Cory Diary : Trading Log 2021-0825

SGX

One significant change this week is another reduction in SGX share after HKEX announced the launch of derivatives product on New MSCI CHINA A 50 CONNECT INDEX. This is the 2nd reduction of the stock and as blogged earlier that while is easy to make the buy decision, the sell price is not easy to determine. So the decision is to take profit while there is still sizeable gain and the yield is now below 3%. With this move fund is released for opportunity.

Tencent

Yesterday the large rebound on Chinese Tech stocks came as a surprise. Whether it will last, time will tell. So far initial positions are to buy on low. In fact Portfolio added some Tencent shares just the day before. Lucky in sense but not big enough. Hindsight is a bitch. Tencent is now on about same level as early Year 2018 peak. This is around a new support level. Whether they will go another dip is anybody guess. Who guess right will be Guru of the Week. With that, Alibaba HK, Lion HS Tech and now Tencent HK exposure into Chinese Shares.

Some folks make it big by averaging down significantly. Timing has to be really good to do so. But for this portfolio, it will be in stages which means more transaction costs.

Cory

2021-0825

Telegram CoryLogics Invest Chat

No Coin, No Porn, No Penny

Telegram CoryLogics

Articles in this Blog is personal take and educational purposes only. Reader should seek their own professional help when making financial decision and be responsible for their decision.

Cory Diary : Trading Log 2021-0808

Do quite a number of trades recently for a number of reasons. So I thought is good time to document my thoughts as my portfolio hits ATH and want to secure my profits for some counters and some rebalancing. Take note this is from memory so I could make some errors so please DYODD as usual.

CICT

Cleared my position when the price bounced back some after Ex-Dividend. My opinion is that opening up certainly will help the malls. Considering I have positions in both FCT and MCT, I could be more focus. CICT still has possible opportunity externally but I decided not to wait. I may come back to look at it again if they work this out well. Don't get me wrong. CICT is still a stable stock to own for dividend but I am looking for more growth and I feel FCT and MCT will likely do better in the long run.

Nothing is better than a picture. This is where I should focus for longer term. Hope this explain my changes with time. Is quite obvious.

DBS Holding & OCBC Bank

With MAS finally lifting of Dividend Curb, the stock is now back to 33 cents for coming quarter. DBS price went past $31. I took the opportunity to take some profit off the table instead. One of the main reason is that the earning has comes down before allowances. I still have large holding in the bank. I also take the opportunity to clear off my OCBC balance shares the same time. A wonderful ride with banks this year with DBS registering the largest gains YTD and indirectly pushing up the STI Index.

SGX

The result of SGX is not so good. Lower rev and profit. What's surprise me is the interests return from Treasury income took a hit due to lowering interest rates. I didn't see this coming. The stock is quite promising. My investment in the stock is I have the gut feel is quite undervalued. When it hits $12, I did not sell. Frankly, I do not know when to sell because I am not ready for it. So the financial report kind of hit it on my head. I decided to take some profit off the table. Again I am still well vested in SGX and will continue to monitor a bit.

Cory

2021-0808

Articles in this Blog is personal take and educational purposes only. Reader should seek their own professional help when making financial decision and be responsible for their decision.

Cory Diary : Equity Allocation Jul'21

iReit Global

Recent change includes the long awaiting Preferential Offering (PO) finalized. The excess allocation result is kind of surprise yet not. CDP share has more than 2700% excess allocation in term on original rights allocation. This is in consideration that share size is minuscule.

On Custodian account side which is where main bulk of iReit shares are, it is slightly more than 100% excess allocation again in term of original rights given. If we have applied for double the excess, there is likelihood we would have got it as well based on others feedback. This is a surprise. On hindsight, which is a bitch, PP is quite small relative to PO. Well sometimes it takes experience to get through. And then proceed to shade a little off the portfolio to right size the exposure assuming the trading price maintains.

SGX

Is on the tear again. Blogged many times on the significant undervaluation. It has keep growing. Unfortunately we couldn't chase as valuation is an Art especially so when we have sizeable exposure already. It is also one that provides the balance factor on different market sentiment days. It has the potential to grow to join the big 5 of the portfolio allowing more diversification and stability needed to compensate on smaller bond size.

