Posts

Investing 2019 June ... bought Keppel-KBS & Fortune + Portfolio Review

Image
This month is quite a volatile month for stocks, what with the continual spat between Trump and China.  This trade war between the world's 2 largest economies, in my opinion, may not go away any time soon.  It might just be a precursor to a larger problem, the new cold war between the US and China.  It is not so much about having technological leadership as it is about military supremacy.  This situation might just get worse, and might even last decades and become the new normal in geo-politics.  But in the interim, things might brighten up, considering Trump and XiJinPing's meeting during the G20 meeting in Japan.  Fingers crossed.

As the tech iron curtain unfolds and falls, poor Singapore is caught in the middle.  Being a small and open economy that is heavily dependent on exports, Singapore will experience the sharpest economic slowdown in SE Asia.  The stock market was in a doldrum as a result of trade war news early in June, but only for a brief period of time.  The bubbl…

Investing 2019 May (Part 3) ... bought Parkway Life & Sasseur

Image
I love REITs.  Most SG investors do.  REITs provide a consistent flow of passive income, and they come with the potential for some moderate to high capital appreciation.

I am allocating 25% of my portfolio to REITs and I want to slowly build up this portion of my portfolio.  Currently these REITs are in my portfolio:

* Capital Commercial Trust
* Capital Mall Trust
* First REIT
* Mapletree Industrial Trust

Like I mentioned before, I plan to add Ascendas and Mapletree Commercial Trust to the mix again, after having sold them early in May for some capital gain.

After much researching, I settled on 2 REITs.

1. Parkway Life REIT

This REIT is no stranger to most SG investors.  It owns Mt E, Gleneagles and Parkway East Hospital in Singapore.  Its overseas properties include the Gleneagles in Kuala Lumpur and 46 properties (mainly nursing homes) in Japan.  GingWen, the guru on REIT investing,  has done an excellent write-up on Parkway Life (https://www.probutterfly.com/blog/parkway-life-reit-…

Investing 2019 May (Part 2) ... bought DBS & S&P 500

Image
The market has been rather volatile of late, after the intensifying of the trade disputes between the USA and China (actually it is just between Trump and China).  Things might get a lot worse than what it currently is, but that should not discourage me from investing, expanding current share holdings, picking up new shares and so on.  Not going to time the market (when is the recession happening?), but spending time in the market.

1. DBS Bank Group

Of the many SG blue chips out there, DBS bank group is definitely my top favourite, as it is many investors'.  Buying DBS bank group is buying a part of Singapore's present and future.  DBS alone occupies around 16% of Singapore's stock market benchmark, and this fact speaks to the relevance of DBS bank to the economy of Singapore.  There will be no Singapore where there is no DBS bank, and that's how much I believe in DBS bank.

DBS bank published an impressive first quarter result for 2019, a 9% increase in net profit to a…

Investing 2019 May (Part 1) ... sold MCT & Ascendas

When the time is right, you sell to take in some profit.  That was what I did the first week of May before this whole madness of trade dispute happened.  Paper gains look good, but they are definitely no better than cash in the winnings. A profit on paper is meaningless if one never actually sells the shares.

Hence, I took profit for these 2 shares:

1. MapleTree Commercial Trust

Purchase price @ 1.62; Selling price @ 1.94, % gained: 19%

2. Ascendas Reit

Purchase price @ 2.54; Selling price @ 3.00, % gained: 18%

These are great reits and I intend to purchase them again when the price is right.  The share price for these two reits have appreciated rather rapidly since I bought them in October last year, and I did wonder if they could continue their ascent.  As at this point in time, the 52-week high for MCT and Ascendas are 1.98 and 3.06 respectively.  I sold these units pretty close to the top, and I am glad for that (the benefit of hindsight).

When prices rise, shares will become more…

Investing 2019 Apr ... bought Singtel, Memtech & UMS

Image
I did a lot more work doing research on stocks this month than I did last month.

I picked up some stock tips and did my own due diligence on the stocks that I shortlisted, and eventually bought.

My third major purchase for this year was Singtel.  Singtel's overall business has come under some severe attack.  However with its strong balance sheet, excellent free cash flow (2.53 billion) and low gearing of 24.9%, I believe it will be a sleeping behemoth no more in the future.

Beyond the shores of Singapore, Singtel has a presence in India (Bharti Airtel, the number two telco in India), Indonesia (Telkomsel, the number one telco in Indonesia), Philippines (Globe), Thailand (AIS) and Australia (Optus).  Add to these the other segments within Singtel Group, the Group Enterprise and Group Digital Life, Singtel has enough stamina to fight a good fight and win a larger slice of the pie in the industry.  Nevertheless, Singel still faces stiff competition all around, and that might reduce i…

Dimensional Investing and Moneyowl

Image
Finally dimensional investing is available to retailers!  Via Moneyowl (https://www.moneyowl.com.sg/)

I first read about dimensional fund investing on investingmoats.com.  Kyith has written a very comprehensive, almost scholarly, post on dimensional fund investing (http://investmentmoats.com/money/invest-dimensional-fund-advisors-dfa-funds/).

Dimensional Fund Advisors have a Singapore site (https://sg.dimensional.com/) and needless to say, I checked it out first before taking a look at Moneyowl.  Dimensional Funds are limited to institutions and financial advisors, so there's no way to buy their funds directly from them.  The funds are not available to the public at large.  That's where Moneyowl comes in.

What's so unique about Dimensional Fund Advisors?  Let's hear it from the boys:
"At Dimensional, our investment approach is based on a belief in Markets ... Trusting markets to do what they do best - drive information into prices - frees us to spend time where we…

Being a Sole Breadwinner and the Solo Investor in the Family

Mine is a single income family with me, the husband and father, being the sole breadwinner.

When the pay check arrives, a big portion goes towards family expenses in these categories:

1. Food/Groceries: $600-$800
2. Home/Utilities/Communication: $350-$500
3. Transport: $300
4. Education: $100
5. Insurance: $750
6. Parents: $500
7. Vacation: $500

So my family expenses range between $3100-$3450 per month.  Thanks to a very capable CEO in the family, Mrs Late Monkey, the total monthly family expenses are usually just around $3000.  That leaves a neat sum for investment every month.

1. Food/Groceries

Our family of 5 usually eats at home.  We might eat out at the hawker centres once or twice a week, and once in a long, long while, at a restaurant or fast food joint.  At the start of the day, we spend breakfast time together (very rare for most Singapore families).   Dinner time is again family time when we eat together.  Mrs Late Monkey bakes as well, so we always have cakes, brownies, and…