The last part is here: The Generations Game - Worked Example
I would like to extend my theory: The total length of Man is Constant.
Many of the parents always like to advise their children to study hard and get a desk job and make huge money and live happily ever after.
There is nothing wrong with the above statement. It just sounded wrong with my theory. I therefore would like to restate my theory:
The total length of Man is ABSOLUTELY CONSTANT.
A current example:
This 25yo mudlander guy went to USA and jumped aeroplane. He hid in all kind of corners and worked like a scavenger. Deep down inside him, he knew he was nobody. But, he worked hard. He worked in all kind of conditions. The best part is that he got a chance to even get married. he had kids and he then worked as a chinese cook (well, that's all one can try their luck in anyway, to stay in the kitchen and stay unseen). He cooked and he cooked. He then started his own restaurant business years later and now in his 70s. He had spent 50 fucking years doing that same thing. His restaurant is one of the best in the city. He exploited his chineseman workers. He is damn rich now. His last wish before he extinguishes is to return to mudland and die. With his restaurant and bungalows, he is by no means poor. He will do well in mudland after 50 fucking years. He only visited his mudland twice in his lifetime. That's how hard he has worked. He intended to liquidate all his current assets and return home to mudland as a hero. His kids were all married and have kiddos too. If they so choose, they may return to mudland with him. With their great overseas education to boot, they will do fine in mudland too. This is how foresightful this bloke was. He had sponsored all his kids to the best education one can hope to get in white land (The Ivy League).
The pinoys are no different. The pinoys are also very intelligent. They do shit jobs in foreign countries but they earn big time in local terms. They too will return to pinoyland richly retired. This again tells a great intelligence in man. They do jobs like nurses cleaning asses in white land that make 3 times what a McDonald store manager will make running the burger store.
By having a super degree from super varsities is no better than to work thyself in shit holes. Both are equally if not more rewarding than all these white collared jobs.
Therefore, tengri is fair. He gave every one an equal opportunity. The problem is whether one is willing to do that shit for 50 straight years.
For all those kiddos out there, if one can't do good shit. It is A-OK. One can still try to do bad shit for 50 years. One would come out A-OK too.
Therefore, if one has kiddos. Please don't chide them if they screw up in their academic studies. They will do OK in good soil.
Finally, my riddle for you:
How then do you play that fuckened Little Island Game? You may make some money in white land, but your hard work cannot be rewarded by re-investing that small sums of money in that fuckened little island. LOL ... Nice Nice Riddle ...
That fuckened little island had converted every thing tangible to rentals. That's how beautiful the riddle is. Solve this riddle, I can assure you that you would be ahead in your generations game. Meantime, do chill and find that fucking way out ... It is never too late ...
I wish every one a happy mid-autumn day. May all true love be rewarded with equally true love. May all fakies be rewarded with equally great fakies.
Showing posts with label business. Show all posts
Showing posts with label business. Show all posts
Saturday, 13 September 2014
Sunday, 20 July 2014
b.Before You Gear, Watch Your Waist-Line
The last part is here: The Best of Both Worlds (Loan)
The bank is basically a bitch. It is never a friend.
Some suggested that if I become too big to fail, the bank will be my friend. There is no such thing. The bank is run by human staff and human staff are prone to corrupt, i.e., these staff will bankrupt you officially, raid and take away your properties and hard-earned cash and then tell all their relatives to bid for the cheap properties to be auctioned coming online. This is how these human bank staff cheat. Don't blame them, they are just good at their job. There is no need to build a good relationship with them. When the time is ripe, they will turn asshole bandits. They will line their pockets with your ills. No amount of good relationship will avoid that raid.
How then to avoid an asshole bandit raid?
Property investment remains the best way out of poverty. It is very easy to get real rich very fast, but the converse is also true. It can made poor a guy real fast too. So if you need to gear, play it real safe. Buy properties at only 5-15% of your cash flow. Time-line your property investment, i.e., don't buy all at one shot. Buy one at a time and let the new one settles down before moving again.
The property price is running away ... This is only true in a bull run. So stay the fuck-out. Otherwise, you can mostly take your time.
While you are it, use some of the rental yield to fund your luxury. It doesn't hurt to enjoy a little more.
Fly MH now. It is so cheap.
The bank is basically a bitch. It is never a friend.
Some suggested that if I become too big to fail, the bank will be my friend. There is no such thing. The bank is run by human staff and human staff are prone to corrupt, i.e., these staff will bankrupt you officially, raid and take away your properties and hard-earned cash and then tell all their relatives to bid for the cheap properties to be auctioned coming online. This is how these human bank staff cheat. Don't blame them, they are just good at their job. There is no need to build a good relationship with them. When the time is ripe, they will turn asshole bandits. They will line their pockets with your ills. No amount of good relationship will avoid that raid.
How then to avoid an asshole bandit raid?
- Property Price: This is the number one killer. So buy property that has a true rental value and rate it. If the rental goes down, what could happen? Can you still lower the rental till it click "rentable" again? With this in mind, never buy a property during a bull market, no matter how tempting.
- Rental Return: This is a must if you are into rental yield. The only time you don't talk about rental yield is your own house, but even then, you are talking about the possibility of renting your basement apartment away at all times. The rental yield should cover 150% of the instalment. Tall order? You bet. There must be a buffer in the event you need to lower the rental to rent the property out.
- Commercial? Never get involved with commercial property. Commercial properties are not only expensive to collect. They are prone to not having a rental for a long time during a down time. Never be tempted even if the rental yield is 20%. Residential is still the safest.
- Land: There shall be no gearing when buying land. Lands are hard to rent. But they give the best pleasures.
- Paying Instalment On-Time: Never miss a single instalment. Don't give the bank an excuse to close on you. It helps but asshole bandits are the bad ones, not the banking system.
- Refinancing: Never refinance your loan. You may transfer it from bank to bank, but never increase the gearing just because your property has risen in value. Let the property rise in value. So even if there is a recall by the bank. The bank will usually starts with the property that is out-of-money rather than in-the-money. They can't recall a loan that is in-the-money all the time, i.e., no matter how bad the market is, your property is still worth more than the bank loan. That way, the asshole bandits would not be able to raid it as you have an easy time servicing the instalment, due to the low gearing. In the event, your property is raided, don't despair, you are still positive. You are allowed to restart with zero to no risk. Asshole bandits hate these group of property owners. They are so blameless and pay instalment on time. They have no good opportunity with them.
- Buy Only On the Down Cycle: This is surest way to protect yourself against the asshole bandits. They were willing to lend you because they need your loan as their key-performance-indicator. So win-win.
- In the Event of a Raid: Sell off the worst performers first. Try your best not to sell off your better performers. Don't do it the other way round. It is going to be tempting.
Property investment remains the best way out of poverty. It is very easy to get real rich very fast, but the converse is also true. It can made poor a guy real fast too. So if you need to gear, play it real safe. Buy properties at only 5-15% of your cash flow. Time-line your property investment, i.e., don't buy all at one shot. Buy one at a time and let the new one settles down before moving again.
The property price is running away ... This is only true in a bull run. So stay the fuck-out. Otherwise, you can mostly take your time.
While you are it, use some of the rental yield to fund your luxury. It doesn't hurt to enjoy a little more.
Fly MH now. It is so cheap.
b.The Best of Both Worlds (Loan)
The last part is here: xox - Fuck-You-Up Loans
Sometime back I have always suggested no bank loans.
But with the cute and long depression underway, we are living in interesting times.
With the deep, deep, deep depression, property prices are very, very, very low. They are going down every now and then. In fact, one must learn to understand the psychic of the banks. Banks are now at very low confidence about the economy. They are not lending in big ways. Hence, if you have a solid job or strong cash flow, the banks will love you deep deep. But, they are still not lending.
There must therefore be a balance here.
Step 1: Firm up your cash flow, say $200 per month. The bank only likes to lend only at $66 the amount (1/3). Further half that to just 15% of your monthly cash flow, i.e., $30 of $200.
Step 2: Approach a bank and based on your $30 cash flow, find out how much you can afford to borrow from the bank, say $X.
Step 3: Locate a property of say $2X-1.5X. Offer the owner $X. This is called a gap-down. You give the owner a rude gap-down. Some will bite. many don't. Be patient and don't fall in love with every property you visit. There is no property that one must buy. Be very, very slow in the acquisition.
Step 4: Attend every single auction sale. Feel the fire-sale market.
Step 5: Once you get it, renovate and rent it out for cash flow. It should be in the range of 15% and above. This is a trying times for most businesses. So a good yield is important, i.e., people can afford to rent but not buy, cos they are now poor bastards.
Step 6: Once settled, the rental is stable and you feel no stress in cash flow and loan repayments. Go for the next purchase of another property. Talk to another bank and repeat the cycle. This next bank usually will feel extremely comfortable with you, even though you are already geared in your first property. Some countries don't even care about your other properties. They just worry about your current purchases. In white land, you can throw them back the keys if you don't like what you bought and no adverse repercussions.
In summary, the property prices are now very low. Banks are very careful in their lending, that means they are now very safe to borrow. There is little or no risk in loan defaults as the properties are priced "very" reasonably and hence, the yield (rental) is strong. One can foresee no issue in loan servicing.
It is for this reason I support the use of gearing, i.e., borrow from banks. Use it wisely. Don't over-gear.
Sometime back I have always suggested no bank loans.
But with the cute and long depression underway, we are living in interesting times.
With the deep, deep, deep depression, property prices are very, very, very low. They are going down every now and then. In fact, one must learn to understand the psychic of the banks. Banks are now at very low confidence about the economy. They are not lending in big ways. Hence, if you have a solid job or strong cash flow, the banks will love you deep deep. But, they are still not lending.
There must therefore be a balance here.
Step 1: Firm up your cash flow, say $200 per month. The bank only likes to lend only at $66 the amount (1/3). Further half that to just 15% of your monthly cash flow, i.e., $30 of $200.
Step 2: Approach a bank and based on your $30 cash flow, find out how much you can afford to borrow from the bank, say $X.
Step 3: Locate a property of say $2X-1.5X. Offer the owner $X. This is called a gap-down. You give the owner a rude gap-down. Some will bite. many don't. Be patient and don't fall in love with every property you visit. There is no property that one must buy. Be very, very slow in the acquisition.
Step 4: Attend every single auction sale. Feel the fire-sale market.
Step 5: Once you get it, renovate and rent it out for cash flow. It should be in the range of 15% and above. This is a trying times for most businesses. So a good yield is important, i.e., people can afford to rent but not buy, cos they are now poor bastards.
Step 6: Once settled, the rental is stable and you feel no stress in cash flow and loan repayments. Go for the next purchase of another property. Talk to another bank and repeat the cycle. This next bank usually will feel extremely comfortable with you, even though you are already geared in your first property. Some countries don't even care about your other properties. They just worry about your current purchases. In white land, you can throw them back the keys if you don't like what you bought and no adverse repercussions.
In summary, the property prices are now very low. Banks are very careful in their lending, that means they are now very safe to borrow. There is little or no risk in loan defaults as the properties are priced "very" reasonably and hence, the yield (rental) is strong. One can foresee no issue in loan servicing.
It is for this reason I support the use of gearing, i.e., borrow from banks. Use it wisely. Don't over-gear.
Saturday, 19 July 2014
p.I Buy a Super Market (Part II)
The last part is here: I Buy a Super Market
This morning I met Greyhawk on my way out. He told me that his daughter was deeply disturbed. I have yet to get back to her daugther about him selling his super market to me cheap. I humbly explained that I am a poor bastard and shall remained so for a long time to come. I have no means or access to large funds to make that purchase. Further I can't guarantee that I would love white crane forever as I have too many gals out there who need my loving too.
He darkened but held back his fury and calmly explained I don't need money to buy his super market. All I need was to agreed and the super market would be transferred in stages to me using the cash flow from the profits. He further admitted that he is greying fast too. He needed a great lieutenant by his side. If I like, he can even throw in a house to boot. Such a generous offer!
I smiled, humbly declined and maintained that although I am a man of little means, I do have my dignity.
He asked me for the last time and said that since that is my decision. He will respect it. His facial expressions darkened even further when we parted.
Before this final showdown, away from the madding crowd, I did my due diligence. I am not stupid. I told Greyhawk before that I was and still am not a stupid guy. I made my own reality.
When I first arrived on the scene, Greyhawk was excited that in this god-forsaken place, I arrived as a knight in shinning armour. Bring brillance to the place. He introduced me to all his generals and said that I am the next best thing to god. I was happy with the reception, thinking that at last, there is one good chinaman on earth.
He ran me through his entire organization, asking me to take on roles to help him out. I was naive and gladly complied.
Little did I know that he told all generals behind my back to abuse me and treat me as super sub, i.e., I cover their duties whenever they need to get off. My only reward was to fuck his daughter. The generals were rude to the point that I am just indeed a substitute or for a better word, a prostitute to the place.
Although I am not a nice person, but I did take offence to being a prostitute. I may be new to the place. I have humble means. I have no contacts. I have no support from my family clan. I have no friends. But, I will be a fool to be taken advantage of from a migrant worker who has been here just a few decades earlier.
I believe he is currently very proud of his achievement but that does not entitle him to make a fool out of newer migrant workers.
By the afternoon, he told me over the phone that I shall never ever step foot in his super market again nor see his daughter. He then hung up.
He must be reminiscing and recoiling from his pains. He thought he has done a major battle royal and victory on me. But, yet I chose to run away leaving him and his generals doing sentry duties and shift work stand-ins all alone when ever their foot soldiers go on resignations, strikes or holidays. What a loving sight, a general of 3 decades old doing cashier duties, cut raw meat, scale slimy fish, mop kitchen floors and clean public toilets because the ones doing it for him had all resigned.
