Feb 3, 2018

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.



  1. Good timely reminder.

    And btw Cory not amateur but extraordinary!