How Much Do You Really Care About OUR Stock Market?

Posted on the chatbox.

• mydreamgetgold: Since our Securities Commission, the Star and NST are all sleeping, Malaysia Today should run a report of possible insider trading by Oilcorp Bhd directors. Recently, Oilcorp was slapped with the PN17 status and its shares tumbled. But before the announcement, its directors had been selling off their holdings relentlessly. Isn't that clear indication of insider trading? Look at the declaration published by Bursa.

Good point Dream!

Problem is... how many of Malaysian stock market 'players' (investors & traders & punters) really care?

Yes!

How much do YOU really care?

And when it comes to OPPORTUNITIES to make money in the market, people tend to forget what had happened before.

Most important is NOW!

How much can I make now?

No one makes money from past history!

Most important is what the stock will do NOW and the NEXT TRADED minute.

Take iCapital. Who will remember what they did early last year? Who will remember? Who cares?

Do you care at all?

Fright Night For Bull Run?

On the UK Telegraph: Bank of America reports $1bn loss as customers struggle to pay bills

• The bank said it had been hit "by continued weakness in the US and global economies and stress on the consumer, which continues to result in high credit costs".

ahem.. continued weakness in the US and global economies.... and STRESS ON THE CONSUMER.

• .. Earlier this week Citigroup and JPMorgan Chase also reported higher loan losses in the third quarter as consumers struggled to keep up with their credit card and mortgage payments.

All is well?

Current bull run JUSTIFIABLE?

Don't ask me.. I know nuthin'

:D

Yeah.. the bears.. they are naysayers.. and despite them giving many, many reasons, the naysayers are 'proven wrong' because the markets keep rising.

Yeah.. how can the naysayers reasoning be justifiable when the markets keep rising?

Is one's reasoning only correct if the market agrees with one's reasoning?

How now?

Selected worthwhile reading: Sumitomo Forecasts Dollar to 50 Yen, End of Dollar as Reserve Currency , SP Weekly Chart Updated and Flamingo, Fright, or Friday?

More On US Housing Outlook

On Bloonberg news: U.S. Foreclosure Filings Jump 23% to Record in Third Quarter

• Oct. 15 (Bloomberg) -- U.S. foreclosure filings climbed to a record in the third quarter as lenders seized more properties from delinquent borrowers, according to RealtyTrac Inc.
  
  A total of 937,840 homes received a default or auction notice or were repossessed by banks, a 23 percent increase from a year earlier, the Irvine, California-based seller of default data said today in a report. One out of every 136 U.S. households received a filing, the highest quarterly rate in records dating to January 2005.
  
  “The problem is prime loans going into foreclosure and people being underwater and losing their jobs,” Richard Green, director of the Lusk Center for Real Estate at the University of Southern California in Los Angeles, said in an interview. “It’s a really bad number.”
  
  Mounting foreclosures mean U.S. home prices probably will resume falling, analysts from Amherst Securities Group LP in New York said Sept. 23. A “shadow inventory” of 7 million properties are in the foreclosure process or likely to be seized, up from 1.27 million in 2005, they said.
  
  The pace of prime and so-called alt-A loan defaults is accelerating as subprime defaults slow, Standard & Poor’s analysts led by Diane Westerback said yesterday in a report. Prime loans are those made to borrowers with the best credit records while alt-A loans are considered riskier because they were often granted without documenting the borrower’s income.
  
  Securities Losses
  
  More than $400 billion in U.S. home mortgages that were packaged into securities and sold by companies other than government-supported Fannie Mae and Freddie Mac are in default and may be foreclosed on, S&P said. Those defaults may depress home prices for years, the analysts said.
  
  The delinquency rate for prime loans rose to 6.41 percent in the second quarter from 6.06 percent, the Washington-based Mortgage Bankers Association said Aug. 20. The share of prime loans in foreclosure increased to 3 percent from 2.49 percent, the MBA said.
  
  “The number of people who can’t pay their mortgages, we haven’t seen the peak of that,” David Lowman, head of JPMorgan Chase & Co.’s mortgage unit, said this week. “That’s going to weigh on us for some time to come.”
  
  Home foreclosures will climb through late 2010, peaking after the unemployment rate reaches 10.2 percent in the second quarter, the mortgage bankers said in an Oct. 13 forecast.
  
