OIG Meeting October 4th

This week at OIG we had a brief review of stock and investment basics. Some of the major points we covered are:

What is a stock

Equity financing

Common stock and preferred stock

Determinants of stock prices

Reading stock ticker

Market and industry

Useful tools in stock analysis and stock concepts

It might seem ambitious to absorb all of these in one meeting. I am sure many of you have heard of at least one of the terms which we talked about while there are also many other terms that still seem alien to you. Please drop Yufan or me an email if you need a copy of the PowerPoint that we used.

We also reviewed the performance of EROC, a stock we have been holding for a while. Some of the board members proposed to sell it since we have already met our target profit of 35%. However, some of you argued that energy stock prices general rise during the winter when the demand is high for oil. We reviewed the past trend and it seemed to be the case. At the end, we decided to stick to EROC until after January to see how it goes.

Whole Foods, the stock that we bought last week, has been down a little. However, we are not too worried about that because it is a value stock that we want to hold on to for a longer period of time. Sasha proposed in a recent board meeting that we should set some rules to allocate our investments to different industries. Right now we only set target goals for some of the stocks we pick, like EROC. Please share with us your thoughts on this in the next meeting.

Also, welcome back from Fall Break! Hope you all enjoyed a great vacation and are ready for OIG again! If you have not yet signed up for the New York Trip, please drop a message to Sasha. The seats are extremely limited. We will be visiting Morgan Stanley and J.W. Bristol this time on November 5th, Friday.

Questions? Leave me a comment.:)