Ep44: Mohd Sedek Jantan – Panic Selling When Stocks Fall is Usually a Terrible Idea

Mohd Sedek Jantan is an experienced and highly competent investment professional and financial planner.  He is currently connected with Standard Financial Adviser since June 2014 where he is the Head of Investment & Financial Planning.  He is primarily responsible for managing Corporate and high net worth investment portfolio, investment research and strategy. He is also involved with providing financial strategy and planning for government-linked companies and multinational companies. Mohd Sedek graduated with a Bachelor of Economics (with Honors) from National University Malaysia, and Master of Science in Business Strategy, Leadership, and Change from Heriot-Watt University in Edinburgh, Scotland. He also holds the Islamic Financial Planning Certificate from Islamic Banking & Finance Institute Malaysia (IBFIM).  He is also a Design Thinking Practitioner from Genovasi-Design Thinking School Malaysia.

Get to know Sedek as he narrates his own story in investing and how influence from other people caused him to lose his investments. Understand why it is essential to believe in your investments based on research and logic and get other helpful pieces of advice to reduce your risks. All this and more in this another remarkable story to keep you learning and yearning to win.

 

“Be firm on your decisions.”

Mohd Sedek Jantan

Topics Covered:

00:38 – Andrew gives a brief background of about Sedek

02:31 – Sedek recounts the reasons why he felt competent to invest in stocks of a family business with a strong financial profile and how it ended as his worst investment experience

11:57 – Sharing the lessons he learned

14:15 – Andrew summarizes his take-aways

19:53 – Sedek’s parting advice: “You make a decision to invest because you believe on the investment based on research and logic.

 

Main Takeaways:

Lesson 1: “If the company have a strong financial profile and you believe with the data, never allow other people to influence your decisions.”– Mohd Sedek Jantan

Lesson 2: “People tend to panic when the price has dropped so much unexpected price. And they said, really? They said you make the wrong decision.  And the worst part is after a few months, after few weeks that you find out they said the part is going out.”– Mohd Sedek Jantan

Lesson 3: “In America, one of the things that they warn against is investing in a family business. You should invest in a professionally run business, but my experience in Asia is that in the end, you’re going to be investing with a family in almost every case. And if you’re not, you should be careful because professionally run companies may not have anybody really looking after it. The challenge is you’ve got to invest with the right family.”– Andrew Stotz

Lesson 4: “Cutting loss is another way that some people do it when they manage a portfolio. By saying that there’s some optimal number or percent. Now I’ve done both of these ways, and I can tell you if you do a stop loss, particularly in Asia, you’ll probably be talking about a 20%.”– Andrew Stotz

Lesson 5: “When you hear other people talking about it, either positive or negative, it’s so hard to go against what is saying.  Yet we know that to be a successful investor over a long period of time, you’ve got to build your own story. You’ve got to do your own research and you’ve got to monitor your own stocks.”– Andrew Stotz

Lesson 6: “When the stock price falls or rises, whatever happens, you should go back to your reason and logic about the company. Don’t get caught up in your emotions.”– Andrew Stotz

 

Resources:

Connect with Mohd Sedek Jantan:

Connect with Andrew Stotz:

About the author, Andrew

Dr. Andrew Stotz, CFA is the CEO of A. Stotz Investment Research, a company that provides institutional and high net worth investors with ready-to-invest stock portfolios that aim to beat the benchmark through superior stock selection.

Leave a Comment