  RealtyTrac reported that 343,638 properties received foreclosure filings in September alone, the third-highest monthly total behind July and August of this year. The September number fell 4 percent from the previous month, though it climbed 29 percent from a year earlier.
  
  Few Exceptions
  
  Bank seizures rose 21 percent from the previous quarter and increased in every state except two and the District of Columbia, RealtyTrac said.
  
  Nevada had the highest foreclosure rate: one in every 23 households, or almost six times the national average. A total of 47,925 Nevada homes got filings, up 10 percent from the previous quarter and 59 percent from a year earlier, RealtyTrac said.
  
  In both Arizona and California, one in 53 households received filings. They were followed by Florida, at one in 56, and Idaho, at one in 97. Utah, Georgia, Michigan, Colorado and Illinois rounded out the top 10 highest rates.
  
  New Jersey had the 15th highest rate. Connecticut was 25th and New York was 39th.
  
  Six states accounted for more than 60 percent of total filings in the U.S., led by California’s 250,054. Filings in the most populous state rose 19 percent from the third quarter of 2008. Bank seizures jumped 12 percent from the previous quarter.
  
  Florida Repossessions
  
  Florida had the next highest total, with 156,924 filings, up 23 percent from a year earlier. Bank seizures rose 16 percent from the previous quarter.
  
  Arizona had 50,342 filings, up 25 percent from the same period a year earlier. Nevada had 47,925, up 59 percent. Illinois had 37,270, a gain of 30 percent; and Michigan had 37,026, an increase of 22 percent.
  
  Georgia, Texas, Ohio and New Jersey rounded out the top 10 states with the most filings, RealtyTrac said.
  
  The company collects data from more than 2,200 counties representing 90 percent of the U.S. population.

Not a shocker since it was highlighted the other day that A Foreclosure Filing Every 13 Seconds?!

There's two interesting postings on the housing market on CalculatedRisk

Citi Conference Call Comments on Impact of HAMP

• These comments show how important HAMP is to the housing market. The key points are 1) Loans in trial modifications are included in the delinquency rates (as we've discussed), and 2) we are completely in the dark on how the trial mods are performing!

The Uncertain Housing Outlook

• So, as confusing as it is, here is a rough overview ...
  
  Supply: the supply of distressed homes has been severely restricted by a combination of foreclosure delays and trial modifications.
  
  Demand: demand has been distorted by the first-time homebuyer tax credit, by extraordinary levels of lending using government-insured FHA loans, and the Fed buying GSE MBS pushing down mortgage rates.
  
  This has led to a buying frenzy in many low end areas, and has pushed up prices...
  
  .................. So what does this mean for the housing market? In the short term:
  
  1. Existing home sales will probably be strong in September based on regional reports.
  
  2. With restricted supply and increased demand, prices (Case-Shiller) will probably be strong through at least September (reported with a delay).
  
  3. Reported inventories will move lower.
  
  But the longer term (2010 or maybe later) will really depend on the success of the modification programs...
  
  

Another View On China's Real Estate

Here is another view on China's real estate.

Highlighted by John Mauldin in his out-of-the-box posting. The China Files (Special Project): Real Estate. (ps as mentioned by John "Today's analysis comes courtesy my friends at STRATFOR, a global intelligence company. They've got a free newsletter as well, for which I encourage you to sign up by clicking here )

• .... The Recovery Bubble
  
  Following a temporary drop toward the end of 2007, land prices rose steadily, then began surging again with Beijing's stimulus package and a flood of easy credit in 2009. With much of this money flowing into the real estate sector, major beneficiaries included large state-owned enterprises (SOEs) involved in speculative real estate and housing investment, contributing to the inflating bubble. Among the 10 highest-priced land purchases in major cities in the first half of 2009, 60 percent went to SOEs.
  
  Paradoxically, as the global financial crisis continues, China sees little choice but to loosen its monetary policy even further, fearing the opposite would curtail economic growth and result in massive unemployment, which could lead to social instability. Beijing knows that one of the country's underlying economic problems continues to be an overheated real estate market, but it also knows that the real long-term solution - limiting the flow of cash and credit - could have dire socio-economic ramifications. Meanwhile, real estate developers, government officials and investors continue to speculate on real estate, raising land and housing prices.
  
