Monday, 21 December 2015

Do I Pump and Dump ?

What Game Am I Playing ?

Author: Icon8888   |   Publish date: Mon, 21 Dec 2015, 12:51 PM 

1. kk123's Grievances

On Friday, I wrote about Comintel. It generated a big hoo haa.

One forum member, kk123, launched a scathing attack on me. He / she suspected that my intention was to pump and dump. (In return, I suspect that he / she is just being sour grape, ha ha).

(kk123 gave me an earful)

So, what is the truth ? What is actually in Icon8888's mind ?

2. I Don't Pump and Dump

First of all, let me declare in unequivocal term that I don't pump and dump.

Why ? If my intention is not to pump and dump, why am I spending so much time and efforts to blog ? Am I acting out of "Noble Intention To Help People To Make Money" ?

Yes and no.

I don't pump and dump because of the following reasons :-

(a) Pump and Dump is Risky
You collect the stocks and anticipate the article to stir up a lot of interest so that you can unload. What happen if the article is not well received ? You will get stuck with the stocks.

(b) Pump and Dump is Emotionally Taxing 
It is unpleasant holding on to tonnes of crap stocks. You have to constantly worry about your scheme turning sour.  

(c) There Is A Limit On How Many Times You Can Do It
You can pump and dump once or twice. After a few rounds, people will notice. They will dump you (pun intended).

(d) Pump And Dump Is Small Money
If you have been in the market long enough, you will agree with me that big money is not made by monkeying around with three year old kids. Big money is made when you commit huge capital on quality stocks, and those stocks thrive.

(e) Pump and Dump Not Compatible With My Game Plan
What is my game plan ? Please read on.

3. Building A Brand

In the 1950s, household electronic items became increasingly common.

During that time, products were engineered by manufacturers TO FAIL. They made careful calculations to ensure that after a certain period of time, the products will fail and need to be replaced. They did that to generate more sales in the future.

However, very soon, they realised that this strategy was flawed. A better way to generate profit is to go the other direction - improves the quality so that YOU CAN BUILD A BRAND.

A strong brand came with many benefits. I don't intend to go into details here. If you are interested, please google for it or fish out some management textbooks.

4. My Game Plan ?

My game plan is NOT to have a game plan.

I want to build a brand. However, I have no intention to monetise it. I don't even know what to do with it.

You won't see Icon8888 coming out in the future to invite you to subscribe for investment advice. Icon8888 will also not ask you to join his Small Cap Funds. Only highly indebted young punks like paperplane will do that.

During one of my chit chats with Uncle Koon in 2014 (before he went into exile, or in Cantonese, "Jeok Chou"), I asked him how he spent his days ? He told me he wakes up early in the morning, write some articles, and later on take a nap in the afternoon.

In Uncle Koon's words "... enjoy a quiet afternoon ..."

That is all I want.

5. How My Articles Affect You

When kk123 Pearl Harboured me yesterday, certain forum members came out to defense me. They said they have in several occasions benefited from my articles.

What role did my articles play ? Am I a Santa Claus that puts money in your pockets ? 

Given a choice, I wouldn't want to be associated with any financial gain people made out of my articles. Because I also don't want people to blame me if they lose money. All I want is to enjoy a quiet afternoon.   

My articles did not cause you to make money. What causes you to make money is the Public Listed Companies that you invest in.

I am nothing but a tour guide that introduces you to a good restaurant. The restaurant is responsible for delivering you a good set of meal.

This year (2015), many people made money from Lii Hen, Poh Huat, Hevea, etc. The main reason they made money is because those companies kept on delivering good profit, causing share price to go up and up.

Lii Hen, Poh Huat and Hevea didn't go up because some bloggers wrote about it. 

In this regard, I wouldn't want to claim too much credits.


As an armchair analyst, I have my limitations. There is no guarantee that the stocks I wrote about will not go belly up. BUY AT YOUR OWN RISK.

Thank you.

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