I’m going to list down some observations of the stock market crash of 2008. Hopefully next time I’ll make better decisions.

1. Don’t catch falling knives. Wait for the market to bottom first. It’s better to miss the bottom, than getting hurt trying to catch the bottom.

2. Buy blue chips, fundamental counters. Don’t buy second liners, speculative counters. It’s easier to get burned with speculative counters than with fundamental counters.

3. Should transfer money from EPF to mutual funds sooner than later.

4. Buy stocks and hold. Excessive trading leads to high transaction costs, eating into gains.

5. Set a target price, and let Mr Market come to you. Don’t go chasing Mr Market.

6. Consider leveraging up. Make use of Share Margin Financing to borrow and buy shares.