Bonded forever in the jobs they created for themselves. They can make all the monies in the world but they couldn't enjoy them as they can't even leave their place of work.
I smiled. Another day another battle.
I have seen so many such fools in my life and I have learned to deal with them quite easily.
My bag of tricks is only one: Be meek and silent when confronted with adversity. Why meek? So that I don't show up their mistakes. Why silent? So that I don't tell them what's wrong with them. They will then think I was the stupid guy and don't seem to able to get their ideas across into my thick head, they simply don't know what's wrong with my head. How can they hope to achieve victory with deception. They have no scruples nor honour.
Only an honest and honourable man can do battle royal with me. But, if he is honest and honourable, then there would be no battle, he would already be my partner-in-crime. What an irony!
Winter's coming soon ... I have to prepare money for my next purchases of land. I am excited. Maybe I should also learn french to be nice to all my neighbours.
Footnote: To win in the mind game: Never be quick to anger. Greyhawk failed to win his slave 千里马 and he ended up too quick to anger because he thought he is the almighty 伯乐 and no 千里马 can resist his charm. He has forgotten that there are mighty 千里马 out there that even money cannot buy, as well as every 千里马 is unique. He must exercise humility when approaching these great 千里马. I am not even a super 千里马 but just a strong one. To win the 千里马, one must not be impatient but to study the quarry carefully. Win the respect of 千里马 and the animal will suck your cock. It is that simple.
This morning I met Greyhawk on my way out. He told me that his daughter was deeply disturbed. I have yet to get back to her daugther about him selling his super market to me cheap. I humbly explained that I am a poor bastard and shall remained so for a long time to come. I have no means or access to large funds to make that purchase. Further I can't guarantee that I would love white crane forever as I have too many gals out there who need my loving too.
He darkened but held back his fury and calmly explained I don't need money to buy his super market. All I need was to agreed and the super market would be transferred in stages to me using the cash flow from the profits. He further admitted that he is greying fast too. He needed a great lieutenant by his side. If I like, he can even throw in a house to boot. Such a generous offer!
I smiled, humbly declined and maintained that although I am a man of little means, I do have my dignity.
He asked me for the last time and said that since that is my decision. He will respect it. His facial expressions darkened even further when we parted.
Before this final showdown, away from the madding crowd, I did my due diligence. I am not stupid. I told Greyhawk before that I was and still am not a stupid guy. I made my own reality.
When I first arrived on the scene, Greyhawk was excited that in this god-forsaken place, I arrived as a knight in shinning armour. Bring brillance to the place. He introduced me to all his generals and said that I am the next best thing to god. I was happy with the reception, thinking that at last, there is one good chinaman on earth.
He ran me through his entire organization, asking me to take on roles to help him out. I was naive and gladly complied.
Little did I know that he told all generals behind my back to abuse me and treat me as super sub, i.e., I cover their duties whenever they need to get off. My only reward was to fuck his daughter. The generals were rude to the point that I am just indeed a substitute or for a better word, a prostitute to the place.
Although I am not a nice person, but I did take offence to being a prostitute. I may be new to the place. I have humble means. I have no contacts. I have no support from my family clan. I have no friends. But, I will be a fool to be taken advantage of from a migrant worker who has been here just a few decades earlier.
I believe he is currently very proud of his achievement but that does not entitle him to make a fool out of newer migrant workers.
By the afternoon, he told me over the phone that I shall never ever step foot in his super market again nor see his daughter. He then hung up.
He must be reminiscing and recoiling from his pains. He thought he has done a major battle royal and victory on me. But, yet I chose to run away leaving him and his generals doing sentry duties and shift work stand-ins all alone when ever their foot soldiers go on resignations, strikes or holidays. What a loving sight, a general of 3 decades old doing cashier duties, cut raw meat, scale slimy fish, mop kitchen floors and clean public toilets because the ones doing it for him had all resigned.
Bonded forever in the jobs they created for themselves. They can make all the monies in the world but they couldn't enjoy them as they can't even leave their place of work.
I smiled. Another day another battle.
I have seen so many such fools in my life and I have learned to deal with them quite easily.
My bag of tricks is only one: Be meek and silent when confronted with adversity. Why meek? So that I don't show up their mistakes. Why silent? So that I don't tell them what's wrong with them. They will then think I was the stupid guy and don't seem to able to get their ideas across into my thick head, they simply don't know what's wrong with my head. How can they hope to achieve victory with deception. They have no scruples nor honour.
Only an honest and honourable man can do battle royal with me. But, if he is honest and honourable, then there would be no battle, he would already be my partner-in-crime. What an irony!
Winter's coming soon ... I have to prepare money for my next purchases of land. I am excited. Maybe I should also learn french to be nice to all my neighbours.
Footnote: To win in the mind game: Never be quick to anger. Greyhawk failed to win his slave 千里马 and he ended up too quick to anger because he thought he is the almighty 伯乐 and no 千里马 can resist his charm. He has forgotten that there are mighty 千里马 out there that even money cannot buy, as well as every 千里马 is unique. He must exercise humility when approaching these great 千里马. I am not even a super 千里马 but just a strong one. To win the 千里马, one must not be impatient but to study the quarry carefully. Win the respect of 千里马 and the animal will suck your cock. It is that simple.
Friday, 18 July 2014
b.MegaTrend - 18 Signs of Global Economic Crisis
The last part is here: Megatrend - Depression pushing through
18 Signs that the Global Economic Crisis is Accelerating as we Enter the Last Half of 2014
A lot of people that I talk to these days want to know "when things are going to start happening". Well, there are certainly some perilous times on the horizon, but all you have to do is open up your eyes and look to see the global economic crisis unfolding. As you will see below, even central bankers are issuing frightening warnings about "dangerous new asset bubbles" and even the World Bank is declaring that "now is the time to prepare" for the next crisis. Most Americans tend to only care about what is happening in the United States, but the truth is that serious economic trouble is erupting in South America, all across Europe and in Asian powerhouses such as China and Japan. And the endless conflicts in the Middle East could erupt into a major regional war at just about any time. We live in a world that is becoming increasingly unstable, and people need to understand that the period of relative stability that we are enjoying right now is extremely vulnerable and will not last long. The following are 18 signs that the global economic crisis is accelerating as we enter the last half of 2014 ...
#1 The Bank for International Settlements has issued a new report which warns that "dangerous new asset bubbles" are forming which could potentially lead to another major financial crisis. Do the central bankers know something that we don't, or are they just trying to place the blame on someone else for the giant mess that they have created?
#2 Argentina has missed a $539 million debt payment and is on the verge of its second major debt default in 13 years.
#3 Bulgaria is desperately trying to calm down a massive run on the banks that threatens of spiral out of control.
#4 Last month, household loans in the eurozone declined at the fastest rate ever recorded. Why are European banks holding on to their money so tightly right now?
#5 The number of unemployed jobseekers in France has just soared to another brand new record high.
#6 Economies all over Europe are either showing no growth or are shrinking. Just check out what a recent Forbes article had to say about the matter...
Italy’s economy shrank by 0.1% in the first three months of 2014, matching the average of the three previous quarters. After expanding 0.6% in Q2 2013, France recorded zero growth. Portugal shrank 0.7%, following positive numbers in the preceding nine months. While figures weren’t available for Greece and Ireland in Q1, neither country is showing progress. Greek GDP dropped 2.5% in the final three months of last year, and Ireland limped ahead at 0.2%.
#7 A few days ago it was reported that consumer prices in Japan are rising at the fastest pace in 32 years.
#8 Household expenditures in Japan are down 8 percent compared to one year ago.
#9 U.S. companies are drowning in massive amounts of debt, but the corporate debt bubble in China is so bad that the amount of corporate debt in China has actually now surpassed the amount of corporate debt in the United States.
#10 One Chinese auditor is warning that up to 80 billion dollars worth of loans in China are backed by falsified gold transactions. What will that do to the price of gold and the stability of Chinese financial markets as that mess unwinds?
#11 The unemployment rate in Greece is currently sitting at 26.7 percent and the youth unemployment rate is 56.8 percent.
#12 67.5 percent of the people that are unemployed in Greece have been unemployed for over a year.
#13 The unemployment rate in the eurozone as a whole is 11.8 percent - just a little bit shy of the all-time record of 12.0 percent.
#14 The European Central Bank is so desperate to get money moving through the system that it has actually introduced negative interest rates.
#15 The IMF is projecting that there is a 25 percent chance that the eurozone will slip into deflation by the end of next year.
#16 The World Bank is warning that "now is the time to prepare" for the next crisis.
#17 The economic conflict between the United States and Russia continues to deepen. This has caused Russia to make a series of moves away from the U.S. dollar and toward other major currencies. This will have serious ramifications for the global financial system as time rolls along.
#18 Of course the U.S. economy is struggling right now as well. It shrank at a 2.9 percent annual rate during the first quarter of 2014, which was much worse than anyone had anticipated.
But if U.S. economic numbers look a bit better for the second quarter, that doesn't mean that we are out of the woods.
As I have stressed so many times, the long-term trends and the long-term balance sheet numbers are far, far more important than the short-term economic numbers.
For example, if you went to the mall today and spent a thousand dollars on candy and video games, your short-term "economic activity" would spike dramatically. But your long-term financial health would take a significant turn for the worse.
Well, when we are talking about the health of the U.S. economy or the entire global financial system we need to keep the same kinds of considerations in mind.
As for the United States, whether the level of our debt-fueled short-term economic activity goes up a little bit or down a little bit is not what is truly important.
Rather, the fact that we are nearly 60 trillion dollars in debt as a society is what really matters.
The same thing applies for the globe as a whole. Right now, the citizens of the planet are more than 223 trillion dollars in debt, and "too big to fail" banks around the world have at least 700 trillion dollars of exposure to derivatives.
So it doesn't really matter too much whether the short-term economic numbers go up a little bit or down a little bit right now. The whole system is an inherently flawed Ponzi scheme that will inevitably collapse under its own weight.
Let us hope that this period of relative stability lasts for a while longer. It is a good thing to have time to prepare. But you would have to be absolutely insane to think that the biggest debt bubble in the history of the world is never going to burst.
My Comments:
It is important to note that no countries in the world will allow such a huge bubble to burst. So they will work in concert to try to correct this bubble. That being said, this bubble unfortunately is too big to release. Therefore, even a slight mis-management of this bubble will cause new whipsaws throughout the market.
A crash is absolutely impossible as everyone is talking about it. When every one is talking about it, it will never happen.
What will actually happen is that there would be a long long long long long long adjustment to market, i.e., the property prices will remain stagnant and slightly downward trending. This is a 16-year long depressive cycle.
Property owners will refuse to lower their prices but yet always take from the buyer's bids. This is commonly known as gap-down. Well, enjoy all your gap-downs. I am enjoying mine. I hope you do too. If you don't understand how to handle a gap-down, read it from the net.
Buy at least one property per year for the next 16 years. Enjoy the cycle as it would not repeat for another 60-80 years.
How to enjoy? Well ... after buying these properties rent them out as the rental yields are at least 15% and above. You will get your property freehold within 6-8 years. The excesses reinvest them into even more properties. This property cycle is once in a life-time for the current us.
If you must take profit, well, use the rental income to buy your next car or holidays. Never invest your blood monies in luxuries. You must get these luxuries from the rental yields. A bit more troublesome but important difference.
There are many assholes in town. Avoid them totally. Build your happiness in people you can trust. I have just avoided two big ones.
18 Signs that the Global Economic Crisis is Accelerating as we Enter the Last Half of 2014
A lot of people that I talk to these days want to know "when things are going to start happening". Well, there are certainly some perilous times on the horizon, but all you have to do is open up your eyes and look to see the global economic crisis unfolding. As you will see below, even central bankers are issuing frightening warnings about "dangerous new asset bubbles" and even the World Bank is declaring that "now is the time to prepare" for the next crisis. Most Americans tend to only care about what is happening in the United States, but the truth is that serious economic trouble is erupting in South America, all across Europe and in Asian powerhouses such as China and Japan. And the endless conflicts in the Middle East could erupt into a major regional war at just about any time. We live in a world that is becoming increasingly unstable, and people need to understand that the period of relative stability that we are enjoying right now is extremely vulnerable and will not last long. The following are 18 signs that the global economic crisis is accelerating as we enter the last half of 2014 ...
#1 The Bank for International Settlements has issued a new report which warns that "dangerous new asset bubbles" are forming which could potentially lead to another major financial crisis. Do the central bankers know something that we don't, or are they just trying to place the blame on someone else for the giant mess that they have created?
#2 Argentina has missed a $539 million debt payment and is on the verge of its second major debt default in 13 years.
#3 Bulgaria is desperately trying to calm down a massive run on the banks that threatens of spiral out of control.
#4 Last month, household loans in the eurozone declined at the fastest rate ever recorded. Why are European banks holding on to their money so tightly right now?
#5 The number of unemployed jobseekers in France has just soared to another brand new record high.
#6 Economies all over Europe are either showing no growth or are shrinking. Just check out what a recent Forbes article had to say about the matter...
Italy’s economy shrank by 0.1% in the first three months of 2014, matching the average of the three previous quarters. After expanding 0.6% in Q2 2013, France recorded zero growth. Portugal shrank 0.7%, following positive numbers in the preceding nine months. While figures weren’t available for Greece and Ireland in Q1, neither country is showing progress. Greek GDP dropped 2.5% in the final three months of last year, and Ireland limped ahead at 0.2%.
#7 A few days ago it was reported that consumer prices in Japan are rising at the fastest pace in 32 years.
#8 Household expenditures in Japan are down 8 percent compared to one year ago.
