istock

Wednesday, November 24, 2010

The Market Ahead!

Hi guys, if you had read the Business Times today, the headlines would have read Chinese buyers are getting aggressive. My sources tell me that they will be buying more stuff here. Watch out for them as I had indicated in my blog entry earlier this year. Their appetite for risk is enormous and the tremendous global liquidity means they have capacity to buy.

With the Chinese government clamping down on their home ground and Hong Kong adopting rather drastic measures, well Singapore seems like rather cheap to them. The cooling measures adopted by the Singapore government seems to have limited impact as transactions are still very healthy. So what holds for the future?

Liquidity has to find a home and it seems like Asia is the place to be. The global balance of economic power seems to favour this part of the world as China seeks to firm up its global voice. Fund flows are coming into this part of the world. However, you will need to balance out the fact that if European and US assets gets too cheap, this hot money can easily exit as well.

For now, I am rather bullish for the next 6 months as there are so many parties scrambling to buy assets. The Korean attacks, Irish bailout, and other incidents seems to be rather minor blips. The assets to be looking at right now seems to be prime landed properties and commercial property. For condos, the only asset class I like is what I shared with you in class.

Till the next blog, Take care!

Your Friend,
Andy Ong
24/11/10

Tuesday, November 16, 2010

Spot On for Asian Property Trends!

Hi guys, surprised that I back so soon? Read the papers and you will know I have been absolutely spot on with my reading of the property trends. The triple whammy of low interest rates, competitive devaluation and political events both local and foreign will make things very interesting for the real estate markets.

I have advised you to focus on enbloc deals and such deals are slowly but surely making their way in to the markets. My course in November is absolutely sold out and over subscribed. I need to hank you for referring all your friends into this program.

The next course will be my third last course, and it will be conducted in January, so see you then!

Your Friend

Andy Ong
16/11/10

Just back from the cold!

Hi guys, I just came back from Bangkok and Seoul. I nearly froze my butts when I was there. I am planning rather big projects in both cities. Of course, you will know course otherwise, I will not be flying there. One of my long lost friends emailed me after reading this blog. She asked if I’m busy and whether I’m getting married soon.I told her I need to find a wife first haha! Work has been hectic and when you have over 1000 relying on you to make a living, well you have to soldier on.

Many thanks for your congratulatory messages after reading the Business Times. I can only thank you for giving me courage and strength to push on with our projects. I am rather excited as this will be a new first for me. Many of you actually asked me when ERC will be listing. We already fulfilled the listing criteria some time ago but we have to ponder our options. It is a little scary to carry the burden of being a listed entity.

Anyway I just thought of thanking you, our friends for all your well wishes.


Your Friend always,
Andy Ong

15/11/10

Monday, November 8, 2010

Uncle Sam just pushed property prices up!

Hi guys! We just made the front page of Business Times today with our acquisition of Prime Centre. I was pleasantly surprised as we just completed the transaction last Thursday when I was in Beijing.

For those of you who have been following this blog, I made the prediction a couple of months ago that the government’s cooling measures will have little impact on prices and I have been right. Prices have not come down and in fact, have been slowly inching up.

Why the continued optimism? Its all because of Uncle Sam. The European and US Federal Reserve has been printing tons of money. What we dubbed QE2 in reality is the Western nations trying to export its problems to Asia. All this money will be flowing into Asia like a tidal wave. Why? Who in their right mind will want to hold US dollar denominated assets when the currency is depreciated at such an alarming rate.

This is tantamount to kicking yourself in the ass. If I have free or cheap money, I will be buying Asian assets. At the very minimum, if I do not lose money, I would have made from the currency angle. Thus many fund managers will be using US denominated loans to buy Asian stocks or property.

There will be asset price inflation over the next six months because there is SO much liquidity in the market right now and so few assets for sale. I did not just snap up Prime Centre, I also bought a freehold landed property at Bt Timah over the weekend too. Prices are still reasonable, and they will not be so reasonable over the nest few months.

In fact, Uncle Sam just gave me an extra push for my property portfolio. So for all you out there, don’t say I did not give you advance warning! Go get some assets that I told you to buy in class!

Your Friend,
Andy Ong

09/11/10