  As housing prices continue to rise, a parallel trend is manifesting itself - rising vacancy rates in urban areas. A 2009 report by the Shanghai Yiju Real Estate Research Institute revealed that, by the end of 2008, the average vacancy rate for "commodity housing" (as opposed to welfare housing) in Beijing was 16.64 percent, and vacancies reached as high as 30 percent in some districts. Most of these vacant houses, however, are not unsold ones. They have been purchased by investors as speculative investments. While there are fewer and fewer ordinary people who can afford to buy houses, there is still excessive demand for investment housing - pressure that continues to drive up the prices.
  
  This closed loop in the Chinese real estate market is facilitated by the country's political and bureaucratic system. In China, all land is initially owned by the state, and local governments have the sole authority to sell it. And income from property taxes and land sales are a primary source of revenue for local jurisdictions. According to estimates by the State Council's Development and Research Center, tax revenue from the land in some jurisdictions accounts for 40 percent of the local budget. Moreover, net income from land sales accounts for more than 60 percent of the local governments' extra-budgetary revenue. The soft budget and lack of accountability to the people reinforces the local governments' incentive to expand their real estate investments without much concern for cost or impact on public services.
  
  Economic performance also is the prime prerequisite for bureaucratic advancement, which gives local officials the incentive to generate as much revenue as possible through land auctions. And this generally involves a level of collusion - and corruption - among government officials, real estate developers and investors.
  
  One typical strategy is for a developer to buy a big chunk of urban land from the local government but leave the land undeveloped, or build on only a small portion of it, thereby keeping the housing supply limited. Despite various state policies to lower land prices in order to make homes more affordable, local government officials and real estate developers control the land auctions. When a lower sale price is dictated from above, it is easy enough for the local sponsors to officially deem the auction a failure. Even when the developer does build houses on the property, a speculative investor, working hand in hand with the developer and government officials, can bribe both parties to ensure that he can buy all the houses at a low volume price and keep them off the market, thereby maintaining a limited supply and high prices.
  
  Another factor that enters the equation is a cultural one. The Chinese people generally prefer to buy new houses, as opposed to renting homes or buying secondary houses in which people have already lived. Indeed, in urban areas, marriage proposals often include a promise to buy a new commodity house. As a result, the secondary housing market remains very small in comparison (due also to fewer available bank loans for lived-in houses and the complicated process involved in transferring ownership).
  
  All of these factors contribute to the burgeoning real estate bubble - and make it difficult to predict when that bubble will burst. With 70 percent of real estate investment in China coming from bank loans, a dramatic drop in land values could send shock waves throughout the economy. There are already signs of decline. In Shenzhen, one of China's first-tier cities, real estate prices have been dropping for the past two years (30 percent for housing), and many developers and speculators have suffered great losses. The threat looms in other large cities such as Beijing and Shanghai and may be emerging in many second-tier cities as well.
  
  Given the current global economy and the economic balancing act it must maintain domestically, Beijing has few good choices. It must keep enough cash flowing to maintain economic growth and social stability in the short term while tightening credit to avoid a tsunami of bad loans and a market collapse over the long term. Certainly, Beijing does not want to face the kind of collapse in the housing market that Japan experienced in the 1990s, which triggered a financial crisis and more than a decade of economic malaise.
  
  But in China's real estate, as in most sectors of this vast and complex land, implementing and enforcing prudent regulation has never been an easy task
  
  

Are You Pissed With The Bankers' Pay???

So they (JP Morgan) made $3.59 billion.

But get this.. they are setting aside $7.3 billion to pay their staff!

Which means the bank is on track to payout $29 billion in pay and bonus!!!!

Does this make sense?

WTF is wrong with our world today?

Where and what are they lawmakers doing?

Is the world really ruled by the bankers now???

Is any sane person out there who is NOT ANGRY WITH WHAT THESE BANKERS are doing?

Hell yes! I am utterly pissed!

Sigh.

JPMorgan heralds return to bumper bonuses

• JPMorgan Chase heralded a return to the golden days of Wall Street bonuses after delivering $3.59bn (£2.25bn) in profits and setting aside $7.3bn to pay staff.
  
