Frank Comments by Dennis Ng on various Topics

[Dennis Ng]

Hi All,

Just to add on my thinking, which may be contradicting...on 2nd thought if one buy agriculture index and hoping the price goes up that will means we are anticipating the food price will go high up as well. when that happens, what will happen to many people? not mentioning the less fortunate ones.

then you can buy gold or silver instead to protect against inflation instead of agricultural index/futures.

[Dennis Ng]

The previous week, my book "What Your School Never Taught You About Money" dropped to No. 7 on the Straits Times Bestseller List. But this week ending 29 Apr 2012, it is back at No. 3 again, what a comeback!

To me, the more books are sold means to me the more people I help, so this is why this matters to me. How I hope one day this book can be distributed world-wide so that it can benefit even more people. Now it is available in Malaysia, which to me is an important step towards this direction.

http://www.mph.com.sg/STBestSellers.pdf

[Dennis Ng]

I gladly met up with Bernadette (she was my facebook friend and also a fellow author of books who has Kok Hwa (a common friend) as our publisher when she asked if I can help to give ideas on how to publicize her book.

When we met, I offered to feature her book on my website and forum (that's one way I quickly can think of to help her) and also suggested that she start writing a e-newsletter as well.

here it is: Fly Free, a book by Bernadette Chua:

http://www.masteryourfinance.com/web/in ... &Itemid=35

She is really a lady of action and really set on applying what I said, ie. starting a e-newsletter and said that she wants to name it the "smile catalyst", each newsletter featuring someone who brings a smile to others...and asked if she can feature me in her inaugural issue of e-newsletter.

Of course I said yes, and she emailed me a list of questions about my "personal life journey" that she hope that I by sharing my answers can help inspire and encourage others. Well, this is something that I really want to do: "inspire and encourage others" and so of course I'm happy to help.

And here it is: the first e-newsletter by Bernardette Chua:

http://www.thedreamcatalyst.com/newslet ... ecatalysts

Bernardette Chua herself is a smile catalyst as well. Anyway, life is so joyous when we all try to bring a smile to others as in the process, we also bring a smile to ourselves.

[Dennis Ng]

What good news can we expect?

It seems like the only significant possible Good News is QE3, everyone is hoping this will happen.

Problem is QE (money printing) is a Pain Killer, it will only relieve the pain for a while, but it does NOT solve the problem.

The problem with the world especially U.S. and Europe is over-borrowing and loss of competitiveness (especially most European countries). These problems were not created in a single year, it's been accumulated and built up over the last 10 to 20 years...

And so far no country has the political will to solve the problem, they only want to postpone the problem till another day, till until they (Politicians) step down from office...the same goes for U.S. President Obama.

Will there be another Global Financial Crisis? I think the question is not will there be is just a matter of When. Believe it or not, it can still happen this year, in year 2012 itself. Believe it or not, I really HOPE it does NOT happen but I think it is inevitable if you realise the Cause of the year 2008 Financial Crisis was Over-borrowing and the "solution" offered by governments all over the world in the last 3 years is Borrow More Money.

Common sense is not uncommon, or unless I cannot think straight or is it a case of people refusing to face up to the Truth?

The Emperor is Naked, it takes a small boy who is innocent enough to only speak the Truth to wake up the Emperor to this fact. My Fear is when the World wake up to the reality, it'll be very bad and they hope it is just a nightmare which will go away once they wake up. But it is NOT a dream, it is going to be harsh reality.

This explains why I "worked" so hard in the last 3 years since May 2009, conducting various seminars including Free weekly Financial Workshops to warn people...and to hope that I can help educate people as much as I can. I published 3 books in 2.5 years (with the same objective as well).

Frankly, various people have different impression of what I do or what I say.

Honestly, I know that my intention of doing and saying is only Good Intention, I have no ill intention at all. I have many shortcomings but one of my strengths is I am willing to speak straight from my heart even knowing that I might offend some people by doing so.