#9 U.S. companies are drowning in massive amounts of debt, but the corporate debt bubble in China is so bad that the amount of corporate debt in China has actually now surpassed the amount of corporate debt in the United States.
#10 One Chinese auditor is warning that up to 80 billion dollars worth of loans in China are backed by falsified gold transactions. What will that do to the price of gold and the stability of Chinese financial markets as that mess unwinds?
#11 The unemployment rate in Greece is currently sitting at 26.7 percent and the youth unemployment rate is 56.8 percent.
#12 67.5 percent of the people that are unemployed in Greece have been unemployed for over a year.
#13 The unemployment rate in the eurozone as a whole is 11.8 percent - just a little bit shy of the all-time record of 12.0 percent.
#14 The European Central Bank is so desperate to get money moving through the system that it has actually introduced negative interest rates.
#15 The IMF is projecting that there is a 25 percent chance that the eurozone will slip into deflation by the end of next year.
#16 The World Bank is warning that "now is the time to prepare" for the next crisis.
#17 The economic conflict between the United States and Russia continues to deepen. This has caused Russia to make a series of moves away from the U.S. dollar and toward other major currencies. This will have serious ramifications for the global financial system as time rolls along.
#18 Of course the U.S. economy is struggling right now as well. It shrank at a 2.9 percent annual rate during the first quarter of 2014, which was much worse than anyone had anticipated.
But if U.S. economic numbers look a bit better for the second quarter, that doesn't mean that we are out of the woods.
As I have stressed so many times, the long-term trends and the long-term balance sheet numbers are far, far more important than the short-term economic numbers.
For example, if you went to the mall today and spent a thousand dollars on candy and video games, your short-term "economic activity" would spike dramatically. But your long-term financial health would take a significant turn for the worse.
Well, when we are talking about the health of the U.S. economy or the entire global financial system we need to keep the same kinds of considerations in mind.
As for the United States, whether the level of our debt-fueled short-term economic activity goes up a little bit or down a little bit is not what is truly important.
Rather, the fact that we are nearly 60 trillion dollars in debt as a society is what really matters.
The same thing applies for the globe as a whole. Right now, the citizens of the planet are more than 223 trillion dollars in debt, and "too big to fail" banks around the world have at least 700 trillion dollars of exposure to derivatives.
So it doesn't really matter too much whether the short-term economic numbers go up a little bit or down a little bit right now. The whole system is an inherently flawed Ponzi scheme that will inevitably collapse under its own weight.
Let us hope that this period of relative stability lasts for a while longer. It is a good thing to have time to prepare. But you would have to be absolutely insane to think that the biggest debt bubble in the history of the world is never going to burst.
My Comments:
It is important to note that no countries in the world will allow such a huge bubble to burst. So they will work in concert to try to correct this bubble. That being said, this bubble unfortunately is too big to release. Therefore, even a slight mis-management of this bubble will cause new whipsaws throughout the market.
A crash is absolutely impossible as everyone is talking about it. When every one is talking about it, it will never happen.
What will actually happen is that there would be a long long long long long long adjustment to market, i.e., the property prices will remain stagnant and slightly downward trending. This is a 16-year long depressive cycle.
Property owners will refuse to lower their prices but yet always take from the buyer's bids. This is commonly known as gap-down. Well, enjoy all your gap-downs. I am enjoying mine. I hope you do too. If you don't understand how to handle a gap-down, read it from the net.
Buy at least one property per year for the next 16 years. Enjoy the cycle as it would not repeat for another 60-80 years.
How to enjoy? Well ... after buying these properties rent them out as the rental yields are at least 15% and above. You will get your property freehold within 6-8 years. The excesses reinvest them into even more properties. This property cycle is once in a life-time for the current us.
If you must take profit, well, use the rental income to buy your next car or holidays. Never invest your blood monies in luxuries. You must get these luxuries from the rental yields. A bit more troublesome but important difference.
There are many assholes in town. Avoid them totally. Build your happiness in people you can trust. I have just avoided two big ones.
Wednesday, 16 July 2014
p.How to Keep the Head's Up ...
The last part is here: Personal Depression
No one can escape depression. I am sucker for it.
So I have to find a new way to counter it. I have found it though. The idea is to have an ambition or a target. The target should not be big. It should be something very doable all the time. By focusing on it all the time, I realised that I have no time to weep or sulk. Isn't it nice?
My humble target is to buy an auctioned property every 3-6 months. Once the bidding starts, I do need to spend about 2 weeks to hurry-hurry. Hurry to collect past property price trends. Do comparison analysis. Hurry to find out from auctioneer whether the property is any good. Check valuation. Visit the property. Check if it is tenanted or owner-occupied. If owner-occupied, whether I need to release snakes and scorpions when I finally owned it to chase away the original owner. Are there any body died in the house? Hurry to check surrounding tenanted rent. Do caveat search on the said property to see if the fucker owed anything else. If the property is too expensive, see if the banks love me.
Go for the bid. Excite other bidders to overbid and screw themselves. The last one I attended over-bidded by 25%-30%. Fucking stupid. They are now at least 10 more years into the 40 years pay-back time. The last I heard from the vines is that the winner is from a group of investors who own a property company. They will then attempt to borrow the monies from the bank, failing which, they will forfeit their initial deposit and re-auction again in 3 months' time. Most of the time they will fail to impress the banks for a loan. The feedback was bad-bad-bad. So even if I don't win, I enjoy screwing others along the way by bidding. In order for them to win me, they have to over-bid me. What a lovely idea. I am in the auction because I am bored and feeling depressed. I just need them to entertain me and my depression. What a fun-fun-fun game!
After I have won the bid, I would pay up and then do the chasing away of tenants or owners. Another 3 months will pass with busy-busy-busy activities.
Minor or major renovation will begin in 3-4 months' time. Again another busy-busy-busy activity. After the renovation, either tenant it out or keep for own fun.
Some properties may not need so much attention to detail.
A good 3-6 months will rush by.
After that, I will lay sight on another auction again. By this, I truly hope to feel better and not so hollow inside of me. It is very painful that with so much success in me, I have no cheer leader beside me. Sigh ... Emptiness is now my form.
No one can escape depression. I am sucker for it.
So I have to find a new way to counter it. I have found it though. The idea is to have an ambition or a target. The target should not be big. It should be something very doable all the time. By focusing on it all the time, I realised that I have no time to weep or sulk. Isn't it nice?
My humble target is to buy an auctioned property every 3-6 months. Once the bidding starts, I do need to spend about 2 weeks to hurry-hurry. Hurry to collect past property price trends. Do comparison analysis. Hurry to find out from auctioneer whether the property is any good. Check valuation. Visit the property. Check if it is tenanted or owner-occupied. If owner-occupied, whether I need to release snakes and scorpions when I finally owned it to chase away the original owner. Are there any body died in the house? Hurry to check surrounding tenanted rent. Do caveat search on the said property to see if the fucker owed anything else. If the property is too expensive, see if the banks love me.
Go for the bid. Excite other bidders to overbid and screw themselves. The last one I attended over-bidded by 25%-30%. Fucking stupid. They are now at least 10 more years into the 40 years pay-back time. The last I heard from the vines is that the winner is from a group of investors who own a property company. They will then attempt to borrow the monies from the bank, failing which, they will forfeit their initial deposit and re-auction again in 3 months' time. Most of the time they will fail to impress the banks for a loan. The feedback was bad-bad-bad. So even if I don't win, I enjoy screwing others along the way by bidding. In order for them to win me, they have to over-bid me. What a lovely idea. I am in the auction because I am bored and feeling depressed. I just need them to entertain me and my depression. What a fun-fun-fun game!
After I have won the bid, I would pay up and then do the chasing away of tenants or owners. Another 3 months will pass with busy-busy-busy activities.
Minor or major renovation will begin in 3-4 months' time. Again another busy-busy-busy activity. After the renovation, either tenant it out or keep for own fun.
Some properties may not need so much attention to detail.
A good 3-6 months will rush by.
After that, I will lay sight on another auction again. By this, I truly hope to feel better and not so hollow inside of me. It is very painful that with so much success in me, I have no cheer leader beside me. Sigh ... Emptiness is now my form.
Sunday, 13 July 2014
b.xox - Considering The Hotel
The last part is here: xox - Considering Oil-Palm Farming
I have the good fortune of talking to a 8-hotel owner in white land. He has given me many hours of joy. I am indebted.
Owning a hotel is a sexy idea. So is owning a police station. I am actually tempted to buy a former police station just to show off. Well ... another cute story for another time.
Let's begin the analysis (I am against it, it is too high a capital as well it wouldn't last - Hilton was sold and many others):
I have the good fortune of talking to a 8-hotel owner in white land. He has given me many hours of joy. I am indebted.
Owning a hotel is a sexy idea. So is owning a police station. I am actually tempted to buy a former police station just to show off. Well ... another cute story for another time.
Let's begin the analysis (I am against it, it is too high a capital as well it wouldn't last - Hilton was sold and many others):
- Large capital outlay - Comparing to other property types, each hotel room is expensive to build and own. I am actually sucker for land size. So, a hotel is densely geared, i.e., it has a dense plot ratio compared to other property type. I don't like this because it leaves no quarters to move, i.e., it has already reached its maximum plot ratio usage. The land use is maximum and further improvement is limited. There is no more leeway.
- High manpower needs - Over time, the staff needed to run the hotel is so expensive that a slight mistake would cost the hotel a fortune.
- High plot density - As discussed already with high capital cost. Never invest in maximum cost item. It would clearly return a negative when the economy dives.
- Ultra high land cost - If there is no traffic, no hotel would be built. If there is, then the land cost kills.
- Expensive complimentary services - Some complimentary services are needed to compete for guests. They involve good restaurants, shopping malls, banks and limousine service. In some part, gal services such as pubs and clubs are a must-have.
Friday, 11 July 2014
b.Auction, Auction, Auction, Where Forth Art Thou?
The last part is here: Bank Lelong (Auction)
Every problem sum has a solution. But, one has to work at it.
Fuck, the recent open-bid auction got 10-15 people bidding for the property of my choice. Fuck them. In the end, of course, I lost the bid. It was bidded at 25-30% higher than the reserved price.
@#$%^$^&%^&_(&) ...
Since I have been to enough open-bid auctions, I should be able to summarize my findings.
How about bidding more than the reserved price? This is for the stupids. Loads of people don't understand that increasing the bids is the most stupid thing to do.
Let me try to illustrate:
A typical property takes about 30 years to finish the instalments, let's call it 100% or simply 3.33% per year (simple approximated). If you pay 10% more, it implies your loan would need to increase by another 3 years to 33 years (10%/3.33%=3 years). If you pay 20% more, it implies your loan would need to increase by another 6 years to 36 years (20%/3.33%=6 years). If you pay 30% more, it implies your loan would need to increase by another 9 years to 39 years (30%/3.33%=9 years). This is obviously not for the faint hearted.
Why?
Well ... I would keep my money under my pillow and see within the next 9 years whether I can find another deal that matches your bid and during a deep deep recession. Surely I can. So what's the hurry? In the end, I still can get what I want and do what I like.
If you do take up a bank loan which I advised against and assuming you are also very credit-worthy, you are able to borrow at 90% loan and 10% cash. But, banks are clever bastards. They would only valued the property AT its reserved price. If you itchy backside, outbidded every body as in my most recent auction by paying 30% above, you will need to fork out a total of 40% (10%+30% over the valuation provided by the "conservative" bank). See how fucked, one can be? And you are given only 3 months to pay up. Otherwise, they are going to fire-sale again and you have to foot the difference and administrative and legal fees. An auction's reserved price is at this value is because people do get fucked bad.
Every property after spending time to evaluate, one would fall in love with it. It is very natural. But, do take heed and learn to walk away.
If you cannot buy at reserved price, just walk. There is another 16-years worth of depression to go.
Also, during this last auction, I overheard some bidders saying if he is successful he will open a car showroom and rent it out. He was dressed in shorts and fucking sandals. I don't look down on such dress code. I just find it amusing on how dreamy things can get. What make you think that you can confidently clear the government-of-the-day's control and change the land use in shorts and sandals? Depending on where is your property, in white land, it takes the better of 1 year to approve a restaurant. Bidders who dream big, die fastest. Just a case-in-time, I have just visited some of my lost auction bids. The properties were not even renovated nor improved. Where is therefore the money for such dream team for a car show room? Talk is cheap, renovation is pure cash. Some property owner can't even afford to paint their house regularly, let alone change of use. Fuckens are fuckens.
As at this writing, I just heard another neighbour has just died. Most probably if I am patient enough. I can grow my portfolio again. I just have to wait and smile at all my neighbours. No harm getting into their good books. Hehehe ... Winter's coming. Action time.
Every problem sum has a solution. But, one has to work at it.
Fuck, the recent open-bid auction got 10-15 people bidding for the property of my choice. Fuck them. In the end, of course, I lost the bid. It was bidded at 25-30% higher than the reserved price.
@#$%^$^&%^&_(&) ...
Since I have been to enough open-bid auctions, I should be able to summarize my findings.
- 0-5 bidders: 10% above the reserved price.
- 5-10 bidders: 20% above the reserved price.
- 10-15 bidders: 30% above the reserved price.
- Above 15 bidders: Please don't try, you would be fucked for life.
How about bidding more than the reserved price? This is for the stupids. Loads of people don't understand that increasing the bids is the most stupid thing to do.
Let me try to illustrate:
A typical property takes about 30 years to finish the instalments, let's call it 100% or simply 3.33% per year (simple approximated). If you pay 10% more, it implies your loan would need to increase by another 3 years to 33 years (10%/3.33%=3 years). If you pay 20% more, it implies your loan would need to increase by another 6 years to 36 years (20%/3.33%=6 years). If you pay 30% more, it implies your loan would need to increase by another 9 years to 39 years (30%/3.33%=9 years). This is obviously not for the faint hearted.