  By James Quinn, US Business Editor
  Published: 4:01PM BST 14 Oct 2009
  
  The global banking conglomerate – best known in Britain as the parent company of investment bank JP Morgan – has now set aside $21.8bn in compensation for employees for the first nine months of the year. Should it keep it up, the bank will be on track to hand out as much as $29bn in pay and bonuses this year
  
  The news – combined with expected confirmation on Thursday that Goldman Sachs is on track to pay out as much as $22-23bn in its bonus pot this year – is likely to reignite the row over bankers' pay.
  
  Across the board, Wall Street banks are expected to collectively dole out more than $140bn by the end of the year, a record figure for the US banking sector, beating the previous high of 2007.
  
  JP Morgan Chase appears set to dole out as much as $29bn in compensation at the year-end, a 27pc rise on the last two years, when its total pay pool has amounted to approximately $22.7bn each year.
  
  This year’s bumper pay-out, which will be paid in mid to late December, is therefore likely to equate to $131,304 for each of the bank’s 220,861 employees, compared to a $100,906 pay-out for the 224,961staff the bank at the end of the last year.
  
  JP Morgan received $25bn in financial support from the US government, money it repaid in June, and has handed over a package of linked warrants to the Treasury, which will auction them off to the highest bidder by the end of the year.......

Posted this morning: Bankers To Be Paid Much, Much More In Bonuses!

Bankers To Be Paid Much, Much More In Bonuses!

Highlighted by Jesse: Wall Street Set to Pay a Record $140 Billion In Bonuses Topping 2007

While the world suffers, Wall Street pays itself record bonuses, larger even than the peak year of 2007, by taxing the productive economy to maintain an extravagant lifestyle. These bonuses are being paid with your money, and your children's money, if you hold US dollars.

And while this happens, the US credit card banks are raising interest rates to 20+% even on customers with excellent payment records and jobs which is certainly usury, and with an arrogant impunity. The insider trading scandals and tales of government graft yet to be told are so blatant and shocking that only a captive mainstream press keeps them from being investigated.

The rest of the world looks on in shock and amazement. What has gone wrong with America? What are they thinking? America has not only lost the high ground, it is sliding into a ditch.

While Americans are pacified by bread and circuses, the rest of the world looks at a painful reality show in the States, a country in a death spiral of corrupt leadership and public apathy. If it was Zimbabwe or Iceland there would still be sympathy for the people, but far less concern.

A deflationist friend was railing about the US slide into bankruptcy, and I could not help but ask, "What happens to the paper of a bankrupt company, or country?"

Where indeed will the dollar gain its long anticipated strength, its renaissance of value?

Or yes, from "less dollars" through debt destruction. Mutant monetarism gone mad, an argument worthy of Herr Goebbels. The dollar will rise in value by immersing itself in a pool of corruption, and by destroying its shareholders, those who hold their savings in it, while oligarchs loot the financial system. Unless the US can turn its trade balance positive overnight, while raising interest rates, and maintaining a growing domestic economy based on consumption, it is not going to happen. The US is running out of degrees of freedom.

Wall Street holds the US public and government hostage by threatening financial armageddon if they do not get what they wish. We would anticipate a similar threat to the global economy based on dollar debt at some point, asking for a global monetary regime controlled out of New York and London, with perhaps a few associates.

Nothing goes straight up or down. There will be more sucker rallies and bubbles, but the train is starting to come off the rails a little more with each wrenching turn of this cycle.

The banks must be restrained, and the financial system reformed, and balance restored to the economy before there can be any sustained recovery.

Finfacts Eire

• Wall Street firms set to break new records in 2009 with pay rising to $140bn; Bailed-out insurance giant AIG paid “retention bonuses” to kitchen staff
  By Finfacts Reporting Team
  Oct 14, 2009 - 6:10:22 AM
  
  Wall Street firms are set to break new records with employee pay set to rise to $140bn this year. Meanwhile, it has been reported that the bailed-out insurance giant AIG paid “retention bonuses” to kitchen staff earlier this year from a $168m pot, that was ostensibly designed to keep staff from leaving the government controlled firm.
  
  Workers at 23 top investment banks, hedge funds, asset managers and stock and commodities exchanges can expect to earn even more than they did in the peak year of 2007, according to an analysis of securities filings for the first half of 2009 and revenue estimates through year-end by The Wall Street Journal.
  
