Saturday, May 2, 2015

[SGX Portfolio] April 2015 Update

As mentioned previously, this will be my attempt at having a monthly update of my SGX portfolio. I have also updated that page to include the historical growth of my portfolio. I find it personally encouraging to know that at this point last year I had almost nothing, but now I have accumulated a fair bit. Hopefully other people may be inspired and also decided to embark on their financial journey.
"The journey of a million miles begins with a single step"
Anyway, here are the current stats of the portfolio as of end April 2015.



Total Cost    $12,783.10     
Unrealized Gains$314.36
Accumulated Dividends $436.73
Realized Gains$471.16

*Total Cost is initial purchase cost of the current portfolio
*Unrealized Gains represents the unrealized capital gains on securities still held in the portfolio
*Accumulated Dividends is the total of all dividends collected thus far

*Realized Gains will only take into account the final net capital gain or loss after including transaction costs to close a long position on a security. 

Although a seemingly quiet month, I decided to let go a few of my holdings which I felt have shot up to the upside, leaving further upside suspect, but downside risks available.

I held Falcon Energy for less than a month and it popped 25.5%
I held Civmec for a day over a month and it popped 30%
I held Valuetronics for about 6 months and it has exploded 70%

With all these capital gains booked down, this is the first month in my portfolio's lifetime that realized gains has surpassed the amount of accumulated dividends. Is my focus on dividends dropping? I would rather think that my ability to supplement my total return through capital gains is improving, which is another skill besides dividend investing.

This is also the first month that the amount of capital being used is actually decreasing instead of increasing. As with my method of book keeping, I return all my dividends received and capital gains back into my cash hoard.

I received $27.90 of dividends from Global Investments and Sin Heng Heavy Mech. I should have some dividends coming in this month ahead from about 5 counters, but it should only be marginally higher than this month.

Annual income from dividends is now expected to be about $775 for a full year, but of course I collected some and miss out others by not owning them the entire period. That brings the expected monthly income to $64.58 and daily income to be $2.12.

Based on the dividends I am expected to collect, my portfolio dividend yield on cost is estimated to be about 6.22%. I have taken the lower bound estimate for most of my counters, so it is quite possible to have surprises to the upside. My portfolio yield is dropping as I am trying to limit my individual exposure to high yielding names to spread my risks.

One year ago, my portfolio was a paltry $875, with only 1 stock - Croesus Retail Trust. Since then, I have injected more than $10,000 capital into my portfolio and expanded my holdings to 27. I have also generated an absolute total return of 9.56%. Of course, since this is the absolute value, a better method of calculation would be dollar weighted returns, which should be notably higher.

Rome wasn't built in one day. Everybody has to start somewhere.

What drives me with the sharing of my SGX portfolio is to show people an example of how one can work towards their dreams - with discipline and hard work.

One year ago, I would have never imagined to be where I am today.

Where will you be next year?

4 comments:

  1. Hi GMGH,
    Congrats on the good returns! Just a personal comment, I feel that managing 27 counters is quite complex. Do you have the number of counters is too big?

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    Replies
    1. Hi Anon,

      Thanks!

      I think it depends on the degree of intimacy and involvement that each investor has when they pick a stock. I prefer to see things from a more distant point of view, so I really don't bother too much about the micro factors that each company is dealing with. I couldn't name a COE of any company I owned if my life depended on it.

      I know most people are not comfortable with my style, which is why I see most portfolios with less than 20 stocks. There's both pros and cons being concentrated or diversified. I feel that the style I need for me to succeed with my characteristics is one of detached investing.

      I am looking to expand that number to at least 50, targeting 100. Many of the stocks that I would like to own are just too expensive for my liking to be included now. Perhaps in the near future :)

      Delete
  2. It is easy to have good gains during a bull market.
    But you are doing right thing to sell and book your profits to build up cash or buy into better investments.
    You should do well.

    ReplyDelete
    Replies
    1. Hi Anon,

      Thanks for dropping by. I hope that I made good choices if I reflect back on hindsight! All the best to you too!

      Delete

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