Allocation

Bond investment reduced to 11% but in actual there is expansion in CPF allocation which is not part of this scope. Any interests on Bond/CPF can read ( Here ). Reit allocation lowered to 48% despite recent PO. This is mainly due to reduction of Aims Apac Reit from recent run up. I was second guessing potential rights issue which I have no plan to take up hence the change but on second taught there is possibility of merger which has been rumored for a long time.

We have seen good gains of the portfolio this year. However, there is still room to grow till the end of the year as it has laggards such as Malls and Industrial Reits which will benefit from the recovery of Covid-19 despite hiccups. Maybe we will see 15% allocation if all stars aligned.

Dividend Returns

Dividend generation at sustainable level for the portfolio hits 60k. ( If we leave as it is without injection and say 2% growth, and some dividend growth as well, we will see 4k more dividends each year. This is rough estimate as we need more data with time to get the trend right. The formula will be portfolio value x 2% growth x 5% yield + 2% growth x annual dividend. ) Some injections will push the annual dividend increases to 5k. What this mean is it will take 7 to 8 years for dividend to grow to 100k annual on conservative estimate if we let the portfolio runs on with limited intervention. However, the portfolio which has been living on 7% annualized returns for past decade. So it can be done in 5 years or less. A long stretch goal. Wishful thinking ?

Cory

2021-0722

Articles in this Blog is personal take and educational purposes only. Reader should seek their own professional help when making financial decision and be responsible for their decision.

Cory Diary : Trading Log 2020-0814

Due to Work-From-Home, Trading has increased despite very busy hours with my new born as I will managed time in-between caring for her as a relaxation instead of sleep. I will need to change this before sleeplessness becomes a norm.

SGX

Over months I have built-up a position in this counter after the large drop due to MSCI discontinuation. My thoughts is that this is financial, exchange, digital and Covid Proof. And the market over-reacted. Considering the situation in Hong Kong right now, I think MSCI moves probably not so good politically.

Below is the new interface of SGX Portfolio page. This is good improvement. Do note only track shares accredited to it. 

Yield wise, the increase in DPU is a positive move of SGX. And I am looking into their growth opportunities. Personally i feel they have many opportunities in the fintech future.

VICOM

The yesterday report of lower returns are not unexpected as the information is publicly known previously. My last position was June prior to the share splits so I did not sell at the top. I would think this may reflects on SBS Transit as well so avoided any new position on it. Both counters will be interesting to monitor.

DBS

Continue to average down on DBS as I feel the dividends able to provide is no brainer investment which is much better than my Reits. This is in-addition to the profitability. Unfortunately, MAS direction results Bank reducing their payout to 60% caught me by surprise in the sense Singapore Local bank gives me the impression that they are much more conservative in their operations compared to their oversea counterparts. So if any business is worth to lend, they would have the money.

The only risk which I have mentioned multiple times are Digital Banking Licenses which is an unknown risk which could put another big dent on Temasek earning after Keppel, Singtel, SBI, SBM, SAT, SIA ... are performing relatively poor. My list needs to be validated as I am using my untrained memory. Do the additional licenses timing be adjusted further or should it be curtailed ?

ACCORDIA GOLF TR

The long wait has finally arrived with the buy over of all the golf assets with a further price increase thanks to some key shareholders. From here, I learn that to have this folks are great. 

Relieved myself of recent increased position and some partial sale of existing holding as I am not very familiar with the entire returns process or any uneventful. The hope for remaining is we can have new surprises or my unknown that can further improve existing stakes as I will walk to the end probably as a learning experience.

The con of the buy over is that this counter provide good yield which will put a dent to my dividend plan. So I am in the process to mitigate but need to care that risk is also managed.

ASCENDAS REIT

Cleared all my positions when it run up recently. Manage to buy back in stages to build it back up after Ex-dividends. Due to this move, my dividend received has been reduced by more than 75% from this counter in exchange for capital gains. My final position is slightly smaller in shares from starting and overall I think a slight net increase compared to if I have done nothing. The experience is a not so fruitful exercise. Broker happy and I do not have loss.

The reason I buy back most of my shares are due to Ascendas is I feel is a key stake in any dividend portfolio. The yield has comes down slightly due to Covid but largely due to price increases. For later reason, one should not use yield to justify not buying back as it will be a big mistake. The counter is no longer my top position but certainly my best profit counter YTD.

There are more trades on others but I think today I have talked enough.

Cory

2020-0814