Monday, 10 September 2018

10th September 2018 - Singapore Dividend Portfolio



Singapore Dividend Portfolio 2018
Counters%
Keppel DC REIT7.00%
AimAMP Cap REIT3.00%
Ascendas REIT14.00%
AscottREIT2.00%
First REIT9.00%
CapitaMall Trust4.00%
Accordia Golf Trust4.00%
Capita Com Trust3.00%
Acenndas H Trust5.00%
Fraser Com Trust14.00%
Global Investments1.00%
SingTel6.00%
Starhub2.00%
SATS1.00%
Keppel Corp1.00%
DBS0.10%
UOB0.25%
SGX3.00%
Singpost2.00%
Kingsmen Creative1.40%
Sheng Siong5.00%
Thaibev12.00%
Nikko AM STI ETF1%

Evening all. I hope today has been good for you. 

Total amount invested sits just over the $800,000 mark. 

Dividends frenzy in August with more than $8000 in the warchest.

Going to keep a very close eye on Singtel, AimAMP Cap REIT, Wilmar Inter and Accordia Golf Trust over the next week or so. 

Onward!




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Saturday, 8 September 2018

Singapore Dividends for Financial Freedom - Young Grasshopper









Well, here we are again. Another Sunday morning and another blog from your's truly. You know, I am enjoying my blogging routine. It forces me to connect a few words together and have a think about what's going on in the investing scene. 

Throughout the week, I read all my favorite blogs and a bit of news just to keep my mind suitably lubricated with the general goings on in the SGX. 

---

We've all seen the old Kung Fu movies with the master and the student. The bearded master sits crossed legged and in front of him, prostrate on the floor, is his student, obsequious and earnest.

'If you follow the path, Young Grasshopper, you will find the light.'

'Yes, Master. I will follow.'

Later, I want to share a financial version of this story.

Just to be clear to anyone reading my words for the first time, the purpose of this blog is to help others who, like me, feel a little intimidated by the array of investing information available out there in the blogosphere. My lighthearted musings hopefully provide you with an opportunity to sit back, smile and look at things from a slightly different angle. 

Conversely, you may feel my words are lacking in the kind of intellectual clout you desire from a financial blog. If you feel this way, that's fine by me. There are plenty of blogs out there offering in- depth analysis and projections of how this or that stock is going to perform, and I read most of them. But I want my own little blog to me something different. I want it to be a place free from pretensions and mumbo-jumbo and be a space where people some to have a giggle and share some investing ideas. 

Anyway, where's this blog going I hear you ask? Well, let me tell you a little story. 

Here comes the Young Grasshopper bit.

Some years ago, I helped a high school student pass his IELTS exam. For those of you unfamiliar with the acronym, it stands for The International English Language Testing System. It is the global benchmark for English language proficiency and is necessary for university entrance in Europe etc. After passing his test, my student trotted off to university, got a degree and then, out of the blue, 4 years later, arrived at my office all smiles. Of course, it was great see him again, and we shared our stories and laughed about the past. Then after a few beers, he mentioned being interested in investing but didn't know where to start. Could I help him, he asked.

A gong sound resonated in my head. 

A-ha! Investing you say. Good man.

I've always wished I'd started investing younger. In fact, at 35 I was late to the feast. But here, sitting in front of me, a 23 year old was asking me how to get started in the investing game. 

Exciting, don't you think? 

Imagine being 23 again and simply tucking away a few hundred notes every month in some blue chip REITs, a index tracker or even some blue ship stocks! My goodness! The time you have on your side. By 35 you'd be well on your way to retirement and still fresh enough to enough all the wonders life throws at you. We've all read the blogs that show us the power of compounding over time and thought... if only I'd....

So, in the spirit of friendship and financial learning, I sent the young man a copy of Rich Dad Poor Dad. 

*Cue uncomfortable coughing and chair fidgeting at this juncture*

Now, some of you might bite back at me for this, stating the book is badly written or lacks detail, but I believe for the absolute beginner, this is a good starting point. The book shapes the novice's mindset into thinking about assets and liabilities. Also, it teaches the importance of saving and making money work in your favor rather than just letting it fester in a bank account. For that alone, it gets my vote.

I remember in early 2015, sitting reading a copy of the Major of Casterbridge and my wife sitting opposite absorbed in Rich Dad Poor Dad. She urged me to read it after her. I snubbed her request, for why would I spend my valuable free time reading such drivel when I have Thomas Hardy! This intellectual snobbery was the reason I got to 35 and invested nothing. Thus, when I started reading my wife's recommendation, I realized I was Kiyosaki's poor dad, well read, opinionated...broke. We could have been twins or doppelgangers! What a shock to the system this was. 