No matter what happens? Be it a Stock Market Rally, a Stock Market Crash, Inflation or Depression, Economic Growth or Recession, I've prepared myself financially and will be alright. I just hope that the last 3 years I have helped in one way or another to enable more people to make the same financial preparations as well.

I know there is room for improvement but I've done what I could, honestly.

[Dennis Ng]

31 May 2011 The Euro Zone is artificially created by 17 countries choosing to "band together". The countries are very different, and some are financially very weak, eg. the PIGS.

The Financially weakest are ranked as follows:

1. Greece
2. Ireland
3. Portugal
4. Spain
5. Italy

So far, 3 out of the 4 PIGS are already in trouble, the good news is these 3 PIGs are "small", in terms of their economies as compared to the whole of Euro Zone.

However, Spain is ranked No. 4 and Italy is ranked No. 3 in terms of size of economy. In my opinion, it is just a matter of time Spain might get into trouble, and when that happens, I think the 2 Richest countries Germany and France might think twice about rescuing Spain and this might lead to the disintegration and break up of Euro Zone.

This is my prediction of what is likely to happen.

Below is an article on Europe Crisis.

Cheers!

Dennis Ng

Fixing Europe credit crisis made harder by the euro

By ROBERT SAMUELSON


IT has come to this. A year after rescuing Greece from default, Europe is staring into the abyss. The bailout has proved insufficient. Greece needs more money, and it can't borrow from private markets where it faces interest rates as high as 25 per cent. But Europe's governments are reluctant to advance more funds unless other lenders - banks, bondholders - absorb some losses by writing down their debts. This, however, would constitute a default, risking a broader banking crisis that might torpedo Europe's fragile recovery in France, Germany and elsewhere. There is no easy escape.


What's called a 'debt crisis' is increasingly a political and social crisis. Looming over the financial complexities is the broader question of the ability - or willingness - of weak debtor nations to endure growing hardship to service their massive government debts. Already, unemployment is at 14.1 per cent in Greece, 14.7 per cent in Ireland, 11.1 per cent in Portugal and 20.7 per cent in Spain. What are the limits of austerity? Steep spending cuts and tax increases do curb budget deficits; but they also create deep recessions, lowering tax revenues and offsetting some of the deficit improvement. Just how long this grinding process can continue is unclear. In Spain, the incumbent socialist party lost big in recent elections. Popular unrest persists in Greece amid signs of a 'resurgence of an anarchist movement' there and elsewhere.

Some causes of Europe's plight are well-known: the harsh recession following the 2008-2009 financial crisis; ageing populations coupled with costly welfare states. But there's also another less recognised culprit: the euro, the single currency now used by 17 countries. Launched in 1999, it aimed to foster economic and political unity. Economic growth would improve. Costly currency conversions would cease; money would flow smoothly across borders to the best profit opportunities. Using euros - and not marks or lira - Germans, Italians and others would increasingly consider themselves 'Europeans'. For a while, it seemed to succeed. In the euro's first decade, jobs in countries using the common currency increased by 16 million.

It was a mirage. The euro helped create the crisis and has made its resolution harder, as a new report from the International Monetary Fund shows. For starters, the euro fostered a credit bubble that led to booms in housing, borrowing and consumer spending. When each country had its own currency, the country's central bank regulated local interest rates and credit conditions. With the euro, the European Central Bank (ECB) assumed that job. But one policy didn't fit all: Interest rates suited to Germany and France were too low for 'periphery' countries (Greece, Ireland, Portugal and Spain).

'Financial markets' - private investors - compounded the problem by assuming that the euro's creation reduced risk. Weak countries would be protected by the strong. Money poured into the periphery countries. There was a huge compression of interest rates. In 1997, rates on 10-year Greek government bonds averaged 9.8 per cent compared to 5.7 per cent for similar German bonds. By 2003, Greek bonds fetched 4.3 per cent, just above the 4.1 per cent of German bonds.

'The markets failed. All this would not have occurred if banks in Germany and France had not lent so much,' says economist Desmond Lachman of the American Enterprise Institute. 'It was like the US housing market.'

