With the approval of the 4th telco, all 3 existing telcos (Singtel, M1, Starhub) took a beating in their share prices. I used to hold some Singtel shares (bought at $3.79) but had sold them at a small profit before Standard Chartered's minimum commission kicked in.
With the fundamentals of Singtel remaining more or less the same as before, the reduced price of $3.66 meant that it was now more attractive as a value play. Was actually looking to buy in a few days ago, but decided to see how the trend was going, before committing today with 700 shares @ $3.66.
So, looking at the fundamentals of Singtel, we have:
1) Business earnings is well diversified geographically, if I'm not wrong Singapore only accounts for approx 11% of their earnings, thus the 4th telco is unlikely to affect the earnings much
2) Profit margin of approx 20%, compare with 15% for Starhub and M1
3) Payout ratio of 75%, meaning there's room for dividends to grow or unchanged even if their results should decline (touch wood!)
4) P/E of 15, which is slightly higher than Starhub and M1 at 13 and 11 respectively, however Singtel's P/B is the lowest at 2.3, with Starhub and M1 coming in at 21 (!!!) and 5 respectively.
In essence, the buying of Singtel represents a value buy, given that I was able to buy in at a lower price than previously. Singtel's fundamentals looks to be far and away more resilient than the other 2 incumbents, and I am quite confident that Mr Market will realise this before long.
Friday 30 December 2016
Monday 26 December 2016
2015 vs 2016
Just a short post regarding how much I have as compared to 2015.
2015:
Cash: approx $20,000
Stocks: $15,500
CPF: $42,300
Total: $77,800
2016:
Cash: $38,000
Stocks: $21,000
CPF: $68,200
Total: $127,200
Total net worth increased by approx $50,000 which isn't too bad, considering my low-mid 4 figure income. However, discounting the CPF amount, my cash/stock portfolio, which are a lot more liquid and accessible, increased by $24,000, which I think could do with a bit more increases next year. Especially surprising was that my stock portfolio increased only by $5,500. Will be striving to do better in this aspect next year as the stock market still represents the best chances of leading to a semi-retirement asap.
Dividends from stocks wise, 2016 got me a total of approx $700 in total, which seems little at less than $2 per day. However, I participated in all DRIP schemes available to me, which would have increased the dividend collected to approx $1000. Will be working hard to increase this to at least $1200 in 2017.
Friday 23 December 2016
End of Year Summary (Return from a Hiatus)
December's finally upon us, and I'm back after a hiatus. This post will just be a short summary of what movements I've made since my last post (August? Damn I need to work harder at this). For starters, I'm now solely concentrated in STI, having sold my Omega Healthcare stocks for a profit.
Next, I subscribed to Keppel DC Reit's rights issue, managing to snag some excess shares in a quality Reit, as well as a few other minor movements. As promised, the implementation of a minimum commission of $10 by Standard Chartered really curtailed my ability to buy in, plus with negative sentiments in the economy, I'm likely to be increasing my warchest in the coming months, unless something catches my eyes, such as maybe Singtel or Kingsmen Creative (very different set of reasons why I'm watching these two stocks closely lol)
Anyway, here's my consolidated holdings for now.
Will probably be posting the details of my financial status (figures, plans etc) soon, but on a whole I'm pretty happy about how my financials are right now, increasing my net worth steadily. In fact, after factoring my CPF monies (which I don't think I should but hey its my assets still), I have graduated from the 5-figure class as of 2016!!!!
Next, I subscribed to Keppel DC Reit's rights issue, managing to snag some excess shares in a quality Reit, as well as a few other minor movements. As promised, the implementation of a minimum commission of $10 by Standard Chartered really curtailed my ability to buy in, plus with negative sentiments in the economy, I'm likely to be increasing my warchest in the coming months, unless something catches my eyes, such as maybe Singtel or Kingsmen Creative (very different set of reasons why I'm watching these two stocks closely lol)
Anyway, here's my consolidated holdings for now.
| Name | Port% | Shares | A.Price | Dividend |
| OCBC Bank (SGD) | 21.55% | 508 | $9.46 | $152.56 |
| First Reit (SGD) | 19.94% | 3,332 | $1.24 | $320.00 |
| SoilbuildBizReit (SGD) | 14.90% | 4,900 | $0.67 | $68.51 |
| Keppel DC Reit (SGD) | 10.47% | 1,900 | $1.04 | $101.80 |
| Hock Lian Seng (SGD) | 7.22% | 4,000 | $0.39 | $142.00 |
| Accordia Golf Tr (SGD) | 6.64% | 2,200 | $0.61 | $139.43 |
| KingsmenCreative (SGD) | 3.62% | 1,200 | $0.79 | $41.00 |
| Tai Sin Electric (SGD) | 3.56% | 2,000 | $0.33 | $32.00 |
| Lippo Malls Tr (SGD) | 3.12% | 1,800 | $0.34 | $54.35 |
| ST Engineering (SGD) | 3.05% | 200 | $2.82 | $30.00 |
| AIMSAMP Cap Reit (SGD) | 3.04% | 500 | $1.32 | $36.64 |
| IREIT Global (SGD) | 2.41% | 700 | $0.63 | $45.79 |
The portfolio is currently doing quite well, beating the STI quite easily. In fact, other than OCBC and Kingsmen, both of which I entered too early due to the fear of missing out on their Ex-dividend date, most of the other holdings are in the green. Do keep in mind that this takes into account the dividends that I've collected through the months though. This more or less assures me that my way of investing is working for me right now, and probably with a few slight tweaks, should be able to get me to where I want soon.
| Year | Portfolio | ES3 |
|---|---|---|
| 2014 | 9.09% | 1.79% |
| 2015 | 0.02% | -10.95% |
| 2016 | 30.48% | 3.08% |
| Overall | 42.38% | -6.56% |
Thank you to all the readers out there, I promise I will post more things in future :)
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