For all those years I thought reading Dostoyeevsky, Hemmingway, Orwell, Hardy, Chekov etc. made me a better person, a superior being. After years of reading about murder, incest, love affairs, friendship, family, government etc. I felt like I knew it all. My ego bulged ever outwards. 

'Rich Dad Poor Dad - you must be joking! I'm not reading that nonsense!'

But when I read it I got a shock. How could I have been so blinkered all those years? My myopic obsession with classic literature (not to mention philosophy) had made me arrogant, wordy and vague (as is still evident in my writing style - sorry folks)

Rich Dad opened my eyes and showed me a different way to live, think and experience the world.

For those who grew up with Rich Dads, you don't know how lucky you are. But for the rest of us, who had Poor Dads, a book like the above is necessary reading. We all have to start somewhere, don't we?

So, to wrap things up here, this is why I recommended Rich Dad Poor Dad to my very own Young Grasshopper. Not only will it change his mindset and show him the correct path (like it did for me) it will give him ideas and vocabulary, enabling the next step along the path to financial freedom. 

This is something we all need and the younger we get it the better.


                                                ,                                                            


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Sunday, 2 September 2018

Singapore Dividends for Financial Freedom - My Story 3

Are you in control?


OK, then here we go. Welcome to the third installment of Singapore Dividends for Financial Freedom - My Story. I hope you'll allow me the space to think out loud, for I find typing frantically is like letting the air out of a balloon. Psssssssit! There we go. Didn't that feel good?

With our lives filled with ever more distraction and responsibilities, it cool to type a few words in a carefree fashion and offer to the world an honest opinion. Honestly, if no one reads this blog, I don't care. For me it is an exercise in mental tomfoolery, a way to keep my cluttered head from exploding.

What with Facebook, Line, Whatsapp, email bla bla bla, we've become slaves to technology. Watch how people react when their phone receives a message.

Ding dong! says Line.

The individual jumps like they've been bitten by an wasp. The initial freakish jerk is followed by an uncomfortable wriggling and then they rub the effected area, soothingly, softly, slowly. Oh, the relief! Shit! Another email from an Indian CEO company.

It could have been a message containing details of how I could become the new Warren Buffet, or even how by deciphering some ancient hieroglyphics I could learn the mysteries of alchemy or the Turin Shroud. But, oh no. Just more nonsense. Delete.

But my goodness, it's so tempting, isn't it? You just have to look. Another message teasing me, flirting like some Persian temptress.

Ding Ding! goes its calling call, filling my brain with lovely dopamine. Oh lovely dopamine!

Anyway, I'm not going to get preachy in this blog. Its your life and what you do with your free time is none of my business. But a little voice inside my head tell me that very soon there may be a backlash against the intrusiveness of instant messaging. Little by little we are realizing the little computer in our pocket, the little rectangle of metal and plastic is stealing from us important down time. With each Ding Dong! we are snatched from the present moment and forced to engage in the online world. Personally speaking, I'd rather not. I like ME time. But anyway...

I'm aware my blog does not have the expertise of Financial Horse or the precision of Forever Financial Freedom but I hope my words can offer someone, somewhere a little something. Honestly, I'm not sure what this could be, but my aim is to share with you my passion and love of the Singaporean stock market and its businesses.

For more silliness come and like my Facebook page.

Slainte

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Wednesday, 29 August 2018

Singapore REIT of the Week



Well, hello all you REIT lovers out there. How's it going?

This post is the first in a new series called Singapore REIT of the week. Now, I'll assume for now all of you know what is REIT is and how it works. If you don't, don't fret, here are some wise words from the folks over at ZUUONLINE

The REIT I want to focus on today is First REIT (which from now on I'll refer to as First)

First was the first - funnily enough - REIT to be listed on the SGX way back in 2006. It has a diverse number of yield accretive (I think I spelled that right) health care and health care related real estate assets in Asia.

The portfolio consists of 16 properties in Indonesia, 3 in Singapore and 1 in South Korea. For more detail read here.

Let's have a look at some reasons why I think First is cool:

1. Track record of raising DPU

Between 2007 and 2017 its DPU grew from 6.73 to 8.54. This is bliss for us dividend hunters as it allows our hand earned cash to compound deliciously over the years. Yum yum!


