also permitted the authors to introduce the concept of long term
investment strategies into the picture.
three and four, the authors introduce the concept of “Crisis
Sectors” which tie in seamlessly with the notion of long term
investment. A point of interest which the authors highlighted was
that 80% of investors actually lose money due to the fact that
their investment strategies were based on the short term. As they
pointed out in chapter two of their book, the financial market is
prone to unpredictable short term fluctuations and it is only in
the long term that the market will continue to rise. As such, they
keep stressing the importance of investing with a long term
objective. The case for long term investment strategy is even made
stronger with their example of comparing a person’s lifetime
earning with a stock portfolio running across the same duration.
Here in these two chapters, they also introduced the use of
Exchange Traded Fund (ETF) to buy into the market. For many of us,
ETF is a relatively new concept in financial investments.
Nevertheless, the authors were able to convince me about the
benefits of ETF over unit trusts.
chapter five and chapter six discuss about how one can learn to
pick winning stocks amidst the chaos of the financial market. Here
in this section of the book, the authors teach readers how to buy
stocks base on its “Intrinsic Value”. They also illustrated
with examples of how to arrive at the intrinsic value of a stock.
Coupling this concept with a long term investment strategy, their
analysis shows that investors will always be on the winning side.
In retrospect, all the steps are clearly defined by the authors.
Any novice investor will have no difficulty at all in trying to
follow what the authors are trying to share with their readers.
In the ending
chapter of the book, the authors provided a summary of what was
covered inside the book. In addition, they also leave a few
cautionary advices for readers to follow to avoid the mistakes
that most investors made. Financial risk management is also
covered within this chapter. Readers are well advised to pay heed
to what these successful and professionals have to say regarding
the risk management especially in a highly volatile market like
the financial market.
conclusion, the book provides value for its readers and is an
excellent read. The tone is light and even on occasion humorous.
It is not overbearing as with most books on financial investing.
For those thinking of taking control of their financial destiny by
investing in the financial market, then this book is a must read.
The insights offered by the authors will save readers a lot of
grief later on than when one decided to invest blindly.