Its all about the money!!!

..... dum dum duh dee dum dum

Life on the KSE (Kuwait Stock Exchange) -

An IPO a day,owners cash out and potentially rip people off!!
Most of the IPOs that came to market recently are really shady companies in my opinion. The owners plan to make full use of the high liquidity out there and possibly run with your money!!

IPO anything from schools to dry cleaning stores and you can become a rich person over here !!!

Kuwaitis are generally thought to be good investors around the GCC, but they also have this quality or weakness (depending on your view), which is the love for money no matter how unethical the methods for getting it. Most have a gambling mentality that is not healthy at all in this market - A market that moves on fundamentals (good) but in trance with rumors and and what "lead spears" tell them (really bad).

Many Kuwaiti investors are aware that some of the companies are just another empty pistachio shell, yet they are willing to put their money because they know that an IPO in the short run will make them rich.

How short is the short run? I challenge every investor out there. When do you take your money out?

I feel that the potential for this country is huge, however, not every stock should benefit from this potential. There are some crazy multiples, shady accounting and greedy people in Kuwait and this post is just a reminder of the ugly side. I am still investing in this market, but I urge people to watch out and really consult with the experts out there. By expert, I mean someone in a foreign bank who had experienced booms and busts and hedged the risk of his / her investor base.

I also suggest watching the movie "Bolier Room" because I believe a lot of boiling and cooking is going on in this market. Don't wanna see average Abood & Hamood be burnt and ask the Government to compensate them for their losses!!!