Sunday, April 2, 2017

Portfolio Update 31 March 2017

The upwards trending of the global equity market continues in the month of March, despite the Korean crisis, East and South China sea tension, President Trump's setback in the pushing of some of his policies etc. Analysts are saying that a correction is necessary, but it just had not happen.

Compared with a month ago, STI rose 78 points, or 2.54%. Year to date, the STI has climb 10.22%, or 294.35 points for the first quarter. My portfolio move in almost in line with the index, just at a slightly slower pace. As at 31 March, its value rose 2.42% compared to end February.

This month, I bought some IREIT Global and added some Lippo Mall Trust shares. I added some shares from Capital Retail China Trust and Fraser Commercial Trust shares through scrip dividend scheme. I also participated in the right issue from Ascott Residence Trust. I sold away all my shares in Raffles Education and Noble Group. Both are under performers in my portfolio. The net cash flow into my portfolio this month is S$10,692.57.

Total dividend received this month was S$7,374.00, from both shares and UT.

Below are my top 30 stock holdings as at 31 March 2017.
  1. SPH
  2. ComfortDelGro
  3. DBS
  4. OCBC Bank
  5. Ausnet Services
  6. Metro
  7. ST Engineering
  8. Kep Inf Tr fKa CIT
  9. Frasers Comm Tr
  10. SGX
  11. Sembcorp Ind
  12. CapitaLand
  13. AIMSAMP Cap Reit
  14. Tai Sin Electric
  15. CapitaComm Tr
  16. Keppel Corp
  17. Starhub
  18. SATS
  19. Sing Inv & Fin
  20. OUE
  21. Lippo Malls Tr
  22. United Engineers
  23. Global Inv
  24. Nam Lee Metal
  25. Ascendas Reit
  26. Nikko AM STI ETF 100
  27. Cache Log Trust
  28. Stamford Land
  29. KSH
  30. Mapletree Log Tr

Wednesday, March 1, 2017

Portfolio Update 28 February 2017

The Trump rally continued this month but started to show some weakness towards the end of the month, as people now start to doubt if President Trump can turn all his promises into policies. STI "chiong" pass 3,100 but pulled back in the last 3 days. The index closed at 3,096.61 today. Compared with a month ago, it rose 49.81 points or 1.63%.

My portfolio performed very well this month. Its value increased by 3.15% in one month, thus narrowed the year to date gap between its performance and that of the index.

This month, I bought some SingPost shares. I also subscribed to the right issues from Tat Hong, and participated in the scrip dividend scheme of First Reit and Keppel Reit.  Net cash injection into the portfolio is S$8,656.00. Besides, I increased my bond investment this month and reduced Equity fund investment.

I received a total of S$11,931.00 in dividend, from  both shares and UT.

Below are my top 30 holdings as at 28 February 2017.

1.       SPH
2.       ComfortDelGro
3.       DBS
4.       OCBC Bank
5.       Ausnet Services
6.       ST Engineering
7.       Metro
8.       Kep Inf Tr fKa CIT
9.       Frasers Comm Tr
10.   Sembcorp Ind
11.   SGX
12.   CapitaLand
13.   CapitaComm Tr
14.   AIMSAMP Cap Reit
15.   SATS
16.   Starhub
17.   Keppel Corp
18.   Tai Sin Electric
19.   Sing Inv & Fin
20.   United Engineers
21.   Global Inv
22.   OUE
23.   Nam Lee Metal
24.   Ascendas Reit
25.   Nikko AM STI ETF 100
26.   Cache Log Trust
27.   KSH
28.   Lippo Malls Tr
29.   Mapletree Log Tr
30.   Stamford Land

Friday, February 24, 2017

Water Price Raising - Psychological Feeling vs. Mathematical Analysis

One announcement Minister Heng Swee Keat made with the Budget 2017 that created strong reaction from Singaporeans was the raising of water price by 30% in two years. Radio stations made talk show on it and invited listeners to give their view. One of the callers suggested that the authority should have raised water price "gradually" over the past 10 years instead of making this "quantum" price jump at one go. The invited guest, one MP concurred to this opinion and said he would bring it up in the parliament during the budget debate.

A gradual price increase is psychologically easier to be accepted by consumers than a price jump of 30%. However, a mathematical analysis shows this is not necessarily advantageous to them in term of the money paid.

let's make a simple analogy. Say, a certain necessity commodity cost $1,000 for the past ten years, and the price jumped to $2,000 on the 11th year.

Now instead of this price jump on the 11th year, the price increased by $100 each year from the 2nd year onwards. So on the 11th year the price is $2,000, same as the first scenario.

Do you see that you actually pay more in the second case?

Now is it really better to pay more with the gradual increase? You decide.

Now I understand the Chinese saying 温水煮青蛙。