Why?
Well ... I would keep my money under my pillow and see within the next 9 years whether I can find another deal that matches your bid and during a deep deep recession. Surely I can. So what's the hurry? In the end, I still can get what I want and do what I like.
If you do take up a bank loan which I advised against and assuming you are also very credit-worthy, you are able to borrow at 90% loan and 10% cash. But, banks are clever bastards. They would only valued the property AT its reserved price. If you itchy backside, outbidded every body as in my most recent auction by paying 30% above, you will need to fork out a total of 40% (10%+30% over the valuation provided by the "conservative" bank). See how fucked, one can be? And you are given only 3 months to pay up. Otherwise, they are going to fire-sale again and you have to foot the difference and administrative and legal fees. An auction's reserved price is at this value is because people do get fucked bad.
Every property after spending time to evaluate, one would fall in love with it. It is very natural. But, do take heed and learn to walk away.
If you cannot buy at reserved price, just walk. There is another 16-years worth of depression to go.
Also, during this last auction, I overheard some bidders saying if he is successful he will open a car showroom and rent it out. He was dressed in shorts and fucking sandals. I don't look down on such dress code. I just find it amusing on how dreamy things can get. What make you think that you can confidently clear the government-of-the-day's control and change the land use in shorts and sandals? Depending on where is your property, in white land, it takes the better of 1 year to approve a restaurant. Bidders who dream big, die fastest. Just a case-in-time, I have just visited some of my lost auction bids. The properties were not even renovated nor improved. Where is therefore the money for such dream team for a car show room? Talk is cheap, renovation is pure cash. Some property owner can't even afford to paint their house regularly, let alone change of use. Fuckens are fuckens.
As at this writing, I just heard another neighbour has just died. Most probably if I am patient enough. I can grow my portfolio again. I just have to wait and smile at all my neighbours. No harm getting into their good books. Hehehe ... Winter's coming. Action time.
Monday, 23 June 2014
b.To Strange Land
The last part is here: Strategy - Strangeness In White Land
With the world cup well underway, the strangeness in white land is so unique that I am now brought to a new height. Now they are offering me to buy a white land that is a few times bigger than some of my current assets. They are so awfully nice. The reason is the land owner is a second-generation that refuses to return to that birth place that once nurtured him. He said it was too much of a burden. He has let go and moved on.
I smiled. They are so sweet. They even throw in a very large lake connected by a long river for my pleasure. They said the water is very sweet and full of minerals. I am only interested in the lake view. LOL.
A nice show: 同桌的你
The value in romance is not the look of the young gal but the passage that traversed by both the guy and the gal. The value is maximum when the connection is perfected.
Let's enjoy the show ...
With the world cup well underway, the strangeness in white land is so unique that I am now brought to a new height. Now they are offering me to buy a white land that is a few times bigger than some of my current assets. They are so awfully nice. The reason is the land owner is a second-generation that refuses to return to that birth place that once nurtured him. He said it was too much of a burden. He has let go and moved on.
I smiled. They are so sweet. They even throw in a very large lake connected by a long river for my pleasure. They said the water is very sweet and full of minerals. I am only interested in the lake view. LOL.
A nice show: 同桌的你
The value in romance is not the look of the young gal but the passage that traversed by both the guy and the gal. The value is maximum when the connection is perfected.
Let's enjoy the show ...
Friday, 20 June 2014
b.Every a Big Project falls
The last part is here: Business Jinx
Sigh ... Sad, sad, sad ... One of my big projects is postponed indefinitely.
There is a damage hit and I am now licking my wound.
Keeping it in view lor. Painful.
Hope I can return to it fastest.
As Tengri is great, he will always open a small window for me. Love my Tengri deep deep.
The other small project of white rental property is also off. Can't trust the fuckers.
In white land, it is important to note than rental properties are not great assets. Only in Asian markets can one be more certain. The reason being that the white properties are normally made of paper. It is useless running them. It costs too much to maintain and pay taxes.
Working off the land is still the safest path for me. Love myself. In land, even if you don't have power or water, you can still depend on Tengri to supply the plants with water and sunshine. You only need to bring in the seeds and fertilizers. It is that simple. Without roads, no problem. The seeds are light. No power, no problem. Stay warm in town. The plants don't need warmth all the time. When it is time to grow, the plants will grow. You just need to own the land. Even planting trees is super lucrative. Ask any Malaysians, they will tell you. You can harvest teak in 7-8 years.
I am now in battle mode. In battle mode, I am not allowed to go into depression.
Even if I were to fall now, I don't really care. I build my own reality. A friend just told me that I am beginning to look like a scavenger. I asked really? She said in no uncertained term that I am looking more and more like her father. Every 5 years, changes to a smaller car and smaller house. Fuck her! She is so sharp.
Sigh ... Sad, sad, sad ... One of my big projects is postponed indefinitely.
There is a damage hit and I am now licking my wound.
Keeping it in view lor. Painful.
Hope I can return to it fastest.
As Tengri is great, he will always open a small window for me. Love my Tengri deep deep.
The other small project of white rental property is also off. Can't trust the fuckers.
In white land, it is important to note than rental properties are not great assets. Only in Asian markets can one be more certain. The reason being that the white properties are normally made of paper. It is useless running them. It costs too much to maintain and pay taxes.
Working off the land is still the safest path for me. Love myself. In land, even if you don't have power or water, you can still depend on Tengri to supply the plants with water and sunshine. You only need to bring in the seeds and fertilizers. It is that simple. Without roads, no problem. The seeds are light. No power, no problem. Stay warm in town. The plants don't need warmth all the time. When it is time to grow, the plants will grow. You just need to own the land. Even planting trees is super lucrative. Ask any Malaysians, they will tell you. You can harvest teak in 7-8 years.
I am now in battle mode. In battle mode, I am not allowed to go into depression.
Even if I were to fall now, I don't really care. I build my own reality. A friend just told me that I am beginning to look like a scavenger. I asked really? She said in no uncertained term that I am looking more and more like her father. Every 5 years, changes to a smaller car and smaller house. Fuck her! She is so sharp.
Tuesday, 17 June 2014
b.Passion Business II - The Connection Needed
The last part is here: Passion Business II - How to Grow Ginseng
The best part is that I am buying a cute little land to plant this marvel this winter. Nice price and I am going to ace it.
The next best part is that I have rented a little 10-acre nursery for $200 per year for the next 10 years. Imagine the fun I am going to get. On top of that, they throw in an alpaca barn farm for free. They simply wants me to rent their premises and occupy it and pay their taxes.
I am now securing the seedlings from the white land to start the game. Hopefully the returns of $20-30k per acre comes true.
On top of that, they wanted me to try to help them build a fresh water fish farm. Nice farmers, nice lands, nice projects.
The last best thing I heard for the day is that many lands are now selling for a song as their parents all died on them (i.e., 1920s-1930s). Over the next 15 years, many more baby boomers have to die and transfer their land holdings to their city-bound kids and most kids can't pay their huge estate taxes and they have no choice but to sell their lands on the cheap to pay for their taxes.
This is how good the news over the day.
Today every white is having a dying parent with huge land reserves and they all smiled at me hoping to find me renting their lands on the cheap. But, I am a cheapo. I don't rent lands even if it is near free. I don't want to help them on their property taxes. I want them to sell on the cheap.
I am know to pay only on average 25% of the market value and nothing more. That's how bastardy I am. I am also succeeding. A devil is not a fun guy to play with.
The best part is that I am buying a cute little land to plant this marvel this winter. Nice price and I am going to ace it.
The next best part is that I have rented a little 10-acre nursery for $200 per year for the next 10 years. Imagine the fun I am going to get. On top of that, they throw in an alpaca barn farm for free. They simply wants me to rent their premises and occupy it and pay their taxes.
I am now securing the seedlings from the white land to start the game. Hopefully the returns of $20-30k per acre comes true.
On top of that, they wanted me to try to help them build a fresh water fish farm. Nice farmers, nice lands, nice projects.
The last best thing I heard for the day is that many lands are now selling for a song as their parents all died on them (i.e., 1920s-1930s). Over the next 15 years, many more baby boomers have to die and transfer their land holdings to their city-bound kids and most kids can't pay their huge estate taxes and they have no choice but to sell their lands on the cheap to pay for their taxes.
This is how good the news over the day.
Today every white is having a dying parent with huge land reserves and they all smiled at me hoping to find me renting their lands on the cheap. But, I am a cheapo. I don't rent lands even if it is near free. I don't want to help them on their property taxes. I want them to sell on the cheap.
I am know to pay only on average 25% of the market value and nothing more. That's how bastardy I am. I am also succeeding. A devil is not a fun guy to play with.
Friday, 30 May 2014
b.Size of Houses
The last part is here: Exploration - Town Planning
I just visited Malacca Jonker Walk. Inside there, there were many Peranakan houses. The houses were very long. Usually each house has at least 2 air wells. Two houses were linked back to back with a toilet separating them. I truly wondered how they can clear their shit during shit clearance. My estimate is that they are about 130 ft long and 25 ft wide. Their staircases are unique and rather decorative. At the top of the stairs, it was normally sealed by closing a hatch. In a few occasions, these houses are combined into 50 ft wide or even 100 ft wide.
I have a theory.
Each lot in the white land is usually 50 ft x 140 ft. It usually has a single dwelling house, built-up is usually 1,600 sf (one or two storey). Some have 2 lots side-by-side, i.e., 100 ft x 140 ft. So I guess the fucken definition of 15,000 sf as a good class bungalow is referring to these double lots.
When these single lots are divided into 2 x 25 ft x 140 ft. This becomes rather tiny. So they built them into linked houses. Peranakan houses fell into this class of dwelling.
It is extremely uncomfortable if the dwelling house is made up of 2 storeys. So it should be considered that a proper dwelling house must not have stairs.
When the double lots expand further into 200 ft x 140 ft. It is about slightly more than 1/2 acre in land size. I would consider this house as ordinary. A properly sized single-storey dwelling house can then be built.
I, on the other hand, am interesting in building - 四合院. I would like to emulate the great court of Trinity College, Cambridge.
The Great Court Run
Great Court, with (from left to right) the dining hall, Master's Lodge, fountain, clock tower, chapel and Great Gate The Great Court Run is an attempt to run round the 400-yard perimeter of Great Court (approximately 367 m), in the 43 seconds of the clock striking twelve. Students traditionally attempt to complete the circuit on the day of the Matriculation Dinner. It is a rather difficult challenge: one needs to be a fine sprinter to achieve it, but it is by no means necessary to be of Olympic standard, despite assertions made in the press.
It is widely believed that Sebastian Coe successfully completed the run when he beat Steve Cram in a charity race in October 1988. Sebastian Coe's time on 29 October 1988 was reported by Norris McWhirter to have been 45.52 seconds, but it was actually 46.0 seconds (confirmed by the video tape), while Cram's was 46.3 seconds. The clock on that day took 44.4 seconds (i.e. a "long" time, probably two days after the last winding) and the video film confirms that Coe was some 12 metres short of his finish line when the fateful final stroke occurred. The television commentators were more than a little disingenuous in suggesting that the dying sounds of the bell could be included in the striking time, thereby allowing Coe's run to be claimed as successful.
One reason Olympic runners Cram and Coe found the challenge so tough is that they started at the middle of one side of the Court, thereby having to negotiate four right-angle turns. In the days when students started at the corner, only three turns were needed.
Until the mid-1990s, the run was traditionally attempted by first-year students, at midnight following their Matriculation Dinner. Following a number of accidents to drunk undergraduates running on slippery cobbles, the college now organises a more formal Great Court Run, at 12 noon on the day of Matriculation Dinner: the challenge is only open to freshers, many of whom compete in fancy dress.
The lawn is about 2 acres in size. Very manageable.
A nice 四合院 has always been my dream.
I just visited Malacca Jonker Walk. Inside there, there were many Peranakan houses. The houses were very long. Usually each house has at least 2 air wells. Two houses were linked back to back with a toilet separating them. I truly wondered how they can clear their shit during shit clearance. My estimate is that they are about 130 ft long and 25 ft wide. Their staircases are unique and rather decorative. At the top of the stairs, it was normally sealed by closing a hatch. In a few occasions, these houses are combined into 50 ft wide or even 100 ft wide.
I have a theory.
Each lot in the white land is usually 50 ft x 140 ft. It usually has a single dwelling house, built-up is usually 1,600 sf (one or two storey). Some have 2 lots side-by-side, i.e., 100 ft x 140 ft. So I guess the fucken definition of 15,000 sf as a good class bungalow is referring to these double lots.
When these single lots are divided into 2 x 25 ft x 140 ft. This becomes rather tiny. So they built them into linked houses. Peranakan houses fell into this class of dwelling.
It is extremely uncomfortable if the dwelling house is made up of 2 storeys. So it should be considered that a proper dwelling house must not have stairs.
When the double lots expand further into 200 ft x 140 ft. It is about slightly more than 1/2 acre in land size. I would consider this house as ordinary. A properly sized single-storey dwelling house can then be built.
I, on the other hand, am interesting in building - 四合院. I would like to emulate the great court of Trinity College, Cambridge.
The Great Court Run
Great Court, with (from left to right) the dining hall, Master's Lodge, fountain, clock tower, chapel and Great Gate The Great Court Run is an attempt to run round the 400-yard perimeter of Great Court (approximately 367 m), in the 43 seconds of the clock striking twelve. Students traditionally attempt to complete the circuit on the day of the Matriculation Dinner. It is a rather difficult challenge: one needs to be a fine sprinter to achieve it, but it is by no means necessary to be of Olympic standard, despite assertions made in the press.