  The Journal reports that total compensation and benefits at the publicly traded firms it analyzed, are on track to increase 20% from last year's $117bn -- and to top 2007's $130bn payout. This year, employees at the companies will earn an estimated $143,400 on average, up almost $2,000 from 2007 levels.
  
  Average compensation per employee at investment bank Goldman Sachs, is set to reach about $743,000 this year, double last year's $364,000 and up 12% from about $622,000 in 2007, according to the Journal analysis...

-------------------

See also Goldman Sachs $20 Billion Bonuses?!!! and What's Wrong With Our Financial Worlds?

Folks keep asking me, is the worst over?

Oh can it ever be over when the very same financial institutions are still running the rule? Yeah, is our world now truly run by the financial markets?

How can things get better when NO reform is made on the very same financial system that had brought the world to its knees recently?

And these very same people are to be rewarded more?

What for?

These bankers take on insane risks and when they fail, they get bailout. And now they are being rewarded with more money?

Are they serious? Or are they out of their minds?

Capitalism rules?

The rich elite gets richer and needless to say, screw the poor!

Is the worst over when there is a foreclosure filing every 13 Seconds?!

Oops... who cares! The worst is because the financial markets says so! Loooook at the stock markets! Can't you see what it has been telling you for so many months already?

Damn!

Life is certainly good as long as you are in the financial markets! Heck the kitchen staff is even getting retention bonus!

What a wonderful world!

ps: please don't forward this to ALL THE ANGRY AMERICANS!

Do see this video on MSNBC.

Visit msnbc.com for Breaking News, World News, and News about the Economy

The Cosway Story Continued..

Blogged previously: Singer Malaysia And Seven Eleven Proposed Listing

Oct 2006.

• Cosway minority shareholders prefer sale
  By Chong Jin Hun
  jinhun@nstp.com.my
  
  MINORITY shareholders of Cosway Corp Bhd want the direct-selling firm to be put up for sale rather than let its parent Berjaya Corp Bhd (BCorp) take it private.
  
  "It is a bad idea to take Cosway private as it is a good and profit-making company with a bright future. Investors like to invest in companies with good dividends and bonus issues," proxy holder William Woon told reporters after Cosway's annual general meeting in Kuala Lumpur yesterday.
  
  He said it would be better to put the company up for sale as competitive bidding can produce higher sale prices.
  
  Woon was commenting on BCorp's recent announcement that it is considering a proposal to buy the remaining shares it does not own in Cosway. BCorp currently owns 74.4 per cent in Cosway....

They argued against the privatisation.

Worst still was the pricing of the offer.

Cosway had 344,434,000 shares. At an offer of 1.20, Cosway was effectively valued at 413 million.

On today's Star Business. Berjaya to inject Cosway into Hong Kong-listed unit

• Wednesday October 14, 2009
  Berjaya to inject Cosway into Hong Kong-listed unit
  By YEOW POOI LING
  
  PETALING JAYA: Cosway Corp Bhd and Biofield Sdn Bhd have proposed to sell their combined 90% stake in Cosway (M) Sdn Bhd (Cosway M) to Berjaya Holdings (HK) Ltd (BHK) for RM900mil.
  
  Cosway, Biofield and BHK are indirect subsidiaries of Berjaya Corp Bhd (BCorp). Madison County LLC, which owns the remaining 10% of Cosway M, is also selling its stake in a separate deal.
  
  BCorp said the proposed disposal of Cosway M was part of an internal re-organisation within the group that would put the company under BHK, which was listed on the Hong Kong Stock Exchange.
  
  In a filing to Bursa Malaysia, BCorp said the acquisition would be paid via the issuance of 741.2 million new BHK shares and irredeemable convertible unsecured loan stocks (ICULS) worth about HK$1.7bil and cash of RM44.7mil.
  
  The RM900mil, representing a premium of about 367% over the consolidated net assets of Cosway M of some RM214mil, was derived based on, among others, the past profitable earnings record and future earnings potential, proven track record, large distribution network, strong presence and the established brand name of Cosway. Cosway Corp will use the proceeds of RM44.7mil as working capital.
  
