Portfolio Update March 2018

Dow dropped 700 points overnight and STI is following a similar fashion. Indicators are mostly red and down by some 2%. Looks like this is a year of wild swings in the market.

Overall, market direction is still up.

I had some time to tabulate my portfolio against sti. From jan 2016 (sti was around 3150) to now (sti now around 3430, STI has gained nearly 9%. Over a similar time, my portfolio has gained nearly 19%. Most of it is via dividend reinvesting and also rebalancing of portfolio occurs every 6 months or so, or unless a particular counter moves upwards so much that a sooner rebalancing is warranted.

I believe my portfolio is rather defensive and resilient in nature. Previous large drops in sti resulted in corresponding drops of smaller magnitude.

As I type this, STI closed down 71 points or 2.06% from yesterday. My portfolio dropped by 0.70%.

Dividend by month

1) singtel
2) fcot sgx  starhillg fct sphreit cmt fortune capitaretail capitacom mit
3) spost  taisin lippo nam lee netlink
5) fcot steng sgx  uob sph starhillg fct sphreit cmt cdg hcg lippo Singre teckwah mit
6) tcil ocbc
7) singpost
8) fcot singtel  plife  ocbc  starhillg sci steng fct singpost sphreit cmt lippo singre ock fortune capitaretail capitacom teckwah siaen mit
9)  uob tcil cdg netlink
10) sgx
11) fcot taisin sgx spost  starhillg fct cmt lippo siaen mit
12) sph ksh ock


Remarks:

Added more SG and bought teckwah. Reason is because they appear cheap at the current price. Value for money to me. Nothing sold.

16/4/2018: Have added some mit at around 199 price just after initial portfolio update post up. i like the increasing dividend trend and the company diversifying out of singapore.


Overall,

nothing fanciful and nothing new: dividends received will be used to reinvest in the same counters and/or the counters which are about to pay dividends soon.

No further input is necessary. Portfolio creates the income every month and gets reinvested. One reinvestment move means one more continuous stream of income in the future.

Counters get rebalanced periodically as and when the opportunities arise.

Market up or down doesn't matter too much, in fact is not a bad thing after all. Dividends provided new cash flow as compounding and dollar cost average tool.




DON'T FORGET TO ASK YOURSELF THESE QUESTIONS:


1) WILL THIS COMPANY GO BUST IN 10 YEARS?
2) WILL THIS COMPANY STOP DIVIDENDS?

3) WILL THIS COMPANY STOP INCREASING DIVIDENDS OVER TIME?

portfolio update february 2018

Dividend by month

1) singtel
2) fcot sgx  starhillg fct sphreit cmt fortune capitaretail capitacom
3) spost  taisin lippo nam lee netlink
5) fcot steng sgx  uob sph starhillg fct sphreit cmt cdg hcg lippo Singre
6) tcil ocbc
7) singpost
8) fcot singtel  plife  ocbc  starhillg sci steng fct singpost sphreit cmt lippo singre ock fortune capitaretail capitacom
9)  uob tcil cdg netlink
10) sgx
11) fcot taisin sgx spost  starhillg fct cmt lippo
12) sph sats ksh ock


Remarks:

Added more sph comfortdelgro singre & fortune with dividends received




Overall,

nothing fanciful and nothing new: dividends received will be used to reinvest in the same counters and/or the counters which are about to pay dividends soon.

No further input is necessary. Portfolio creates the income every month and gets reinvested. One reinvestment move means one more continuous stream of income in the future.

Counters get rebalanced periodically as and when the opportunities arise.

Market up or down doesn't matter too much, in fact is not a bad thing after all. Dividends provided new cash flow as compounding and dollar cost average tool.




DON'T FORGET TO ASK YOURSELF THESE QUESTIONS:


1) WILL THIS COMPANY GO BUST IN 10 YEARS?
2) WILL THIS COMPANY STOP DIVIDENDS?

3) WILL THIS COMPANY STOP INCREASING DIVIDENDS OVER TIME?

Value often emerges during big drops

i took the recent sti 100 point plunge to add a counter. I chose fortune as it pays dividend twice a year and there is a discernible rising trend in the payouts. In addtion, it is one of the most deeply discounted reits around. the strategy of having a regular steam of dividends helped as it came handy when i needed the funds.

sure, it might seem scary to buy during such drops. but actually, its even more scary to buy when sti was 3600 level.

Buying index verses dividend portfolio

Recently, i replied to a reader who asked me if i hold so many counters, might as well i go buy index?

At one glance and perhaps to a lot of people, it might make sense.

However, in reality, its not quite the same.

In index, we only get dividend 2x a year. this makes compounding a lot (and i say it again) a lot slower.

The bigger difference and actually dangerous difference is when one takes out a fixed amount say 4% from this portfolio. In bull times, it can be done without much fear as there's a lot to take out anyway and we are only removing 4%. However, in cases of bear, and here were are talking about prolonged bear of perhaps 10year or longer, market drops, and we are still liquidating 4% pa. As we go into the bear years, with inflation doing its job, now we might find ourselves in a fix, in a bigger fix as the bear continues its attack. The dollar cost averaging which we put in in the construction of this STindex portfoilio now faces its evil twin- dollar LOSS averaging. Never say never, but if it happens, those who spend decades buying stidex and just sitting on the sidelines, using its twice a year dividend to add more, now might have even to seek alternative sources of income.

