Cory Diary : Preparation for 2019 Portfolio

We are near to end of year. While I am still hopeful for break even this year, there is good chance 2018 is negative to most investors on average. While everyone is still busy bandaging your wounds, I think we should at the same time prepare ourselves for 2019.



Portfolio is about managing risk

Managing Risk

1. Re-Balance : Reduced 25% in CMT in earlier blogging. This is due to good run-up to minimum expectation. I wish it could do more but I can settle with remaining 75% shares as they give good dividends even at this level.

2. Clean up : I have sold down largely AimsAmp Cap Reit yesterday. This is to take advantage of recent up swing at 1.37. I have this gut feeling it won't stay high for too long as is a resistance level. I have raised cash from this. The dividend gap to fill from this sale will be glaring if I do not do something this year.

3. Positioning for 2019 :

Shift some funds into enlarging Ascendas-hTrust at lower price. The yield is good. The gearing fine. The grow prospect is still worth a bet. This will fill some of my dividend plan.

Increased STI ETF as I think is at lower point. Averaging down Index ETF is much safer and is as keen as cost averaging and diversifying my risk rather than buying local banks shares directly which direction can be anybody guess.


Investigation Reviews

I looked at APTT a few times but sill do not feel comfortable. There will be technical rebound.
How large and how long is subjective. To myself, going in right now is pure gamble as I lack knowledge and feel for this counter. Short trade maybe nice but it won't be for 2019.

With recent low oil price, Keppel price still do not match the news. M1 purchase seems not a good deal. Property aren't helping. Chances are Keppel will have room to go much lower.

After losing OCC 5.1%, I have been actively looking for alternative. Temesek 2.7% doesn't cut it as is quite near to SSB level. Enlarging Fraser Bond 3.65% will put me over exposed to it. SSB has been max out. I won't want to put more into treasury for the yield is too low. Astrea IV trading premium is too high.


Looks like I still have few more punches to do but I am in no hurry.



thanks

Cory

2018-1128

Cory Diary : Reits 2018-1122

Reits have been stable as a rock generally despite increasing rate. However, not so this week for First Reit. If we remembered, I have cut First Reit exposure twice. If I remember correctly, once before and after a Guru posted on his sales.


First Reit

However I still hold some significant amount of First Reit for diversity of income from Reits. One of the main reason it was sold down is due to rating issue. However my thought is that Lippo is not fly by night company. Secondly on a quick glance, the hospitals are doing financially ok ( Sorry if I am wrong. Still a novice in reading report so DYODD). So chances are they have no issue paying up the rental. On top of that, there is advance payment mechanism in place. Thirdly, you can't just shift hospital operation like food stalls. That could be large impact I think.

Having said all that, I am still a retail investor and no match for expert opinion which is rare in my opinion to be seen. It went as low as 0.92 two days ago and is way oversold, As I do not have a god father who can support me when I am wrong, it doesn't make sense for me to average down. And therefore for prudence and risk mitigation, I have to right size my investment earlier to sleep well.


CapitaMall Trust

As I have blogged many times earlier, CMT is a strong reit. Even when market crashes to dust, this fellow will give good dividend yields. Investors will just have to wait it out and the price logically should return. We also has lesser issue with rights issue as they rarely tap on shareholders for fund. Today hits 2.22. I took some profit immediately for trade as it hits resistance level. I could be wrong and will logically be still very happy.


Parkway Life Reit

The yield looks much better with recent correction. I decide to average down as my exposure to this quality Hospital Properties are low and appear there is a support at this level. This will help improve my income for 2019.


Finally, my dividends have hit above target (updated for privacy)  for this year collection, and this is before Singtel Dividends.


Cheers

Cory
2018-1122