As we are approaching the annual report earnings season, here's a quick refresher on fundamental analysis and earnings. 1. When a company makes more money, the stock rises. There's a correlation between making more money and the stock increasing. 2. However, stock price can go up and down after earnings based on expectations (basically, people guessing what the earnings would be) 3. ​​So in the short term, one good/bad earnings does not necessarily allow you to predict the jump as you need to factor in what people are guessing and "buy/sell early before earnings" 4. Thus, fundamental analysis is a long term trend tool but not a short term earnings tool. 5. If you buy generally good companies, profitable and growing, you should experience a generally increase in stock price. ​ Cheers, Eric ---- Eric Seto Chartered Professional Accountant (CPA) Chartered Investment Manager (CIM) Founder of 5MinInvesting.com In January, my goal is to help 10 people with no financial background build a real foundation in investing through Investing Accelerator. Investing Accelerator is an education program designed specifically for people who didn’t come from finance. We focus on financial independence — understanding how investing actually works, how decisions are made, and how to build repeatable approaches instead of guessing. Here's a step by step guide on how to join Investing Accelerator for free: https://www.skool.com/invest-retire-community-1699/how-to-join-investing-accelerator-for-free The program has two parts. In the first phase, you learn long-term investing:how markets work, how to think about growth, how to manage risk, and how to build strategies designed for long-term compounding. In the second phase, you learn monthly income strategies:how people structure portfolios for cash-flow, consistency, and real-life planning. If you’re interested, you can hop on a call to see if Investing Accelerator is a fit.

3,2,1 - Happy New Year ! As we flip over the page of 2025 and continue our journey into 2026, I would like to thank you for being part of this community and on my email list. 2025 was a year of growth for me, where I rapidly tested hundreds of investing strategies (experiencing another growth spurt in my investing career) 2026 ​is the year when we scale strategies and help more people in the process ​​Instead of capital gains, my focus is now to help people retire better with income-genearting strategies. ​​ This is particularly helpful if one is using Roth or a Traditional IRA to invest, where one can generate the income and delay tax until one needs it (or completely tax free with Roth) ​​ ​I wish you the best for 2026 and thanks again for your support in 2025. Cheers, Eric ---- Eric Seto Chartered Professional Accountant (CPA) Chartered Investment Manager (CIM) Founder of 5MinInvesting.com In January, my goal is to help 25 people without a financial background to master investing through Investing Accelerator. Investing Accelerator is designed for people without a financial background. The goal is to achieve 30% return per year. In the first phase, you will learn long term investing and targeting 30% for tax free compound growth. This will help accelerate your overall wealth. In the second phase, you will learn monthly passive income to provide a more predictable cash flow (target 30% per year) which can cover your expenses. This will help accelerate your retirement goals. Here's a step by step guide on how to join Investing Accelerator for free: https://www.skool.com/invest-retire-community-1699/how-to-join-investing-accelerator-for-free If you are interested, then let's hop on a call to see if you can benefit from the strategies in Investing Accelerator and get target 30% per year. During the call, we will map out exactly how you can achieve target 30%, what you are lacking, how you can improve.

As we are approaching 2026, my student asks me - when should I invest in small caps given large caps are so high? What about international markets? Currently, the market is high Not just for US, but for Asia and Europe as well. Large caps are high mainly due to the AI bubble which makes you feel like you should pursue smaller "unnoticed companies." This is exactly the trap I fell into in the last market cycle. This causes me (and potentially you) to find "hidden gems" when the market is high and find small companies to invest in. The problem with small caps is that - it generally drops faster than large cap when we are in a bear market. Large caps can drop and they will recover most of the time The key difference between large-cap and small-cap is that small-caps can drop and never recover.​​​​​​​​ This is why during good times, you can invest in small caps for a short term momentum play but not to invest in small caps hoping they will survive the bear makret (becasue they usually don't). Instead, you should find small caps once you observe and see the bear market ending. ​​​ ​ Then and only then, should you find great small caps with good fundamentals and strong momentum to invest in.​ Large cap is my bread and butter because I know it will come back and recover given enough time while there is no such "promise" for small caps. ​ Cheers, Eric ---- Eric Seto Chartered Professional Accountant (CPA) Chartered Investment Manager (CIM) Founder of 5MinInvesting.com In January, my goal is to help 20 people without a financial background to master investing through Investing Accelerator. Investing Accelerator is designed for people without a financial background. The goal is to achieve 30% return per year. In the first phase, you will learn long term investing and targeting 30% for tax free compound growth. This will help accelerate your overall wealth. In the second phase, you will learn monthly passive income to provide a more predictable cash flow (target 30% per year) which can cover your expenses. This will help accelerate your retirement goals.

As most of us are going on holiday, I would like to wish you a Merry Christmas and happy holidays! 2025 has been a volatile year from tariff wars, AI bubble to the semi-santa rally. I've spent the year revising and refining my research framework through each bearish wave, learning something new each time. 2026 will be an interesting year as I launch new ventures and expand into the hedge fund space with my machine learning investing strategy. I believe the key success factor to achieve your goals is to continue to try and hack away at a problem until you are there. So I wish you Merry Christmas and happy holidays. Here's the Christmas link to join Investing Accelerator directly. Cheers, Eric ----- Eric Seto Chartered Professional Accountant (CPA) Chartered Investment Manager (CIM) Founder of 5MinInvesting.com In December, my goal is to help 20 people without a financial background to master investing through Investing Accelerator. Investing Accelerator is designed for people without a financial background. The goal is to achieve 30% return per year. In the first phase, you will learn long term investing and targeting 30% for tax free compound growth. This will help accelerate your overall wealth. In the second phase, you will learn monthly passive income to provide a more predictable cash flow (target 30% per year) which can cover your expenses. This will help accelerate your retirement goals. Here's a step by step guide on how to join Investing Accelerator for free: https://www.skool.com/invest-retire-community-1699/how-to-join-investing-accelerator-for-free If you are interested, then let's hop on a call to see if you can benefit from the strategies in Investing Accelerator and get target 30% per year. During the call, we will map out exactly how you can achieve target 30%, what you are lacking, how you can improve.

People grow over time. Sometimes willingly. Sometimes unwillingly (market forces you to grow). As a trader/investor/entrepreneur, we all go through various growth lifecycles. Most people think that being a profitable trader is the end of the journey (which I thought so as well... ​But I was wrong. Being a profitable trader is not the end of the journey. A profitable trader develops himself as an edge where he manages his own emotions, knows the market well and is able to analyze the market from experience. ​ However,​​​​ a profitable trader can suffer emotionally from high-stress environment and always taking in a lot of information to anticipate the next step of the market. ​This leads to mistakes and potential losses because a profitable trader can become emotional and loses his edge. The next step after being a profitable trader is to "productize" yourself. Instead of intuition, a profitable trader would turn his "system" into rules (hence rule-based investing) A profitable trader would develop constraints / find specific market conditions where he is profitable, such that it reduces his thinking (hence repeatable edge) ​Until a profitable trader completely removes himself from analyzing the market every minute, he is not truly free, and his edge wouldn't last. ​​​​​​​​ ​ ​Once a profitable trader fully systemize his strategy, the next phase of growth begins and he also realizes he doesn't need to trade himself anymore - the system does it for him. ​​​​​​​ So here's the BOXING DAY discount to join Investing Accelerator, where you get an interest-free instalment over 12 months & 33% discount off the regular price: https://5mininvesting.thrivecart.com/boxing-day/ After you join, you can schedule a general Q&A session to ask questions about the program materials and how to apply the concepts you’re learning. You can also use this call for technical support as well. Cheers, Eric ----- Eric Seto