  BCorp also said its subsidiary, Berjaya Group (Cayman) Ltd (BGCL), had formed a loan capitalisation agreement with BHK, of which 180 million new BHK shares would be issued to BGCL as full and final settlement of the HK$36mil loan taken in 2001.
  
  As of Oct 13, the total debt amounted to HK$36.4mil, of which HK$36mil would be settled via the proposal loan capitalisation and the remaining to be repaid by BHK upon receipt of written demand of repayment.
  
  Meanwhile, Berjaya Hills Bhd, Prime Credit Leasing Sdn Bhd, Inter-Pacific Securities Sdn Bhd and Berjaya Sompo Insurance Bhd, all indirect subsidiaries of BCorp, together with Tan Sri Vincent Tan Chee Yioun and Rayvin Tan Yeong Sheik have proposed to sell their collective 40% stake in eCosway for RM107.6mil, also to be satisfied via the issuance of new BHK shares and ICULS.
  
  “This is expected to increase the profile of Cosway M in line with its global outlook and expansion plans,” it said, adding that the sale of eCosway was also part of the streamlining and allowed BHK to have full control.
  
  The proposed loan capitalisation, meanwhile, will enable the BHK’s repayment without incurring any cash flow.

I wonder how would Mr.William Woon feel today.

Sigh.

Footy Star To Poker Star?

Here's a great interview with one my favourite ex-Manchester United footy star, Teddy Sheringham!

• Fame & Fortune: Teddy Sheringham
  
  Teddy Sheringham, 43, was the oldest man to have played in all four English football leagues before he retired last year. He was awarded an OBE in 2007 and currently lives near Epping with his girlfriend Kristina.
  
  Sarah Ewing
  Published: 2:00PM BST 07 Oct 2009
  
  How did your childhood influence your attitude towards money?
  We were very hard up when I was a child. Dad was a policeman and mum worked part-time. Dad always said to be grateful for what you've got in life, instead of what you haven't got. He always told me to look on the good side.
  
  That stuck with me throughout my football career, even when I was earning good money. There were always other people earning even more. It didn't matter to me, as I was earning more than I thought I would ever earn, and I was grateful for that.
  
  Some of the big names in football who played in the 1970s and 1980s probably wished they played in the current era, but the way I see it, they were earning more than the average person and if you managed your finances sensibly, then you would okay. Nowadays, the money has escalated beyond all belief, really.
  
  Did your parents really make you earn your pocket money?
  Yes. We always had at least one set chore each. My older brother and I had to do the dishes and dry up after dinner. We never did them properly, so mum probably had to go over them anyway. All we wanted to do was finish as quickly as possible so we could go out and play football with our mates. Just the fact we had to do it was grounding.
  
  Would you consider yourself more of a saver or a spender?
  Well, I like nice cars and nice holidays, so that's where I'm lavish. I do go out and spend on clothes every now and again, but I'm not like other footballers who have to have the latest of everything, whether it's gadgets or clothes.
  
  I don't really move with fashion. I like Prada for smart casual and Abercrombie & Fitch for a relaxed casual look. Every now and then I will have a big blow out and drop a lot of money over a few days, but then that'll do me for the next six to eight months.
  
  However, I'd prefer to treat my family to something special. Mum's suffered a bit with her hips recently and doctors said we might need to look at getting her a hip replacement in the future. It's not a usual gift, is it? But if it makes my mum feel better and gets her up and about again, then that's what's important.
  
  What sort of car do you currently drive?
  I've got a Bentley Speed, which is the third one I've had – I really like how beautifully it drives. It's a great feeling getting into the car. I did try the Ferrari 599 recently, which costs £220,000, but I wasn't convinced.
  
  Have you learned any difficult lessons about money?
  I've been playing poker seriously for the past six years or so, even though I've played card games throughout my entire career, on the coaches on the way to matches or sitting in hotels the night before. Unfortunately, you only learn to play poker by losing money.
  
  When you are playing at dodgy dens, like I played at, you know how many dodgy characters there are that have no money but have these skills to play poker that can't wait to get your money off you. They sweeten you up so they can take your money because they know they have more experience than you.
  
  They've got the cushions, make a cup of tea for you, and you think, 'Oh, this is nice of you'. So despite losing money week after week, you come away thinking, 'It's a really nice place, that is, I really enjoyed that.' It finally dawns on you, the techniques and tactics, and you can play them at their own game and make good money.
  