Now this dividend portfolio
compoundation is fast, much faster in effect due to the syngistic effect of the individual counters churning out dividends and feeding the other counters.

in times of bear and bull, during retirement, the dividends coming at various times can simply be used as income. There is hardly any fear of outliving the portfolio as the average dividend yield of the entire portfolio is in excess of 5. In fact, there is still surplus to reinvest if one wishes so.

Be careful when one takes out a fixed sum say 4% from the portfolio. And it depends on what sort of portfolio we are talking about. Index buying and growth stocks, all run the risk of dollar LOSS averaging when we are talking about withdrawal in prolonged bear.

So to say that just buy index, means one havent thought about these things, to say the least. I have seen people, some so called experts dispensing advice to others that index investing should replace what they are doing.  And in reality, its those people who have been through these times, who will really know the difference in these investment modalities.




 

portfolio update jan 2018

Dividend by month

1) singtel
2) fcot sgx  starhillg fct sphreit cmt fortune capitaretail capitacom
3) spost  taisin lippo nam lee netlink
5) fcot steng sgx  uob sph starhillg fct sphreit cmt cdg hcg lippo Singre
6) tcil ocbc
7) singpost
8) fcot singtel  plife  ocbc  starhillg sci steng fct singpost sphreit cmt lippo singre ock fortune capitaretail capitacom
9)  uob tcil cdg netlink
10) sgx
11) fcot taisin sgx spost  starhillg fct cmt lippo
12) sph sats ksh ock


Remarks:

Bought more st eng sia eng sph comfort starhill.

A good run up by STI. Sitting on a pretty paper gains. Will continue to add various companies at various times using dividends received.




Overall,

nothing fanciful and nothing new: dividends received will be used to reinvest in the same counters and/or the counters which are about to pay dividends soon.

No further input is necessary. Portfolio creates the income every month and gets reinvested. One reinvestment move means one more continuous stream of income in the future.

Counters get rebalanced periodically as and when the opportunities arise.

Market up or down doesn't matter too much, in fact is not a bad thing after all. Dividends provided new cash flow as compounding and dollar cost average tool.




DON'T FORGET TO ASK YOURSELF THESE QUESTIONS:


1) WILL THIS COMPANY GO BUST IN 10 YEARS?
2) WILL THIS COMPANY STOP DIVIDENDS?

3) WILL THIS COMPANY STOP INCREASING DIVIDENDS OVER TIME?

did ST Eng reached bottom recently?

i invest primarily for dividend aka cash flow. when the yield goes up, i give the counter a second look and ask myself whether the yield rise is sustainable. in other words, the drop in price is rational or irrational. in the market traders and investors co exist. and amongst traders and investors, there are many sub groups.

back to the st eng. i decided to add around 320. i have no idea whether it would drop more or not.

but to me, that 320 price is its many years low and looking at its earnings, it should be able to sustain its dividend payout in 2018.

and true enough, as i said i don't know whether 320 is its low, it fell lower. then recovered.

i intend to keep this for long term, 5 and 9 dividends are like clockwork, well liked by investors like myself.

portfolio update dec 2017

Dividend by month

1) singtel
2) fcot sgx capitacom starhillg fct sphreit cmt fortune capitaretail
3) spost  taisin lippo nam lee netlink
5) fcot steng sgx  uob sph starhillg fct sphreit cmt cdg hcg lippo Singre
6) tcil ocbc
7) singpost
8) fcot singtel  plife  ocbc  capitacom starhillg sci steng fct singpost sphreit cmt lippo singre ock fortune capitaretail
9)  uob tcil cdg netlink
10) sgx
11) fcot taisin sgx spost  starhillg fct cmt lippo
12) sph sats ksh ock


Remarks:

sold off low keng huat suntec and most of capitacom as they have run up quite a fair bit and there are opportunities available to buy into relatively more reasonably priced counters.

bought sia eng st eng singtel comfortdelgro fortune capitaretailchina




Overall,

nothing fanciful and nothing new: dividends received will be used to reinvest in the same counters and/or the counters which are about to pay dividends soon.

No further input is necessary. Portfolio creates the income every month and gets reinvested. One reinvestment move means one more continuous stream of income in the future.

counters get rebalanced periodically as and when the opportunities arise.

Market up or down doesn't matter too much, in fact is not a bad thing after all. Dividends provided new cash flow as compounding and dollar cost average tool.




DON'T FORGET TO ASK YOURSELF THESE QUESTIONS:


1) WILL THIS COMPANY GO BUST IN 10 YEARS?
2) WILL THIS COMPANY STOP DIVIDENDS?

3) WILL THIS COMPANY STOP INCREASING DIVIDENDS OVER TIME?