                           Source: First REIT annual report

2. Revenue Growth

Between 2007 and 2017 First's revenue grew from $28 mill to $111 mill. I'm sure you will agree, this is some sexy growth, but what's more important for us divided divas is it means management can keep the DPU pointed in the right direction.

Here's a lovely graph comparing First's revenue and distrabutable income between 2007 and 2017.


                           Source: First REIT annual report

3. Demographic Trend

Go on the oldies!

First REIT is not going to disappear overnight. People are living longer than ever.

'Staying Alive' by the Bee Gees reverberates around my head at this point, if you'll excuse me.

Who wouldn't dig deep (excuse the death pun) for high quality health care. Thus, the likelihood of humans sidestepping the G-Reaper is slim.

That said, according to rag British newspaper, The Sun, if you are presently under the age of 40, then there's a chance you'll be able to live forever.

My goodness, wouldn't this be bad news for healthcare REITS! and us who invest in them. Aggghh!

Anyway, let's put a wacky futurologist's ramblings aside for a moment and breath in the cool air rationality.

Aggggh... that's better, isn't it?

Feel your blood pressure return to normal and swipe that sweat from your brow. I'm an optimist, you see. I know we are a rare breed in the investing world, but I am and that's it. I'm not ashamed to wear it on my chest either.

In fact, I might get a t-shirt printed with 'Singapore Dividend Collector knows everything will be fine'. I could start selling them on my blog and armies of smiling Singaporeans could skip their way to work, beaming from ear to ear.

So that's it folk's First looks good to me, but it is a bit pricey with a price to book of 1.2 something. You you'd be forking out a premium for the pleasure of owning this REIT. That said, with the rising DPU and revenue growth, combined with old people living longer, I might just have another bite at this.

*Please don't invest based on anything I say, for I am semi-sane and haven't really a clue what I am talking about. In fact, I ate a banana backwards this morning and though it tasted better. Your investments are your business - not mine*

Have a toothsome evening folks.

For more silliness come to my Facebook Page and Like

Slainte
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Monday, 27 August 2018

Singapore Dividends for Financial Freedom - My Story 2

Nice time machine, eh?


Let's jump in a time machine and go back to 2015. As we step away from the silver metal and roaring light, a few facts begin to become clear.

1. I'm a man in my mid thirties with as much financial know how as a leather football.
2. I'm comfortable wallowing in this ignorance.
3. I'm no more interested in investing than reading a Swahili language textbook.
4. I believe myself to be smart and on top of things financially when really I haven't a clue.
5. I drift from week to week procrastinating and dithering around as if tomorrow will never come.

Now, you may ask, my dear readers, who or what gave me the necessary jolt to awake me from my financial slumbers? Like most men, correct me if I am wrong here fellas... Like most men, I received some harsh words from a very special woman, who for now shall be named Mrs. X.

Mrs. X, this most mysterious and intellectually astute of females, finally started questioning a few things around the house. Namely, why does all the money we earn sit in a bank account getting less than 1% interest when the rate of inflation is considerably more. That means, Mrs. X told me with some venom, that our hard earned cash loses money over time sitting in the bank. For a man with zero interests or opinions on the nuances of the financial world, this fact hit me like a rabbit punch in the kidneys. Why did I never think of this before? How could I have avoided something so simple yet obvious for so long?

Armed with this knowledge, I recoiled in embarrassed horror to my bedroom. Suddenly, my life, albeit relatively successful up to this point, felt like it missing something. This was the elephant in the room that cliched contemporary political commentators waffle on about. My head spun and I could not hide my embarrassment. I had allowed a decent sum of cash to lie dormant in a bank account for years doing nothing. How could I let our hard earned money do squat? It was time to take action.

For more silliness check out my Facebook Page and Like

More in Singapore Dividends for Financial Freedom - My Story 3


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Saturday, 25 August 2018

Singapore Dividends for Financial Freedom - My Story 1

Dividends = Freedom


I've been investing in the SGX since 2015, but blogging is a new found love. Over the last few years I've taken pleasure in reading Singaporean blogs from the likes of

http://thefinance.sg/
http://foreverfinancialfreedom.blogspot.com/
http://singaporeanstocksinvestor.blogspot.com/

to name a few and I've always admired their succinct and no nonsense approach to stock investing.