Both American and European banks went overboard in relaxing credit standards. Now that the credit bubble has burst, the euro impedes recovery. One way countries revive from financial crises is by depreciating their currencies. This makes exports and local tourism cheaper, creating some job gains that cushion the ill effects of austerity elsewhere. But latched to the euro, Greece and other vulnerable debtors forfeit this safety valve.

Greece's debt is now approaching an unsustainable 160 per cent of its annual economy (gross domestic product). If it defaulted, investors might dump bonds of other weak debtors for fear that they too would default. That could send interest rates soaring and saddle European banks with huge losses. At the end of 2010, Europe's banks had about US$1.3 trillion of loans and investments - both governmental and private - in Greece, Ireland, Spain and Portugal, reports the Institute of International Finance, an industry research group. A banking crisis would imperil economic recovery.

So Europe is playing for time. It's struggling to delay any Greek default long enough for other vulnerable countries to demonstrate they can handle their debts. The very process makes the euro - contrary to original intent - a source of contention, as nations shift blame and costs to others. Given Europe's huge debts, even the holding action may fail. It may merely postpone a broader crisis. 'They may dodge this bullet,' says Mr Lachman, 'but not the next.' - The Washington Post Writers Group

[Dennis Ng]

6 Jul 2011 by Dennis Ng:

More information on Buckminster Fuller, whom I consider as having a Major influence on me and how I think and live my life, other than Andrew Carnegie and Napoleon Hill.

http://en.wikipedia.org/wiki/Buckminster_Fuller

Buckminster Fuller:"problem is society has confused Money as Wealth. Money is NOT Wealth.

This leads to the obsession with the phenomena of bigness of money (big numbers)...which will lead to many scandals (including the Global Financial Crisis).

By Playing games with money,the world is downgrading Wealth."

Dennis Ng: Buckminster "saw" in 1981 what would happen in the next 30 years (many scandals and crisis), not becos he can predict, but becos of thinking along Cause and Effect.

Some people wonder how I can "predict" see the failure of QE2 in Oct 2010 before QE 2 was even approved? And they were skeptical when I said in Oct 2010, the next Global Financial Crisis would come probably end 2011 or year 2012.

The answer is similar to Buckminster Fuller, I can so-called "predict" based on analysing Cause and Effect.

I did my own independent thinking, instead of listening to any analysts, these were my thoughts:

QE1 didn't work, thus I see no reason why QE2 would work.

Let me "predict" again, there will be QE3 (whatever form it may come or name they call it), but then again QE3 will also fail and thus trigger the next Global Financial Crisis, possibly in year 2012.

In the next Crisis, again many people would lose half or more of their money, the reason is becos they cannot "see" what is coming, they did NOT prepare for such a possibility (Financial Crisis), so when it happens, it takes them by surprise, they were shocked and unprepared, they would be holding on to investments which drop possibly 30% to 80% in value and wonder why it happen.

[Dennis Ng]

In early Jan 2012, I didn't say that the next Global Financial Crisis will happen by March 2012, that was actually what the TV hosts said. I commented that no one knows the exact timing, but the Next Global Financial Crisis can still happen in year 2012 and even possibly by Jun 2012.

The next Global Financial Crisis is likely to be worse than the year 2008's Crisis, and I explained why in the TV interview on "AM Live!" on Channel News Asia when I was interviewed for what I shared in my latest book "What Your School Never Taught You About Money".

Year 2008 Crisis we basically only have U.S. in trouble, while in the next Crisis we are likely to have BOTH U.S. and Europe in trouble, coupled with economic slowdown in China and Japan, so basically ALL the G4 (the biggest 4 economies of the world) are likely to slowdown or in trouble in the next Crisis, this is is why it is likely to be worse than year 2008's Crisis.

Again, I explained that the Rich have very different idea on Asset Allocation, they have very dynamic Asset Allocation, ie. in 1 year, they can be 70% invested, and in another year, they can have 70% in Cash and only 30% invested, the exact opposite. Most people diversify by investing into Unit Trusts in different countries and regions eg. U.S., Europe, Asia, without realising that when Markets Fall, they call fall together, so no matter which country you invested your money in, you still lose money...