  What is it that you like so much about poker?
  I love the competition and the thinking skills involved. When people first start playing they think it's all about getting the big pairs and the high cards because that looks flash. Now it's more about trying to figure out what other people have got, using real skill, and whether they're bluffing. You have to think ahead.
  
  Is there anything that you hate about dealing with money?
  Bills! I'm terrible with them. One comes through and I'll leave it, another one comes through and I'll leave that one too – for some reason I can't sort it there and then. Before I know it, I've got eight bills on the side, then I have a mad day of getting the chequebook out, bank, bank, bank, bank, done, done, done. It makes me feel so much better.
  
  What's been your best buy over the years?
  Probably my current house, near Epping. It's named Camp Nou, after the scene of one of my greatest triumphs – Manchester United's 1999 European Cup victory. I lived in flats for a long time because of all my travelling with football, but I had this built in 2005. I had to pay over the top for the plot of land. I found an area where I wanted to live, but there was already a house there, a smaller house.
  
  I looked at the position of it and thought I would like a house there – just not that house – so the plan was I would buy it, knock it down and then build exactly what I wanted. I'm so pleased I did it. I'd previously looked at houses and didn't like lots of little rooms that never got used or strange layouts. I wanted to make the best use of the space I had, tailor-made to my needs, so every inch is maximised.
  
  Waiting for planning permission killed me, but once it was done, it was obvious the wait was worth it. I think I'll be here quite a long time. I have a new girlfriend who I've been with for a couple of years now, so if she wanted to move, then I might consider it. But luckily, she loves the place so I can't see that happening.
  
  Have you ever made a really bad decision about money or made a bad buy?
  When I was earning a lot of money at the peak of my football career, my agent was with a particular company, with a financial adviser looking after my money. He said he could do this and do that with my investments.
  
  I gave him a substantial sum of money and he frittered it away for me. To this day, I look back and think how could I have been so stupid to give him so much money? To give it to somebody else to just gamble with was just, well, terrible. I could have had so much fun with that money!
  
  How do you prefer to pay for things – cash, card or cheque?
  I'm definitely a cash man. I like to have a bit of cash on me and if I see something I like I'll buy it there and then, rather than writing cheques out and see it come out of the bank later on. I win and lose money at poker through cash, so that just the way I operate.
  
  Are you a good tipper?
  If I have good service, I'm a good tipper, I think. Bad service and I'm a bad tipper – that's exactly the way it should be.
  
  Do you think people expect more because of who you are?
  It wouldn't embarrass myself if someone said to me you were in my friend's restaurant the other day and you only gave a small tip. My response would be, well it obviously wasn't good service. I have no qualms about that. If someone gives me good service, I'll give them a good tip. If there was a story going around about me that I wasn't a good tipper that would be my response.
  
  Do you invest in stocks and shares?
  Not really at the moment. My son, Charlie, has been getting involved in trading in town for perhaps the past six to eight months. He's enjoying it, so I'm hoping that he'll come good or we can do it together.
  
  Do you have a financial adviser?
  Yes. We have a meeting maybe once every six months, maybe even a bit longer than that, just to clarify what's happening. He's someone I get on well with and has been with me now for a good few years. I like the way he works and the way he explains things. I need someone I can really trust after the last one I had.
  
  Do you like online banking?
  Ohhhhh no! I'm not an online man at all. I don't even know how to turn a computer one. I'm not sure I'd trust it either.
  
  Do you have a pension?
  When you're a footballer, you get your pension at 35. I didn't take it at 35 because I was still playing football, so I took it at 40 instead. I could have left it until I was 55, but I felt it would be too late to enjoy it. There's still a kind of pension that's rolling over, but most of it was taken out.
  
  What advice would you give to young footballers who might have more money now than they could ever had imagined, but not the experience to deal with it?
  Don't do anything major on a whim. A mate or an associate might come to you saying, 'I've got this idea, just give me £200,000,' which isn't a great deal for footballers these days.
  
  Then that idea doesn't work out and your money is gone in a blink of an eye. There are always people around that are looking to topple us over. You might think he seems alright, this fella – don't do it. Try and work it out for yourself.

source: here