Cory Diary : Recent Trade Actions 20180220

As DIY Investor, when I am not glued to 2018 Budget, at least need to catch the key points. They could provide some help or guidance on what is to come in the future. And then double up with whats app or forum discussion. This will give me a basic idea. The key is information and being smart is not enough. There is one more thing, I need to be fast too. Why ?

Design Studio prior to CNY holiday announced Profit Warning. This is Information. If people who has follow my portfolio, I first did my reduction in this counter so that I can sleep better when price ran up. (link) I know this is SME. And high price volatility in illiquid stock means there can be sharks. DS also has a CEO change. Taking some profit off the table created some profit buffer.

Then the quarterly report is bad, and price took a hit. CFO resigned later (I think last Dec'17). And climaxed with Feb Profit Warning. First trading day 9am, I saw the buy queue 0.52. I miss to sell it in seconds.  (In my heart is like %^&$#@). The price went down to 0.48 to 0.50 range quickly which I manage to sell down most of my remaining shares.  I am still left with few k unable to clear due to no buyer. My pain to learn. The day ended at 0.40. That's fierce. Cut loss and sell down are key steps I took to mitigate my losses for this situation as I am blind sided on how bad the news are.

I have few other trades this month but I think writing down my experience on Design Studio is enough for me tonight. Is late past 1 am ... Hope you have a Happy Chinese New Year.



Cory
20180220

Cory Diary : Disappointing Singtel Results - Feb 2018

DJIA has been shaken twice within a short space of time after I blogged days before it on my concern of the correction coming and my fear of Crypto Currency. What I am more surprise is the weaker result than I anticipated of Singtel. Bad news like to come in a string.


Singtel

Did a quick glance on Singtel Results. Weaker associates result pull down overall performance but there are strong area and direction which management has been making proactively. Holding to most of the cash from Net-link sale is right move. FCF still look ok. Nevertheless, associates make up a good portion of Singtel earning and I am disappointed. While I think they can continue to maintain dividend without problem, I am not 100% sure that they want till they do.

For long term I still find Singtel is a much better and safer bet. And their investments are well positioned. For short term, DJIA volatility is a concern and I like to understand how this play out first. For Mid term it may takes more time for Singtel to transform. Therefore I decide to adjust my position size accordingly. Yes, peace of mind is important. And will re-balance the cash raised to be invested prudently at the right time.


Cory
20180209

Cory Diary : Investment Returns, Nerve-racking in uncertain time

For past few days the market has finally turned. How long will it last ? Frankly I dunno. It seems a long time that I have a feeling of correction coming. It will come, just not sure is it this time or next. The way crypto-currency direction is going seems busting is underway. Probably when we see US$5-6K range for further confirmation. If we are using USD to buy them, is actually double whammy considering USD has depreciated 10% for past one year. Will there be banks or institutions fall out ? So far no. I am still curious what have I missed but I never believe in Creepy Currencies since no value is created. I could be wrong and total miss out this "Investment" but I will still be ok. That's, the Logic.

What I did prior is successfully applied for Treasury. This is way after parking in fixed deposits and maximized my SSB. I will probably do more treasury applications as I have two more 2 years fixed deposits maturing soon. Time flies ! While I keep such investments off my equity investment book, in total it did keep my sg equity portfolio contained within my emotional limit.


Unnerving Logic

Compared to 2008, my 2017 SG portfolio now is far larger. Therefore I come to the sense that I could see 6 figures fluctuation in my portfolio if market did indeed correct. This realization is important for dividend investors who will be in the market mainly. Why ? See chart below.

Compounding works in both way. As my portfolio has been compounding up, naturally correction will mean reduction from the compounded level that i have gained and in absolute term will be quite discomforting. So what's matter is the percentage and no longer absolute reference even though we try to contain it at same level as a measure.


In the Market

Regardless, being in the market is important as 20 years in the market chart above has shown.With more than 40K dividend annually, is highly unlikely I will trade them off. Instead at the right time if I find good equity opportunity locally, I may be considering to liquidate my US stocks which has enjoyed significant gains. That will expand my sg dividend play to another level at lower price. And when market returns the dividend jump would be significant. My only concern is the weak USD.... darn .... we can never win everything.

If amateur Cory can make it, I think likely so can you.


Cory
20180203