Here's the TV interview:

http://www.youtube.com/watch?v=rL8SK_BqfXQ

[Dennis Ng]

The way I see it is this:the governments all over the world see troubles ahead, but the problem is they do NOT have a solution and they do NOT dare to let their people know that they do NOT have a solution. So most of the governments just merely try to postpone the problem until at least after they step down from office...

I admire our Singapore government because at least they are telling us the problem eg. Singapore aging population and that by year 2030, only 2 working persons to support an elderly retiree... if this happens, guess what will happen to GST rate or income tax rate?

Many people live oblivious to challenges and problems in the future. Ignorance is bliss sometimes, but on the other hand, Ignorance can be very costly as well, many would find lives tougher and they might even lose more than half of their wealth in the Crisis and challenges ahead.

What can help prepare you for the challenges and Crisis ahead is Education and Knowledge, but NOT what they teach you in schools, which by now you should know most of it do NOT work in real life.

Get educated, get knowledge, get it quick, before it is too late.

[Dennis Ng]

the best way to celebrate Vesak Day is to remember the Gift of Buddha, which is to educate people to be enlightened. Buddha simply means an enlightened being. The fact is everyone can be a Buddha, can be enlightened. The situation is most people lead a very unconscious life, the exact opposite of Enlightened.

To be enlightened is having Accurate View and Accurate Knowledge. 正知正见 . Once you 're enlightened, you can see through the many 邪知邪见

Of course, I'm far from being enlightened, but just sharing with you what I know.

Buddhism is NOT actually a religion, but means the Teachings of Buddha, it's education. It's beyond Science, it's beyond Philosophy, It's beyond Ethics, it's the teachings of Truths.

I also observe that many who claim they are buddhists know very little about what Buddhism really is.

[racoon12]

My expression: Buddhism is an art of living.

Many thanks

[Dennis Ng]

My expression: Buddhism is an art of living.

Many thanks

it's more than that. Truly.

[candy_chia]

Hi Dennis, thanks for sharing.

My current knowledge of Buddhism is unfortunately limit to Buddhist studies in Sec school, too shallow.


An explanation of Buddhism:

http://thebuddhistcentre.com/text/what-buddhism

"Buddhism is a path of practice and spiritual development leading to Insight into the True nature of reality. Buddhist practices like meditation are means of changing yourself in order to develop the qualities of awareness, kindness, and wisdom."


Below is an explanation of 正知正见:
http://guoxue.zynews.com/TiZhi/2009/11152.html

To be enlightened is having Accurate View and Accurate Knowledge. 正知正见 . Once you 're enlightened, you can see through the many 邪知邪见

Of course, I'm far from being enlightened, but just sharing with you what I know.

Buddhism is NOT actually a religion, but means the Teachings of Buddha, it's education. It's beyond Science, it's beyond Philosophy, It's beyond Ethics, it's the teachings of Truths.

I also observe that many who claim they are buddhists know very little about what Buddhism really is.

[Dennis Ng]

Hi candy,

what is Buddhism?

Read my posting, it already explains what it is.

Buddhism is NOT actually a religion, but means the Teachings of Buddha, it's education. It's beyond Science, it's beyond Philosophy, It's beyond Ethics, it's the teachings of Truths.

On your sharing, only this portion is true: "Buddhism is a path of practice and spiritual development leading to Insight into the True nature of reality."

One does NOT necessarily need to meditate though to attain insight into reality.

the best way to celebrate Vesak Day is to remember the Gift of Buddha, which is to educate people to be Awakened and Enlightened. Buddha simply means an enlightened being. The fact is everyone can be a Buddha, can be enlightened. The situation is most people lead a very unconscious life, the exact opposite of Enlightened.

Cheers!

Dennis Ng

Hi Dennis, thanks for sharing.

My current knowledge of Buddhism is unfortunately limit to Buddhist studies in Sec school, too shallow.


Cheers!