It is widely believed that Sebastian Coe successfully completed the run when he beat Steve Cram in a charity race in October 1988. Sebastian Coe's time on 29 October 1988 was reported by Norris McWhirter to have been 45.52 seconds, but it was actually 46.0 seconds (confirmed by the video tape), while Cram's was 46.3 seconds. The clock on that day took 44.4 seconds (i.e. a "long" time, probably two days after the last winding) and the video film confirms that Coe was some 12 metres short of his finish line when the fateful final stroke occurred. The television commentators were more than a little disingenuous in suggesting that the dying sounds of the bell could be included in the striking time, thereby allowing Coe's run to be claimed as successful.
One reason Olympic runners Cram and Coe found the challenge so tough is that they started at the middle of one side of the Court, thereby having to negotiate four right-angle turns. In the days when students started at the corner, only three turns were needed.
Until the mid-1990s, the run was traditionally attempted by first-year students, at midnight following their Matriculation Dinner. Following a number of accidents to drunk undergraduates running on slippery cobbles, the college now organises a more formal Great Court Run, at 12 noon on the day of Matriculation Dinner: the challenge is only open to freshers, many of whom compete in fancy dress.
The lawn is about 2 acres in size. Very manageable.
A nice 四合院 has always been my dream.
Thursday, 29 May 2014
b.Return on Capital
The last part is here: Return From Powerful Retreat
During my most recent sabbatical, I have learned one very important point: Return on Capital is vulgar only if there are restrictions to the game. Otherwise, it is very normally grim.
Some of the investments I have gotten has a return of 5-8 years. To achieve such a great return requires lots of finesse. I must say it was a cooperative effort that came out very fine. The return on capital was stable and non-volatile. The sums involved were also not very large, mostly manageable bite-sizes, which is great for piece-meal engagement.
Even the coming restaurant share investment is also rather bite-size. So it would have made my original premise of not borrowing from the bank possible.
Now is summer time, the land deals in white land is stiff. Summer time is a time where deals are struck as they were able to see and feel their purchases. Speaking from experience, I always without fail would fall in love with the properties I visit. I used to scold Chrysanthemum about her falling in love with the properties she visited. Truly I was no better. So I would give it a short break. Come winter, the deals would have sweetened themselves. Why? In winter, people are less like to travel. If the sellers are desperate for cash, the deals would be better. Now in the shopping malls, more stores are closed and not replaced. Frequently, these voids were not filled till a year later. It is very painful for the whites. Recently they reopened the flooding gates for more immigrants, hoping to reduce their pain.
As the word implies, I am currently torn between investing more cash into businesses or fixed assets. A fine balance is needed. With the recessionary pressures at their greatest, fixed assets are burning and great deals are everywhere. I am simply spoilt for choice. But, business investments must still have to be ongoing, else these businesses will take forever to fruit.
I am holding 50-50 view over the two investment choices.
People management
This remains extremely tricky to me. Most of the people I engaged were cunning and useless. But, therein lie a few gems. These gems interestingly did yield an overall benefit. Just one gem would have make up for the lost time and money invested in 10 other useless assholes. So it is quite profitable. Just be wary of unusual leeches. They come in all shapes and sizes.
During my most recent sabbatical, I have learned one very important point: Return on Capital is vulgar only if there are restrictions to the game. Otherwise, it is very normally grim.
Some of the investments I have gotten has a return of 5-8 years. To achieve such a great return requires lots of finesse. I must say it was a cooperative effort that came out very fine. The return on capital was stable and non-volatile. The sums involved were also not very large, mostly manageable bite-sizes, which is great for piece-meal engagement.
Even the coming restaurant share investment is also rather bite-size. So it would have made my original premise of not borrowing from the bank possible.
Now is summer time, the land deals in white land is stiff. Summer time is a time where deals are struck as they were able to see and feel their purchases. Speaking from experience, I always without fail would fall in love with the properties I visit. I used to scold Chrysanthemum about her falling in love with the properties she visited. Truly I was no better. So I would give it a short break. Come winter, the deals would have sweetened themselves. Why? In winter, people are less like to travel. If the sellers are desperate for cash, the deals would be better. Now in the shopping malls, more stores are closed and not replaced. Frequently, these voids were not filled till a year later. It is very painful for the whites. Recently they reopened the flooding gates for more immigrants, hoping to reduce their pain.
As the word implies, I am currently torn between investing more cash into businesses or fixed assets. A fine balance is needed. With the recessionary pressures at their greatest, fixed assets are burning and great deals are everywhere. I am simply spoilt for choice. But, business investments must still have to be ongoing, else these businesses will take forever to fruit.
I am holding 50-50 view over the two investment choices.
People management
This remains extremely tricky to me. Most of the people I engaged were cunning and useless. But, therein lie a few gems. These gems interestingly did yield an overall benefit. Just one gem would have make up for the lost time and money invested in 10 other useless assholes. So it is quite profitable. Just be wary of unusual leeches. They come in all shapes and sizes.
Tuesday, 27 May 2014
a.The Generations Game - A Worked Example
The last part is here: Capital - How did It All Begin
The news is here: Penang Monthly - Migrate for What
A short excerpt:
... For migrants who came to Australia back in the 1960s, the 1970s or even the 1980s, their decision to migrate would have benefitted them much more than if they were to do it today. Back in those days, Malaysia was still not adequately developed, modernised and industrialised. Foreign direct investments, education and infrastructure were definitely a far cry from today’s standards. Particularly for the average Malaysian professional, his or her work would have been much more richly rewarded in Australia than back home.
If a Sudanese or Afghan were to migrate to Australia today, then I can say with almost absolute certainty that their lives will be better off. But today’s Malaysians had better think twice. Jobs are moving in big numbers from Australia to Asia; Australian educational institutions are failing many of their own students, with many schools (even public ones) turning to attracting more students from China, Korea and other Asian countries for financial reasons; drug-related crimes and schoolyard bullying are becoming more rampant; and the total cost of income support (i.e. welfare) payment has now (as of 2014) topped A$70bil a year.
These trends and developments are here to stay, and the shift of fortune from the West to the East is an irreversible one. Investor Jim Rogers frequently remarked that if you were smart in 1807, you would go to London, if you were smart in 1907, you would go to New York, but if you were smart in 2007, you would go to Asia. (In 2007, Rogers moved his entire family to Singapore.)
So I wonder, why on earth are we still leaving Malaysia? What are we actually running away from? While most of us think that we are running away from some potential or real political threat, the actual fact might well be that we are running away from some real lifetime opportunities! With market saturation and an ageing population in the EU, US, Australia, New Zealand, Japan and China, the Asean region, with its population size, relatively young median age and richness in natural resources, is poised to grow like never before. ...
Interesting read. These people are still trying to time the market.
There is no such thing as timing the market. One would get lucky once a while. Just like in the casino, one can ride a 25-times BIG roll of dice. But, the curtains would fall one day, the dice would go the other way. Every great city would meet its demise, so would one empire.
If one must time the market, then if one judges that there is no hope in a turn-around. Just pack the bags and move. Which is true in the case of that fuckened little island. No resource, no future, no intelligence and still dare to suck my cock. Disgusting.
10 years is too short an example to a generations game. Even 20 years, my acquaintance is planning to return to her ex-home country. I am not helping her to stay even if I am just new to the game. Why? Too frequently mere acquaintances take dim looks of new immigrants. They felt that the new migrants must feed the older migrants or the older migrants feeding the locals, otherwise, the locals would have voted the government-of-the-day out. I am into packed hunting. Not only in business, also in gals. Co-operation is a powerful tool to deploy.
Let's take a look at Australia's opportunities (I am a blur-fuck in Australia's opportunities, but I am willing to try understanding her from the outside):
I do understand why muds left mudland due to the madhatter. Now that with ahJip kor in charge, things are super rosy. People are now tempted to return. Nothing wrong, just be invested in both countries lor. Better, globally. One can never tell when is the next mass exodus.
Yes. I finally got it. There is indeed a timing issue in the generations game, i.e., be early. Wow ... what a revelation. But, 30 years can recover this mistake, i.e., once you reach 30 years in migration, you are classified as early. Nice.
Always remember that fuckened mafia boss was a Baba-Nyonya. So don't play with him on that little island, now that he is strong. Wait for him to go, then replay the generations game again lor. One has all the time in the world lah. Do battle using extended families mah.
The news is here: Penang Monthly - Migrate for What
A short excerpt:
... For migrants who came to Australia back in the 1960s, the 1970s or even the 1980s, their decision to migrate would have benefitted them much more than if they were to do it today. Back in those days, Malaysia was still not adequately developed, modernised and industrialised. Foreign direct investments, education and infrastructure were definitely a far cry from today’s standards. Particularly for the average Malaysian professional, his or her work would have been much more richly rewarded in Australia than back home.
If a Sudanese or Afghan were to migrate to Australia today, then I can say with almost absolute certainty that their lives will be better off. But today’s Malaysians had better think twice. Jobs are moving in big numbers from Australia to Asia; Australian educational institutions are failing many of their own students, with many schools (even public ones) turning to attracting more students from China, Korea and other Asian countries for financial reasons; drug-related crimes and schoolyard bullying are becoming more rampant; and the total cost of income support (i.e. welfare) payment has now (as of 2014) topped A$70bil a year.
These trends and developments are here to stay, and the shift of fortune from the West to the East is an irreversible one. Investor Jim Rogers frequently remarked that if you were smart in 1807, you would go to London, if you were smart in 1907, you would go to New York, but if you were smart in 2007, you would go to Asia. (In 2007, Rogers moved his entire family to Singapore.)
So I wonder, why on earth are we still leaving Malaysia? What are we actually running away from? While most of us think that we are running away from some potential or real political threat, the actual fact might well be that we are running away from some real lifetime opportunities! With market saturation and an ageing population in the EU, US, Australia, New Zealand, Japan and China, the Asean region, with its population size, relatively young median age and richness in natural resources, is poised to grow like never before. ...
Interesting read. These people are still trying to time the market.
There is no such thing as timing the market. One would get lucky once a while. Just like in the casino, one can ride a 25-times BIG roll of dice. But, the curtains would fall one day, the dice would go the other way. Every great city would meet its demise, so would one empire.
If one must time the market, then if one judges that there is no hope in a turn-around. Just pack the bags and move. Which is true in the case of that fuckened little island. No resource, no future, no intelligence and still dare to suck my cock. Disgusting.
10 years is too short an example to a generations game. Even 20 years, my acquaintance is planning to return to her ex-home country. I am not helping her to stay even if I am just new to the game. Why? Too frequently mere acquaintances take dim looks of new immigrants. They felt that the new migrants must feed the older migrants or the older migrants feeding the locals, otherwise, the locals would have voted the government-of-the-day out. I am into packed hunting. Not only in business, also in gals. Co-operation is a powerful tool to deploy.
Let's take a look at Australia's opportunities (I am a blur-fuck in Australia's opportunities, but I am willing to try understanding her from the outside):
- Cities - Her cities are not as crowded as the Asian's, hence, they stand a great chance to win if one is early. That fuckened little island did talk about famous katong laksa. Overnight 4 stores competed in the exact same location for the customers. Today only one left. Dense cities are not for the faint-hearted. Try your hands in Chinese cities, one would be eaten whole without much of a second glaze from the predator's neighbours.
- Glass Ceilings - Of cos there are glass ceilings. Tell me frankly, how many non-Chinese dine in Chinese restaurants here and overseas. Zero! How many Japanese or Koreans can one spot in a Chinese restaurants? Please. How many non-Chinese staff can one see in a Chinese restaurant's kitchen? The conclusion: Every business are owned and operated by their kinship, make no mistake. Even in my work, I employed no non-Chinese even though all my work involved the whites and white agents.
- Property Investments - White properties are way cheaper but appreciate much slower. First, one must start with a house home. After that, investment houses for passive returns. After that, lands for long term potential. Malaysian properties are super nice. I can't finish enjoying each of them. But, so are the white properties.
- Businesses - Not easy to start but once started, it is easy to sustain. 30 years is a good investment.
- Employments - Nothing wrong with that. But one needs to start young. If reach the white shores at 40-50yo, then be prepared to reinvest the money that one's gotten or ill-gotten from ex-home country to plant the first seeds.
- Back Doors - I always keep a back door for myself. I am still fully invested in the ex-home country and her neighbours. I am still doing passive incomes from each and every asset in my command. Over time, these assets might deteriorate due to lack of care. Minding them occasionally will bring them up once more.
- Generations Games - Bring forth the next generations to fulfill key business positions in the own business structure. Let them fail and guard them to better success than the parents.
- Intellectually Dumb - There is a need to be intellectually dumb. Never question why but just do the jobs. In the Malaysians' case, they allowed their anger for lack of opportunities in their ex-home country to cloud their visions. They like to do total in and total out. Yes. Total in and total out are grand moves. These are showy steps. Admired by all. But, yield very little results. The mantra is Things Take Time.
- Education - Educating kids are not the job of the school but that of the parents. There is no such thing as good school but good parenting.
I do understand why muds left mudland due to the madhatter. Now that with ahJip kor in charge, things are super rosy. People are now tempted to return. Nothing wrong, just be invested in both countries lor. Better, globally. One can never tell when is the next mass exodus.
Yes. I finally got it. There is indeed a timing issue in the generations game, i.e., be early. Wow ... what a revelation. But, 30 years can recover this mistake, i.e., once you reach 30 years in migration, you are classified as early. Nice.
