Ep747: Chong Ser Jing – Pay Attention to What Drives Business Results

<p><strong>BIO: </strong>Chong Ser Jing is the Portfolio Manager and Co-Founder of Compounder Fund, an investment fund that invests in stocks around the world.</p><p><strong>STORY:</strong> In October 2010, Ser Jing bought six stocks. Two of these were companies in the oil industry. By the time he was selling these stocks, he had a loss of 77% and 31% from the two companies, respectively.</p><p><strong>LEARNING:</strong> Some sectors may not be worth investing in because they tend to historically generate poor returns on invested capital. Pay careful attention to the drivers of a company’s business results. Understand the difference between internal and external drivers.</p><p>&nbsp;</p><blockquote class="ql-align-center"><strong>“There are companies whose business fortunes do not depend on the price movement of commodities. And then there are those who do. That’s a really important distinction.”</strong></blockquote><blockquote class="ql-align-center">Chong Ser Jing</blockquote><p>&nbsp;</p><h2>Guest profile</h2><p><a href="https://www.linkedin.com/in/serjing-investor/" rel="noopener noreferrer" target="_blank"><strong>Chong Ser Jing</strong></a> is the Portfolio Manager and Co-Founder of <a href="https://compounderfund.com/" rel="noopener noreferrer" target="_blank">Compounder Fund</a>, an investment fund that invests in stocks around the world. Ser Jing graduated with an engineering degree in 2012, but having been bitten by the investing bug since he was in his late teens, he decided to pursue investing as a career. From January 2013 to October 2019, Ser Jing served in Motley Fool Singapore as a writer as well as a co-leader of the investing team. One of his career highlights with Fool Singapore was to help its flagship investment newsletter outperform a global stock market benchmark by nearly 2x over a 3.5-year period. Besides running Compounder Fund today with his co-founder Jeremy Chia, both of them also have an investing blog, The Good Investors, where they share their thoughts about investing and life.</p