THIS YEAR, so far, has not been as rewarding an experience for many of us investors, compared to recent years. The STI was at 3370 on 2 Jan 2015, and it fell to 3202 on 31 July 2015, the lowest level so far in 2015.
I still do have monetary gains (about $20K a month, largely from dividend yields on my $4 m capital investment) but they are half or a third of what I used to earn.
The STI has come down to the level it was 2.5 years ago: The STI was at 3202 on 2 Jan 2013.
I have compiled the following table showing the performance of some of the stocks I have invested in and traded in and out of:
I have invested and traded mainly in A Reit, Suntec, Mapletree Greater China Commercial Trust (MGCC), Mapletree Logistics Trust (MLT), SingPost, SPH, Starhub, with average yields of 6%.
I have reaped enormous capital gains from SingPost and Suntec during this 2.5-year period, making close to $1m in dividend and capital appreciation, at a time of high volatility in stocks, and also from my $2m investment in short term corporate bonds, with 3-5 year maturities.
It’s about right stock picks, timing and asset allocation. Those who have bet on DBS, Suntec, SingPost in past 2.5 years are clear winners as contrast to anyone who put his money in NOBLE.
Looking ahead, I feel the market will continue to be very uncertain, mainly because of the upcoming Fed hike in interest rates. The recent volatility in China markets is also worrying.
However, I stay invested – in instruments such as REITS offering yields way above bank savings deposit rates.
On a more personal level, I feel very blessed with 2 wonderful grand-children. I have travelled to most parts of Europe, Japan, Australia, NZ, China, in the past 10 years and stayed healthy so far. I am privileged to have been born and raised in SINGAPORE, and to enjoy SG50. Best wishes to everybody!