Before 2015, I knew nothing about investing. For me, investing was something for the wealthy: poor people bet on horses, rich people bet on stocks. This I muttered silently to myself whenever the topic of shares etc. came up in casual conversation. However, in this year I started reading Jason Fieber's former blog, https://www.dividendmantra.com/ For some reason unknown to me Jason distanced himself from this blog and set up another called http://www.mrfreeat33.com/ Both of these focus on value dividend investing and financial frugality.

Jason used to be a car salesman in the USA and built up a size-able portfolio of dividend paying stocks with the aim of retiring young and being able to peruse other interests. This he has done and he now resides in Chiang Mai, Thailand, and appears to have achieved his dream of living of dividend goodness. Fair play to him. I urge you to check out his blog and follow his Facebook page. He offers lots of interesting insights and tips on how he manages his spending and evaluates equities. Good on you Jason!

Inspired by Jason, I started reading about investing. Having a background in political science and English literature, I found this tough going. I was more use to deconstructing James Joyce rather than evaluating P/E ratios, but eventually, after much nail biting, the mist began to clear.

I read tons of Buffet's letter to Berkshire shareholders as well as The Intelligent Investor by B Graham and tried to get a grip on what it was these investors had in common. What did they know that I needed to know? What nuggets of knowledge could I extract and apply to my own investing?

I'm sure most of you have read the above so I won't even begin to patronize you will details, but all I can say is that if you are new to the equities game, read Buffet and Graham. In fact, once you have read them, read them again, and then repeat once year for the rest of your life.

Another inspiration for me in the early days was The Motley Fool Money Podcast These straight-talking Yanks made the world of stock investing sparkle with their incessant chatter about the US blue chips. For a while I was tempted to start investing in the S&P 500 until I found out about the 30% tax of dividends in the US. My goodness that news pierced me like a knife to the heart and made my head spin.

I knew by this stage I wanted to invest for income. Growth investing didn't tick enough boxes for me. Namely,  the idea of getting older, nearing retirement and being wiped out by a market crash gave me the fear. Thus, the idea of building up a income paying portfolio bit by bit, diligently reinvesting all money back into the the portfolio and letting compound interest work its magic appealed to me. What could be cooler than sitting back and watching your wealth grow passively? I'm lazy by nature, so I'd found exactly what I'd been looking for all those years: an opportunity to retire younger and secure an income to pursue free time activities.

Anyway, I'll leave it there for today. I look forward to blogging more. I plan to write one every Sunday morning and hopefully I can produce something that's worth reading. Anyway all for now.

For more silliness check out my Facebook Page and Like

Slainte











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Saturday, 18 August 2018

19th August 2018 - Singapore Dividend Portfolio

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Singapore Portfolio 2018
Counters%Market Price $Total Value Based on Market Price $
Keppel DC REIT7.00%1.3874,823
AimAMP Cap REIT3.00%1.3921,128
Ascendas REIT14.00%2.72120,768
AscottREIT2.00%1.0814,796
First REIT9.00%1.2869,120
CapitaMall Trust4.00%2.2123,466
Accordia Golf Trust4.00%0.5725,080
Capita Com Trust3.00%1.7523,466
Acenndas H Trust5.00%0.837,600
Fraser Com Trust14.00%1.39116,760
Global Investments1.00%0.1369248
SingTel6.00%3.1140,430
Starhub2.00%1.668300
SATS1.00%5.0511,110
Keppel Corp1.00%6.645976
DBS0.10%25.091004
UOB0.25%26.812359
SGX3.00%7.4122,230
Singpost2.00%1.1413,260
Kingsmen Creative1.40%0.5411,000
Sheng Siong5.00%1.0942,510
Thaibev12.00%0.64576,110
Nikko AM STI ETF2%3.3213,280
Total: 783,824

The portfolio has taken a bit of battering in 2018 so far with Singtel, Starhub and Thaibev suffering. This doesn't bother me much as I'm in the game for the long haul. 

Thaibev in particular tumbled over 10% in the last week, making it rather attractive at $0.645. I have faith in this counter in the run run especially with their recent acquisitions in Vietnam (Sabeco) and in Thailand (KFC) For sure, Thaibev have a lot of debt on the balance sheet, but this will translate into big returns in the not to distant future. Thus, with all my juicy August dividends I might just crack open and other Chang and purchase some more of this counter.

Singtel as well looks tempting at $3.11 and a yield of 5.52% 

I will continue to do as I have always done: Re-invest all dividends in $10,000 blocks and ignore all noise from the market. Nothing fancy, nothing technical. Come on early retirement! 

For more silliness check out my Facebook Page and Like



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