Always remember that fuckened mafia boss was a Baba-Nyonya. So don't play with him on that little island, now that he is strong. Wait for him to go, then replay the generations game again lor. One has all the time in the world lah. Do battle using extended families mah.
Saturday, 24 May 2014
b.Land - Another Worked Example
The last part is here: Bank Lelong (Auction)
I had a very interesting conversation with Tiramisus Queen today. As mentioned before, she came to white land for a good 30 years. She now owns a nice little chain of stores and lives in a huge bungalow. She just bought 4 houses priced around $400k each last year, with down payments ranging from 20% to 35%. Her instalments are less than $1k monthly each but rented at $2.5k or more, giving her a net cashflow position of $1-$1.5k each each month all the time. Now she is intending to let go if needed at $500k or more to the right buyers. She already had the buyers. She said that with these positive cashflows, she can steam-roll for more.
A recent discussion with a blood relation yielded that she might go on doubling up, which will increase the risk much more.
The return-on-investment (income over capital) is $2.5k x 12 / $400k = 7.5% or 13.3 years to recover the full capital. Hehehe ... even my worst performing properties took only 8 years or less or 12.5% or more. The only difference I don't gear, hence, I have less flexibility in property types. Because I am so cheapo, my investments normally double in less than a year.
She was sad that at my age, I am still working on my primary businesses. Each of my businesses are uncertain and takes at least 10 years or more to fruit. It is too slow. She suggested instead why don't I be like her and join her to invest in properties in white land. She said it is easy and she trusts me. I smiled.
I am very happy for her.
Hehehe ... She didn't realise that for the better of 30 years she had slogged hard and quiet. She cried every single phone call she made to China. Now I felt that she needed to show to the world that she has indeed arrived. Well ... she did arrive. I am very happy for her.
My Comments (This is not meant to degrade her investment returns, but rather to debate the other side of the same coin):
How about deploying a middle-of-the-road strategy? By gearing at 50% (i.e., loan from bank at 50% loan quantum)? No way, the recession bites normally at below 50%, the banks would force-sale at 20% of the original value. There is no escape. Better don't try.
I had a very interesting conversation with Tiramisus Queen today. As mentioned before, she came to white land for a good 30 years. She now owns a nice little chain of stores and lives in a huge bungalow. She just bought 4 houses priced around $400k each last year, with down payments ranging from 20% to 35%. Her instalments are less than $1k monthly each but rented at $2.5k or more, giving her a net cashflow position of $1-$1.5k each each month all the time. Now she is intending to let go if needed at $500k or more to the right buyers. She already had the buyers. She said that with these positive cashflows, she can steam-roll for more.
A recent discussion with a blood relation yielded that she might go on doubling up, which will increase the risk much more.
The return-on-investment (income over capital) is $2.5k x 12 / $400k = 7.5% or 13.3 years to recover the full capital. Hehehe ... even my worst performing properties took only 8 years or less or 12.5% or more. The only difference I don't gear, hence, I have less flexibility in property types. Because I am so cheapo, my investments normally double in less than a year.
She was sad that at my age, I am still working on my primary businesses. Each of my businesses are uncertain and takes at least 10 years or more to fruit. It is too slow. She suggested instead why don't I be like her and join her to invest in properties in white land. She said it is easy and she trusts me. I smiled.
I am very happy for her.
Hehehe ... She didn't realise that for the better of 30 years she had slogged hard and quiet. She cried every single phone call she made to China. Now I felt that she needed to show to the world that she has indeed arrived. Well ... she did arrive. I am very happy for her.
My Comments (This is not meant to degrade her investment returns, but rather to debate the other side of the same coin):
- Gearing: This is one very important lesson. In a booming market, all is well. But, once it fails, say 1986, 1997 or 2008, all must die. The rental will disappear. The fire sale by bank is 20% of its original value. Why I know, you asked? Well ... I was at the receiving end in a not-too-long-ago past.
- Margin: Every time one trades, there are commissions and legal fees payable. That's why although I did made quite a killing in the stock-and-shares booming market, I lost much more on the way down (The house (brokerage) always wins).
- Buying New: Almost all honkies, fuckies, mudlanders or chinamen love to buy new properties. The margin of error is very low indeed as compared to buying oldies. Only buying oldies can give a capital-return of 5 years or less.
- Bank Loan: Banks are never our friend. They are vicious. As long as there are economic growth, notice they make record profits. How can a bank always make record profits from loans alone. These record profits must come from the loan repayments. Who? Us !!! How can we give record profits to the banks? If we give record profits to the banks, we must not be making record profits ourselves. It just can't. Some may argue unless we make record profits ourselves, else we can't give record profits to the banks. True. If we too make record profits, it must therefore comes from the tenants. If the tenants give us record profits, then they must not be making record profits themselves. What if the tenants make record profits too in order to give us, the landlords, record profits. It must then come from consumers. Somewhere somehow would not be making record profits in order that the others may make record profits. This is definitely not sustainable. Sad.
- Boom-and-bang: Every boom must end with a bang and vice-versa.
How about deploying a middle-of-the-road strategy? By gearing at 50% (i.e., loan from bank at 50% loan quantum)? No way, the recession bites normally at below 50%, the banks would force-sale at 20% of the original value. There is no escape. Better don't try.
Thursday, 22 May 2014
b.Many a Big Project
The last part is here: Longevity Businesses
I have been questioned by a blood relation: Have I spread myself too thin involving in so many huge projects?
The answer is NO. I have too much unspent energy. So much so that not every project occupies my entire time. During the gaps, I have to fill it with something. The best part is that the projects I needed them to move quickly frequently ended up the slowest and don't really eat up too much of my time. For those unexpected progresses, they usually yield very pleasant results. For the unexpected delays, because I don't borrow, they normally ended up okay by a mile. Some things are best handled in slower time cycles.
Take for example: I took a long road trip up to the Siam border. The key performance indicator is I should take notes on the swiftlets' paths. Along the way, I reviewed both housed properties and vacant lands. Based on common assessment, running a birdhouse is more challenging than buying a human house. I need to source for proper birdhouse plans before I can build and hope like hell I can harvest. Since this birdhouse project needs further discussion on expertise requirement. I have no choice but to hold it back till I can get a better visibility. Luckily I do review houses along the way. The purchase of human houses now taken a forefront. This showed how fun it is to have multiple concurrent projects. Just when I thought human houses are boring, they jumped started my fun. Now these houses can be purchased and minimally fixed and immediately rentable. Why? You asked. Well, my earlier house purchase was finally fixed after one solid year. Immediately I had neighbours plying my door everyday asking me to release the rental unit to them. They don't mind negotiating on the rental once I am okay to rent. My investment has started returning immediately. What a fun way of employing cash. In very short years, my capital would have returned completely, with free freehold properties in my name.
Cashflow Android Game: I just replayed the Kiyo's little game. His premise is that one should invest in cashflow property game as soon as possible. In normal times, this is a perfect game plan. But, one has forgotten that every 10-20 years, there would be a tsunami playing one's ass. Since this game plan takes at least 20 years to realise, one's ass would have been torn to bits. So it is not easy to win in this cashflow in a simpleton manner. I played the game by trying to buy properties cash. Kiyo punished me for being conservative and slow to react. Next I buy only properties that have at least 50% returns. Again Kiyo punished me by giving very slow cycle returns. If by simply playing kiyo's cashflow game, one gets ahead, then truly there would be no more poor bastards.
I have been questioned by a blood relation: Have I spread myself too thin involving in so many huge projects?
The answer is NO. I have too much unspent energy. So much so that not every project occupies my entire time. During the gaps, I have to fill it with something. The best part is that the projects I needed them to move quickly frequently ended up the slowest and don't really eat up too much of my time. For those unexpected progresses, they usually yield very pleasant results. For the unexpected delays, because I don't borrow, they normally ended up okay by a mile. Some things are best handled in slower time cycles.
Take for example: I took a long road trip up to the Siam border. The key performance indicator is I should take notes on the swiftlets' paths. Along the way, I reviewed both housed properties and vacant lands. Based on common assessment, running a birdhouse is more challenging than buying a human house. I need to source for proper birdhouse plans before I can build and hope like hell I can harvest. Since this birdhouse project needs further discussion on expertise requirement. I have no choice but to hold it back till I can get a better visibility. Luckily I do review houses along the way. The purchase of human houses now taken a forefront. This showed how fun it is to have multiple concurrent projects. Just when I thought human houses are boring, they jumped started my fun. Now these houses can be purchased and minimally fixed and immediately rentable. Why? You asked. Well, my earlier house purchase was finally fixed after one solid year. Immediately I had neighbours plying my door everyday asking me to release the rental unit to them. They don't mind negotiating on the rental once I am okay to rent. My investment has started returning immediately. What a fun way of employing cash. In very short years, my capital would have returned completely, with free freehold properties in my name.
Cashflow Android Game: I just replayed the Kiyo's little game. His premise is that one should invest in cashflow property game as soon as possible. In normal times, this is a perfect game plan. But, one has forgotten that every 10-20 years, there would be a tsunami playing one's ass. Since this game plan takes at least 20 years to realise, one's ass would have been torn to bits. So it is not easy to win in this cashflow in a simpleton manner. I played the game by trying to buy properties cash. Kiyo punished me for being conservative and slow to react. Next I buy only properties that have at least 50% returns. Again Kiyo punished me by giving very slow cycle returns. If by simply playing kiyo's cashflow game, one gets ahead, then truly there would be no more poor bastards.
Sunday, 16 February 2014
b.Longevity as a Religion
The last part is here: Longevity Businesses
I apologize for not being able to blog as frequently as I wanted to. There are simply too many physical world things that I need to take care of.
Nowadays I have accumulated quite a follower-ship of believers. They now just sit quietly by my side and listen intently to my preaches.
I guess this is how Jesus started it all. First, talked cock and then, suddenly he found that people do listen to his cock-and-bull stories. But, as time went by, his cock-and-bull stories cannot hold his audience anymore. He started to dish out his mythology cock god father. Everything he claimed he did, he did it for his father. If there were any mistakes, it was his own, but, his father in heaven would have corrected him in time and he would be rewarded beyond this world.
After a while, even this cock-and-mythology also cannot hold the audience further. He went for the final suggestion that he is god reincarnated. If he had lived, he would probably have to go on further to more bullshit, after his execution at age 33.
I am now in the stage where everyone wants to jump onto this longevity wagon. They literally want to listen more. My appointments for longevity talk are filling up fast. Just today, at one stage, even the waitresses stopped serving and started to listen attentively, oblivion to their master's calling.
At the end, the waitresses thanked me for enlightening their lives with hope. I smiled. I am on my way to become god.
I apologize for not being able to blog as frequently as I wanted to. There are simply too many physical world things that I need to take care of.
Nowadays I have accumulated quite a follower-ship of believers. They now just sit quietly by my side and listen intently to my preaches.
I guess this is how Jesus started it all. First, talked cock and then, suddenly he found that people do listen to his cock-and-bull stories. But, as time went by, his cock-and-bull stories cannot hold his audience anymore. He started to dish out his mythology cock god father. Everything he claimed he did, he did it for his father. If there were any mistakes, it was his own, but, his father in heaven would have corrected him in time and he would be rewarded beyond this world.
After a while, even this cock-and-mythology also cannot hold the audience further. He went for the final suggestion that he is god reincarnated. If he had lived, he would probably have to go on further to more bullshit, after his execution at age 33.
I am now in the stage where everyone wants to jump onto this longevity wagon. They literally want to listen more. My appointments for longevity talk are filling up fast. Just today, at one stage, even the waitresses stopped serving and started to listen attentively, oblivion to their master's calling.
At the end, the waitresses thanked me for enlightening their lives with hope. I smiled. I am on my way to become god.
Wednesday, 12 February 2014
b.Longevity Businesses
The last part is here: Passion Business I - Trust
I felt sad today. The decision to kill off a poisoned branch is made. Although there is a chance of losing another 5%, I guess I have to do it. Right now, the opponent is trying his best to salvage what's remaining. I had given him more than 3 chances in the past to make good, but he failed to do so. He loved to bully a youngling.
Along the way, I met more proprietors that are willing to go on the longevity wagon. Maybe things may not happen, maybe things might happen. At least, I am not bound by the old issues.
The path towards building longevity has so far been met with great comfort. I just met another proprietor having issue of 气. He was hospitalized for it. He was very excited about the prospect of high-value longevity farming. He proposed ideas of meeting more people in the same interest. He simply wanted to commercialize immediately these longevity concepts. I smiled.
I said if the cost of investment merely managed to make you live longer by 20 years, wouldn't that be sufficient return? Lots of businesses cannot stand the sands of time because the younglings are unable to cope with the continuance of businesses. Say, an old fucken guy in an old fucken island, if he had a choice of living another 20 years, his fucken younglings wouldn't be so hapless. This fucken would have owned the entire enterprise for a long, long time to come.
He finally understood my longevity idea. He now understand that if we ourselves cannot be old fuckens, how dare we preach longevity to others. If what we believed, works. Then, we need not even be trading it. It could be used as a weapon against all odds. A business brewed for another 20 more years under the same stewardship would be scary to our opponents. Imagine you char kway teow, instead of 20-80 years (60 years), it is 20-100 years (80 years), who can hope to punish you in your arena. The last 20 years is to kill off the succeeding younglings of the competition in one single stroke.
The thought is simply mind-blowing.
Another proprietor showed me 2 canisters of honey which she declared of high value. I said that two canisters can't even hope to complete one bottle of mead. She swallowed hard. She had prevented even her kins to consume it like sugar. Imagine what life-giving would a well-fermented and aged bottle of mead will do to her health? She was floored.