Dennis Ng

An explanation of Buddhism:

http://thebuddhistcentre.com/text/what-buddhism

"Buddhism is a path of practice and spiritual development leading to Insight into the True nature of reality. Buddhist practices like meditation are means of changing yourself in order to develop the qualities of awareness, kindness, and wisdom."


Below is an explanation of 正知正见:
http://guoxue.zynews.com/TiZhi/2009/11152.html

To be enlightened is having Accurate View and Accurate Knowledge. 正知正见 . Once you 're enlightened, you can see through the many 邪知邪见

Of course, I'm far from being enlightened, but just sharing with you what I know.

Buddhism is NOT actually a religion, but means the Teachings of Buddha, it's education. It's beyond Science, it's beyond Philosophy, It's beyond Ethics, it's the teachings of Truths.

I also observe that many who claim they are buddhists know very little about what Buddhism really is.

[AndrewNg]

Hi Candy,

Happen to chanced upon this message and if you are interested to learn the basics that is applicable for lay people daily practice, the course below offers a useful start.

http://www.basicbuddhism.org/index.cfm?GPID=18

I am currently attending the course and personally find it helpful in managing our state of mind.

regards
Andrew

Hi Dennis, thanks for sharing.

My current knowledge of Buddhism is unfortunately limit to Buddhist studies in Sec school, too shallow.


An explanation of Buddhism:

http://thebuddhistcentre.com/text/what-buddhism

"Buddhism is a path of practice and spiritual development leading to Insight into the True nature of reality. Buddhist practices like meditation are means of changing yourself in order to develop the qualities of awareness, kindness, and wisdom."


Below is an explanation of 正知正见:
http://guoxue.zynews.com/TiZhi/2009/11152.html

To be enlightened is having Accurate View and Accurate Knowledge. 正知正见 . Once you 're enlightened, you can see through the many 邪知邪见

Of course, I'm far from being enlightened, but just sharing with you what I know.

Buddhism is NOT actually a religion, but means the Teachings of Buddha, it's education. It's beyond Science, it's beyond Philosophy, It's beyond Ethics, it's the teachings of Truths.

I also observe that many who claim they are buddhists know very little about what Buddhism really is.

[Dennis Ng]

As you might know, since Feb 2012, every Monday, from 9.30 am to 10 am, I'm on Internet Radio http://www.in988.com with DJ Ning Na 宁娜 (who is also one of my seminar graduate) in a program entitled 一切从理财开始

Good News! This week onwards, every Thursday, from 10 am to 11 am, I'll be on Capital Radio 95.8 FM with DJ Xu Bing 徐冰 on a "Live" Radio program entitled 理财高手. This program started more than 1 month ago, but during that month, it was sponsored by MAS Money Sense program.

Not sure what we'll be discussing this week, as Xu Bing 徐冰 and I have not finalised what to talk about. My only worry is that I might run out of things to talk about...as I've already done a 2-year Radio program with Capital Radio 95.8 FM from year 2003 to year 2005.

Other than these 2 Radio programs, I'm also a columnist for 3 publications, namely My Paper http://www.mypaper.sg (fortnightly on alernate Tue, next article is published tomorrow, which I just finished writing today at 2 pm after I came back home from the Radio program in the morning). I also write for shareinvestment once a month, (next article is published in the coming issue on 12 May 2012)

http://www.sharesinv.com/author/dennis-ng/ - English version

http://www.sharesinv.com/zh/?author=35707 - Chinese version

Last but not least, I also write for Home Buyer, a bi-monthly magazine.

In addition, I also contribute or comment whenever I'm asked to do so for different TV programs (yes, I'll appear in 黄金年华 a few weeks later), newspapers, TV News, etc, etc...

Since Sep 2009, (I've also been contributing articles) to www.imsavvy.sg (a Financial Education website set up by CPF Board), you can read articles written by me here: http://www.cpf.gov.sg/imsavvy/blog.asp?bid=5

The main reason I'm doing all these is to do my part to educate the public, and I'm glad that I'm given many opportunities to do so by various media. (it's again a Real Life example of 心想事成 or Conceive, Believe, Achieve).