H WIN Investment CEO Ha Jae-sung

▲ H WIN Investment CEO Ha Jae-sung

A survey done by the press tells us that most people in their 30s and 40s try to earn extra money on stock investment. The problem, as always, is that individual or novice investors are likely to lose their money due to lack of knowledge and experience. 

Ha Jae-sung felt the need that there should be a guide for these vulnerable investors and thus established H One Investment. Ha points out that as long as they (individual investors) have principle, strategy and appropriate way of investment technique, they can also draw steady profits like professionals. 

In fact, Ha himself is one of the successful individual investors. He started it from 2000 for extra income when he was working for a big company. He then was surprised by observing this extra income surpassing his monthly salary from 2003. 

"What I realized is that stock investment is like a zero-sum game: someone buys high and sells low, and another buys low and sells high, that is stock. The tips I can give you is that you need to find appropriate companies if 'high' is predicted. In other words, buy when high is predicted and sell when low is predicted. It's as simple as it sounds but it is really difficult to put it into practice" says Ha and continues,

"You must not expect too much at your first attempt but be patient to have accumulated your knowledge and knowhow. Start with small amount as you cannot be level-headed if huge money is involved. One thing you should know is that the Korean stock market is hugely influenced by foreigners. Even some organizations take reference of their movement. Likewise, pay attention to their movement and give analysis also to futures and options."

For many individual investors, the timing of buying and selling probably is the most difficult part. Ha advises "You must have confidence on the companies you have put your money on. Do not be afraid of short term low but set up a line of resistance when to buy and when to sell. Take a look at the exchange volume for this."

"For example, if the volume is poor but the price goes up, it means more buying than selling is being made. If the volume bursts out at a high point, this is the right time to sell. You must note, however, that the high point usually calls an adjustment and sometimes significant low in price thereafter affected by the political and market situations."

"I sold mine when the volume, I think, hit the highest point and made it cash. On my calculation, I harvested 69% profit which is really high."

Here is one most commonly cited tip for individual and novice stock investors as well as even the professionals: "Greed and rash speculation lead you to failure". 

Ha says "Make your own goal which is rational at your situation, sell and make it cash when it reached the goal, and start again with the same amount. Stock investment becomes better with practical advice from professionals. If you lose money it means you are doing it wrong way so ask a professional like H One Investment to find the wrong part to make it right." 

H One Investment runs helpful stock investment courses under the principle of pursuing the value of win-win over profit seeking. 

Ha says "There's saying in Korea "a family goes bankrupt by stock investment" while the Americans encourage it. I advise you to do stock investment with just a small amount of money like a hobby or like you are saving money in your bank."

One last tip from Ha "Do not seek fast profits but patient pays well at the end."