I told her. Even with great daily exercises, it is still insufficient to have longevity. One must consume daily supplements. Some of these essential supplements are so expensive that only the kings and queens find them cheap enough, hence, the only way is to get at them is to farm them on a continuous basis.
After she listened to my list of supplements and how I intend to farm them all in all parts of the world. She agreed that she will help me to the fullest.
I smiled.
I felt sad today. The decision to kill off a poisoned branch is made. Although there is a chance of losing another 5%, I guess I have to do it. Right now, the opponent is trying his best to salvage what's remaining. I had given him more than 3 chances in the past to make good, but he failed to do so. He loved to bully a youngling.
Along the way, I met more proprietors that are willing to go on the longevity wagon. Maybe things may not happen, maybe things might happen. At least, I am not bound by the old issues.
The path towards building longevity has so far been met with great comfort. I just met another proprietor having issue of 气. He was hospitalized for it. He was very excited about the prospect of high-value longevity farming. He proposed ideas of meeting more people in the same interest. He simply wanted to commercialize immediately these longevity concepts. I smiled.
I said if the cost of investment merely managed to make you live longer by 20 years, wouldn't that be sufficient return? Lots of businesses cannot stand the sands of time because the younglings are unable to cope with the continuance of businesses. Say, an old fucken guy in an old fucken island, if he had a choice of living another 20 years, his fucken younglings wouldn't be so hapless. This fucken would have owned the entire enterprise for a long, long time to come.
He finally understood my longevity idea. He now understand that if we ourselves cannot be old fuckens, how dare we preach longevity to others. If what we believed, works. Then, we need not even be trading it. It could be used as a weapon against all odds. A business brewed for another 20 more years under the same stewardship would be scary to our opponents. Imagine you char kway teow, instead of 20-80 years (60 years), it is 20-100 years (80 years), who can hope to punish you in your arena. The last 20 years is to kill off the succeeding younglings of the competition in one single stroke.
The thought is simply mind-blowing.
Another proprietor showed me 2 canisters of honey which she declared of high value. I said that two canisters can't even hope to complete one bottle of mead. She swallowed hard. She had prevented even her kins to consume it like sugar. Imagine what life-giving would a well-fermented and aged bottle of mead will do to her health? She was floored.
I told her. Even with great daily exercises, it is still insufficient to have longevity. One must consume daily supplements. Some of these essential supplements are so expensive that only the kings and queens find them cheap enough, hence, the only way is to get at them is to farm them on a continuous basis.
After she listened to my list of supplements and how I intend to farm them all in all parts of the world. She agreed that she will help me to the fullest.
I smiled.
Sunday, 9 February 2014
b.Passion Business I - Trust
The last part is here: Passion Business I - Taste
The time has come to decide on trust. The factory is ready. The deals are struck. The labourers are few but capable.
Many opinions have suggested against the new partnership. I think so too.
As in all deals, there would be good parts and bad parts. If the bad parts weigh over the good parts, I guess the decision would be easy. If the weightage is balanced, then the decision making is also easy, just abandon the deal. It is hard if the majority of the deal is good, but with a few bad major parts.
My current decision point is this partnership is weak. But, the greater good part is that I will have company. I guess I need to be strong. Very strong.
Tomorrow would be the day of reckoning. I will have to decide on the issue of trust.
It is ok that I go at it alone. There was nothing in the past of me and there is nothing in front of me. So why be so concerned? I have been so alone. I don't need to be so concerned about loneliness. Yes. Loneliness is sad. Loneliness is draining. Loneliness eats the soul. But, why must I be so afraid? Loneliness is just a state of mind.
Warmth may be a super tempting commodity at all times. But, I needed a trusted partner not someone whom I have to guard against always.
If tomorrow is indeed a good day to negotiate, I will drop all pretence and ask for the one important question - trust.
If the answer is truth, I will go forth with this partnership. Else, I will plot my separation and severence.
I have walked this question of trust before. I shall walk once more.
It is very interesting that now that I have spoken about it, I felt so much better in dealing with it. Thank you.
The time has come to decide on trust. The factory is ready. The deals are struck. The labourers are few but capable.
Many opinions have suggested against the new partnership. I think so too.
As in all deals, there would be good parts and bad parts. If the bad parts weigh over the good parts, I guess the decision would be easy. If the weightage is balanced, then the decision making is also easy, just abandon the deal. It is hard if the majority of the deal is good, but with a few bad major parts.
My current decision point is this partnership is weak. But, the greater good part is that I will have company. I guess I need to be strong. Very strong.
Tomorrow would be the day of reckoning. I will have to decide on the issue of trust.
It is ok that I go at it alone. There was nothing in the past of me and there is nothing in front of me. So why be so concerned? I have been so alone. I don't need to be so concerned about loneliness. Yes. Loneliness is sad. Loneliness is draining. Loneliness eats the soul. But, why must I be so afraid? Loneliness is just a state of mind.
Warmth may be a super tempting commodity at all times. But, I needed a trusted partner not someone whom I have to guard against always.
If tomorrow is indeed a good day to negotiate, I will drop all pretence and ask for the one important question - trust.
If the answer is truth, I will go forth with this partnership. Else, I will plot my separation and severence.
I have walked this question of trust before. I shall walk once more.
It is very interesting that now that I have spoken about it, I felt so much better in dealing with it. Thank you.
Saturday, 8 February 2014
b.孫子兵法 (虛實篇第六) (Chapter 6 - 1) (Part 29)
The last part is here: 孫子兵法 (兵勢篇第五) (Chapter 5 - 4) (Part 28)
虛實篇
孫子曰:凡先處戰地而待敵者佚,後處戰地而趨戰者勞。故善戰者, 致人而不致于人。
能使敵自至者,利之也﹔能使敵不得至者,害之也。故敵佚能勞之, 飽能飢之,安能動之。
出其所不趨,趨其所不意。行千里而不勞者,行于無人之地也。攻而 必取者,攻其所不守也。守而必固者,守其所不攻也。
故善攻者,敵不知其所守。善守者,敵不知其所攻。
微乎微乎,至于無形,神乎神乎,至于無聲,故能為敵之司命。
進而不可御者,沖其虛也﹔退而不可追者,速而不可及也。故我欲戰 ,敵雖高壘深溝,不得不與我戰者,攻其所必救也﹔我不欲戰,雖畫 地而守之,敵不得與我戰者,乖其所之也。
故形人而我無形,則我專而敵分﹔我專為一,敵分為十,是以十攻其 一也,則我眾而敵寡﹔能以眾擊寡者,則吾之所與戰者,約矣。吾所 與戰之地不可知,不可知,則敵所備者多,敵所備者多,則吾之所戰 者,寡矣。
故備前則後寡,備後則前寡,故備左則右寡,備右則左寡,無所不備 ,則無所不寡。寡者備人者也,眾者使人備己者也。
故知戰之地,知戰之日,則可千里而會戰。不知戰之地,不知戰之日 ,則左不能救右,右不能救左,前不能救後,後不能救前,而況遠者 數十里,近者數里乎?
以吾度之,越人之兵雖多,亦奚益于勝敗哉?!
故曰:勝可為也。敵雖眾,可使無鬥。 故策之而知得失之計,作之而知動靜之理,形之而知死生之地,角之 而知有餘不足之處。
故形兵之極,至于無形﹔無形,則深間不能窺,智者不能謀。
因形而錯勝于眾,眾不能知﹔人皆知我所以勝之形,而莫知吾所以制 勝之形。故其戰勝不復,而應形于無窮。
夫兵形象水,水之形避高而趨下,兵之形,避實而擊虛,水因地而制 流,兵應敵而制勝。故兵無常勢,水無常形,能因敵變化而取勝者, 謂之神。
故五行無常勝,四時無常位,日有短長,月有死生。
Let's continue ...
孫子曰:凡先處戰地而待敵者佚,後處戰地而趨戰者勞。故善戰者,
致人而不致于人。
能使敵自至者,利之也﹔能使敵不得至者,害之也。故敵佚能勞之,
飽能飢之,安能動之。
出其所不趨,趨其所不意。行千里而不勞者,行于無人之地也。攻而
必取者,攻其所不守也。守而必固者,守其所不攻也。
故善攻者,敵不知其所守。善守者,敵不知其所攻。
微乎微乎,至于無形,神乎神乎,至于無聲,故能為敵之司命。
Some translation suggested:
Sun Tzu said: Whoever is first in the field and awaits the coming of the enemy, will be fresh for the fight; whoever is second in the field and has to hasten to battle will arrive exhausted. Therefore the clever combatant imposes his will on the enemy, but does not allow the enemy's will to be imposed on him. By holding out advantages to him, he can cause the enemy to approach of his own accord; or, by inflicting damage, he can make it impossible for the enemy to draw near. If the enemy is taking his ease, he can harass him; if well supplied with food, he can starve him out; if quietly encamped, he can force him to move. Appear at points which the enemy must hasten to defend; march swiftly to places where you are not expected. An army may march great distances without distress, if it marches through country where the enemy is not. You can be sure of succeeding in your attacks if you only attack places which are undefended.You can ensure the safety of your defense if you only hold positions that cannot be attacked. Hence that general is skillful in attack whose opponent does not know what to defend; and he is skillful in defense whose opponent does not know what to attack. O divine art of subtlety and secrecy! Through you we learn to be invisible, through you inaudible; and hence we can hold the enemy's fate in our hands.
Moran: Sun Tzu said: It is always the case that those who first occupy the battlefield and await arrival of the enemy have ample time on their hands, whereas those who arrive later and must scramble to engage will endure toil. 【PEM: Note that the ideal situation for meeting the enemy may be a pass or other such opening leading to an open space where a strongly shielded ambush has been laid.】
So those who are good at warfare will draw in the enemy and will not permit themselves to be drawn in by the enemy. If one is able to cause the enemy to arrive, that is done by offering him some benefit. If one is able to cause the enemy to be unable to arrive, that is done by offering him injuries. 【PEM: The Sichuan Basin was one part of China that was never conquered by the Japanese during World War II. The reason was that Sichuan was entirely surrounded by mountains except for the water route provided by the Yangtze River. The water flow was very rapid, and the sides of the channel were precipitous. Therefore any forces trying to enter would have had to to go upstream and through miles of ambushing forces on higher ground.】
So if the enemy is at ease one can cause him to toil, if he is well fed, one can cause him hunger, and if at rest one can cause him to have to be on the move. [ To do so,] appear out of the places to which the enemy must hasten to defend, and hasten to the places where you will not be expected. Those who go for a thousand li without toil are those who pass through areas where there are no people. 【PEM: During the Pacific campaign in World War II, one prominent motto (associated with General MacArthur) was: "Hit 'em where they ain't!" Well defended islands were not attacked, but were cut off from being resupplied. Poorly defended islands were captured when useful to the Allies for any purpose. Otherwise, the fleet moved through the open waters.】
In cases where one must succeed in an attack, strike the points at which the enemy has no defenses. In cases where one must firmly defend a position, defend a position that the enemy will not attack. 【PEM: Peaks are easily defended. With preparation, mountains can be hollowed out to provide living spaces for entire armies.】
So in the case of those who are good at attack, their enemies will not know where their defenses ought to be located. And in the case of those who are good at defense, the enemy will not know where they ought to attack. 【PEM: One of the difficulties in guerrilla warfare is that insurgents disappear among the ordinary farmers and other citizens. They have no fortress to attack, no camps to overrun. One alternative to highly concentrated emplacements in mountains and man-made fortifications is to disperse troops so widely that no one point of attack is better than any other. Between these extremes are defenses such as the tunnels constructed by the Vietcong that were hard to find, and sometimes so extensive that defenders could leave by another portal when attackers made entry at any point. This strategy is probably millions of years old. Some trapdoor spiders maintain parallel vertical tunnels, one with the "front door" covered by a carefully constructed plug-like, hinged door, and the other, joined to the first by a short horizontal tunnel with its own door near the bottom and a false top such that the spider would need to dig the last bit through to the surface to escape via the second tunnel.】
Subtle, oh subtle, to the point of being formless. Spirit-like, oh spirit-like, to the point of being inaudible. Thereby one is able to function as the grim reaper of the enemy.
This chapter is about false and real.
孫子曰﹕ Sun Tzu said:
凡先處戰地而待敵者佚,後處戰地而趨戰者勞。: If one occupies the battlefield first and awaits the arrival of the enemy relaxes, whereas if one arrives later and scrambles to engage toils.
故善戰者,致人而不致於人也。: Therefore, a good general directs the enemy and not the other way round.
能使敵自至者,利之也﹔ To direct the enemy, offer him bait.
能使敵不得至者,害之也。: To not attract the enemy, offer him damage.
故敵佚能勞之,飽能飢之,安能動之。: Therefore, if the enemy is resting, toil him; if well-fed, hunger him; if at peace, disturb him.
出其所必趨,趨其所不意。: Stay in places where the enemy must hasten to defend, and hasten to places where the enemy must not expect.
行千里而不勞者,行於無人之地也。: To travel a thousand li and not feel toiled is to pass through areas where there are no defence.
攻而必取者,攻其所不守也。: To attack and win is to attack places where the enemy does not defend.
守而必固者,守其所不攻也。: To defend and survive is to defend places where the enemy does not risk attacking.
故善攻者,敵不知其所守。善守者,敵不知其所攻。: Therefore, if a good general attacks, the enemy would not know where to defend. If a good general defends, the enemy would not know where to attack.
微乎微乎,至於無形;神乎神乎,至於無聲,故能為敵之司命。: Subtle, oh subtle, to the point of being formless. Spirit-like, oh spirit-like, to the point of being inaudible. Thereby, one is able to function as the grim reaper of the enemy.
Sun Tzu stated in his first chapter in his Art of War is that 兵者,詭道也。Basically, this entire chapter explained the beauty of deceit and termed it the true path to success in warfare.
Sun Tzu suggested that you must arrive at the battle ground early and make preparation. Move thy enemy using bait, but not be tempted nor moved otherwise. Attack the enemy when there is no defence, defend when the enemy has no attack. If the enemy is happy make him sad, if the enemy is sad, made him happy. Be formless and silent always, kill the enemy with the grim reaper.
In business, I also agreed that deceit is the key to success. Sun Tzu had thus far suggested numerous of times that deceit is the way to go. I would like to express a word of caution here. It is not a problem if you are strong to use deceit, because winning is only natural for a stronger force. Therefore, using deceit and trickery is to minimize cost of attack. But, if you are weaker comparatively, using deceit would not be advisable. Concentrate your forces and bear the brunt of the main enemy force truthfully, only then will you have a chance to survive the attack. Do not be swayed by the deceit of the enemy.
In the 48 laws of power, it was also stated in the law 3 that one should not reveal the intention, i.e., be deceitful. In fact, many laws were derived from Sun Tzu's Art of War. So this is a circular argument.
Throughout my dealings in business, I noticed that even at partner level, the partners still probe me for information that will make them break free from my strategic influence. I don't like it. I have expressed no intention to play them out. But yet, they fear me. I am way too strong a potion for their liking. It is both a curse and blessing. A curse because I felt being tested all the time. Blessing because I always formed part of their future equation.
At the end, I still believe I stand by my own conviction - my weapon-of-choice is still honesty. With honesty, it is near impossible for enemy to employ deceit on me. They will fall flat in their face.
From the above Sun Tzu's piece, I concluded that to survive completely, one must dig in at places where the enemy can never attack. This, I believe, I have achieved to some extent for one of my business-types. I am currently not venerable to attacks, but, I need to keep shoring up my defence to ensure absoluteness in power.
My current business-types can survive a thousand years each. Hence, it is near impossible for my enemy to dig me that easily. Take for example, my ginseng farm (passion business II), right now there are already more than 3 strong investors wanting to come in. But, I didn't confirm with them as I feel that to be my partner, one has to show honesty. Only with honesty can we grow our business for a thousand years. I have land, I have a good partner-in-crime, I have money, I have contacts to make the channels and I have great ginseng seeds suppliers. I have absolutely no problem, but, I have not one thing - time. I need opt - other people's time.
My hands are also tied in some business-types, for example, cryptocurrency (passion business VII). My partner-in-crime stated categorically that this business-type is out-of-bound to all other partners. Although the business-type worth $200trn might take a good 20 years to mature, he is willing to wait and he is not willing to share. I understand where he's coming from. We both owe it to ourselves that we are 千古河山棋一局,是真名士自风流。
虛實篇
孫子曰:凡先處戰地而待敵者佚,後處戰地而趨戰者勞。故善戰者, 致人而不致于人。
能使敵自至者,利之也﹔能使敵不得至者,害之也。故敵佚能勞之, 飽能飢之,安能動之。
出其所不趨,趨其所不意。行千里而不勞者,行于無人之地也。攻而 必取者,攻其所不守也。守而必固者,守其所不攻也。
故善攻者,敵不知其所守。善守者,敵不知其所攻。
微乎微乎,至于無形,神乎神乎,至于無聲,故能為敵之司命。
進而不可御者,沖其虛也﹔退而不可追者,速而不可及也。故我欲戰 ,敵雖高壘深溝,不得不與我戰者,攻其所必救也﹔我不欲戰,雖畫 地而守之,敵不得與我戰者,乖其所之也。
故形人而我無形,則我專而敵分﹔我專為一,敵分為十,是以十攻其 一也,則我眾而敵寡﹔能以眾擊寡者,則吾之所與戰者,約矣。吾所 與戰之地不可知,不可知,則敵所備者多,敵所備者多,則吾之所戰 者,寡矣。
故備前則後寡,備後則前寡,故備左則右寡,備右則左寡,無所不備 ,則無所不寡。寡者備人者也,眾者使人備己者也。
故知戰之地,知戰之日,則可千里而會戰。不知戰之地,不知戰之日 ,則左不能救右,右不能救左,前不能救後,後不能救前,而況遠者 數十里,近者數里乎?
以吾度之,越人之兵雖多,亦奚益于勝敗哉?!
故曰:勝可為也。敵雖眾,可使無鬥。 故策之而知得失之計,作之而知動靜之理,形之而知死生之地,角之 而知有餘不足之處。
故形兵之極,至于無形﹔無形,則深間不能窺,智者不能謀。
因形而錯勝于眾,眾不能知﹔人皆知我所以勝之形,而莫知吾所以制 勝之形。故其戰勝不復,而應形于無窮。
夫兵形象水,水之形避高而趨下,兵之形,避實而擊虛,水因地而制 流,兵應敵而制勝。故兵無常勢,水無常形,能因敵變化而取勝者, 謂之神。
故五行無常勝,四時無常位,日有短長,月有死生。
Let's continue ...
孫子曰:凡先處戰地而待敵者佚,後處戰地而趨戰者勞。故善戰者,
致人而不致于人。
能使敵自至者,利之也﹔能使敵不得至者,害之也。故敵佚能勞之,
飽能飢之,安能動之。
出其所不趨,趨其所不意。行千里而不勞者,行于無人之地也。攻而
必取者,攻其所不守也。守而必固者,守其所不攻也。
故善攻者,敵不知其所守。善守者,敵不知其所攻。
微乎微乎,至于無形,神乎神乎,至于無聲,故能為敵之司命。
Some translation suggested:
Sun Tzu said: Whoever is first in the field and awaits the coming of the enemy, will be fresh for the fight; whoever is second in the field and has to hasten to battle will arrive exhausted. Therefore the clever combatant imposes his will on the enemy, but does not allow the enemy's will to be imposed on him. By holding out advantages to him, he can cause the enemy to approach of his own accord; or, by inflicting damage, he can make it impossible for the enemy to draw near. If the enemy is taking his ease, he can harass him; if well supplied with food, he can starve him out; if quietly encamped, he can force him to move. Appear at points which the enemy must hasten to defend; march swiftly to places where you are not expected. An army may march great distances without distress, if it marches through country where the enemy is not. You can be sure of succeeding in your attacks if you only attack places which are undefended.You can ensure the safety of your defense if you only hold positions that cannot be attacked. Hence that general is skillful in attack whose opponent does not know what to defend; and he is skillful in defense whose opponent does not know what to attack. O divine art of subtlety and secrecy! Through you we learn to be invisible, through you inaudible; and hence we can hold the enemy's fate in our hands.
Moran: Sun Tzu said: It is always the case that those who first occupy the battlefield and await arrival of the enemy have ample time on their hands, whereas those who arrive later and must scramble to engage will endure toil. 【PEM: Note that the ideal situation for meeting the enemy may be a pass or other such opening leading to an open space where a strongly shielded ambush has been laid.】
So those who are good at warfare will draw in the enemy and will not permit themselves to be drawn in by the enemy. If one is able to cause the enemy to arrive, that is done by offering him some benefit. If one is able to cause the enemy to be unable to arrive, that is done by offering him injuries. 【PEM: The Sichuan Basin was one part of China that was never conquered by the Japanese during World War II. The reason was that Sichuan was entirely surrounded by mountains except for the water route provided by the Yangtze River. The water flow was very rapid, and the sides of the channel were precipitous. Therefore any forces trying to enter would have had to to go upstream and through miles of ambushing forces on higher ground.】
So if the enemy is at ease one can cause him to toil, if he is well fed, one can cause him hunger, and if at rest one can cause him to have to be on the move. [ To do so,] appear out of the places to which the enemy must hasten to defend, and hasten to the places where you will not be expected. Those who go for a thousand li without toil are those who pass through areas where there are no people. 【PEM: During the Pacific campaign in World War II, one prominent motto (associated with General MacArthur) was: "Hit 'em where they ain't!" Well defended islands were not attacked, but were cut off from being resupplied. Poorly defended islands were captured when useful to the Allies for any purpose. Otherwise, the fleet moved through the open waters.】
In cases where one must succeed in an attack, strike the points at which the enemy has no defenses. In cases where one must firmly defend a position, defend a position that the enemy will not attack. 【PEM: Peaks are easily defended. With preparation, mountains can be hollowed out to provide living spaces for entire armies.】
So in the case of those who are good at attack, their enemies will not know where their defenses ought to be located. And in the case of those who are good at defense, the enemy will not know where they ought to attack. 【PEM: One of the difficulties in guerrilla warfare is that insurgents disappear among the ordinary farmers and other citizens. They have no fortress to attack, no camps to overrun. One alternative to highly concentrated emplacements in mountains and man-made fortifications is to disperse troops so widely that no one point of attack is better than any other. Between these extremes are defenses such as the tunnels constructed by the Vietcong that were hard to find, and sometimes so extensive that defenders could leave by another portal when attackers made entry at any point. This strategy is probably millions of years old. Some trapdoor spiders maintain parallel vertical tunnels, one with the "front door" covered by a carefully constructed plug-like, hinged door, and the other, joined to the first by a short horizontal tunnel with its own door near the bottom and a false top such that the spider would need to dig the last bit through to the surface to escape via the second tunnel.】
Subtle, oh subtle, to the point of being formless. Spirit-like, oh spirit-like, to the point of being inaudible. Thereby one is able to function as the grim reaper of the enemy.
This chapter is about false and real.
孫子曰﹕ Sun Tzu said:
凡先處戰地而待敵者佚,後處戰地而趨戰者勞。: If one occupies the battlefield first and awaits the arrival of the enemy relaxes, whereas if one arrives later and scrambles to engage toils.
故善戰者,致人而不致於人也。: Therefore, a good general directs the enemy and not the other way round.
能使敵自至者,利之也﹔ To direct the enemy, offer him bait.
能使敵不得至者,害之也。: To not attract the enemy, offer him damage.
故敵佚能勞之,飽能飢之,安能動之。: Therefore, if the enemy is resting, toil him; if well-fed, hunger him; if at peace, disturb him.
出其所必趨,趨其所不意。: Stay in places where the enemy must hasten to defend, and hasten to places where the enemy must not expect.
行千里而不勞者,行於無人之地也。: To travel a thousand li and not feel toiled is to pass through areas where there are no defence.
攻而必取者,攻其所不守也。: To attack and win is to attack places where the enemy does not defend.
守而必固者,守其所不攻也。: To defend and survive is to defend places where the enemy does not risk attacking.
故善攻者,敵不知其所守。善守者,敵不知其所攻。: Therefore, if a good general attacks, the enemy would not know where to defend. If a good general defends, the enemy would not know where to attack.
微乎微乎,至於無形;神乎神乎,至於無聲,故能為敵之司命。: Subtle, oh subtle, to the point of being formless. Spirit-like, oh spirit-like, to the point of being inaudible. Thereby, one is able to function as the grim reaper of the enemy.
Sun Tzu stated in his first chapter in his Art of War is that 兵者,詭道也。Basically, this entire chapter explained the beauty of deceit and termed it the true path to success in warfare.
Sun Tzu suggested that you must arrive at the battle ground early and make preparation. Move thy enemy using bait, but not be tempted nor moved otherwise. Attack the enemy when there is no defence, defend when the enemy has no attack. If the enemy is happy make him sad, if the enemy is sad, made him happy. Be formless and silent always, kill the enemy with the grim reaper.
In business, I also agreed that deceit is the key to success. Sun Tzu had thus far suggested numerous of times that deceit is the way to go. I would like to express a word of caution here. It is not a problem if you are strong to use deceit, because winning is only natural for a stronger force. Therefore, using deceit and trickery is to minimize cost of attack. But, if you are weaker comparatively, using deceit would not be advisable. Concentrate your forces and bear the brunt of the main enemy force truthfully, only then will you have a chance to survive the attack. Do not be swayed by the deceit of the enemy.
In the 48 laws of power, it was also stated in the law 3 that one should not reveal the intention, i.e., be deceitful. In fact, many laws were derived from Sun Tzu's Art of War. So this is a circular argument.
Throughout my dealings in business, I noticed that even at partner level, the partners still probe me for information that will make them break free from my strategic influence. I don't like it. I have expressed no intention to play them out. But yet, they fear me. I am way too strong a potion for their liking. It is both a curse and blessing. A curse because I felt being tested all the time. Blessing because I always formed part of their future equation.
At the end, I still believe I stand by my own conviction - my weapon-of-choice is still honesty. With honesty, it is near impossible for enemy to employ deceit on me. They will fall flat in their face.
From the above Sun Tzu's piece, I concluded that to survive completely, one must dig in at places where the enemy can never attack. This, I believe, I have achieved to some extent for one of my business-types. I am currently not venerable to attacks, but, I need to keep shoring up my defence to ensure absoluteness in power.
My current business-types can survive a thousand years each. Hence, it is near impossible for my enemy to dig me that easily. Take for example, my ginseng farm (passion business II), right now there are already more than 3 strong investors wanting to come in. But, I didn't confirm with them as I feel that to be my partner, one has to show honesty. Only with honesty can we grow our business for a thousand years. I have land, I have a good partner-in-crime, I have money, I have contacts to make the channels and I have great ginseng seeds suppliers. I have absolutely no problem, but, I have not one thing - time. I need opt - other people's time.
My hands are also tied in some business-types, for example, cryptocurrency (passion business VII). My partner-in-crime stated categorically that this business-type is out-of-bound to all other partners. Although the business-type worth $200trn might take a good 20 years to mature, he is willing to wait and he is not willing to share. I understand where he's coming from. We both owe it to ourselves that we are 千古河山棋一局,是真名士自风流。
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