Monday, June 29, 2020

Mid year review 2020

Time flies. We are now at the mid point of year 2020.

As of writing, STI is down 19.19% year to date. (source Bloomberg)

My portfolio has performed well, and was thankfully very resilient despite the market downturn.

As of writing, it is up 26.2% (before adjustments) and up 22.8% (if adjusted for capital injections and withdrawals)

The performance is promising, but the market is still very volatile and many things can happen.

From now till the end of the year, there are several important elections (such as the Singapore General Elections coming next month, the American elections in November), geopolitical developments as well as the COVID-19 pandemic situation.

Given the behaviour of people of certain countries, we are already seeing a "second wave" in many Western countries, and business might have to shut down again.

There is also the trade wars between USA and China, and the likely weakened consumer spending due to loss of income and/or jobs as a consequence of COVID-19.

Personally, I have lost my job but I managed to recover and find another one few months later. But things are fluid and my current job might not be stable also.

It is also a "blessing in disguise" that I was forced out of my previous "rather toxic" job, as the new position that I am currently in provides a higher remuneration.

Thankfully, my financial position is strong due to the solid financial reserves buffer that I have built up over the years from (mostly) prudent investing. And I was helped by my strong stock selection (and market timing) abilities that allowed my portfolio to stay very much positive despite the challenging stock market environment this year.

I hope I can maintain the strong performance of my portfolio and build on my outperformance over the benchmark STI for the rest of the year.

And to young readers, this market downturn is a good time to start investing. I personally started investing (using my own CDP account) around 10 years ago, when we were just emerging out of the financial crisis. My years of prudent investing has helped provide me with a strong and sound financial buffer, and allowed me to tide through unexpected crises such as the job loss I suffered earlier this year.

So, please stay early and plan ahead! (my blog's motto hehe)  😀

Do also stay safe and healthy.

Thursday, January 2, 2020

Happy new year 2020 and review of 2019

Happy new year 2020! Wow! So fast! Another year has passed by..

Year
My Portfolio
(inclusive of capital injections)
My Portfolio (less capital injections)
STI
2010
+11.7 (annualized)
-0.8 (annualized)
+10.1
2011
35.3
17
-17
2012
25.9
9.9
19.7
2013
32
19.9
0
2014
53.7
44.2
6.2
2015
-0.6
-9.1
-14.3
2016
82.4
74.7
-0.1
2017
66.6
57.7
18.1
2018
-18.6
-22
-9.8
2019
20.1
9.1
5.0

The above is my portfolio performance for 2019 and over the years.

Rather underwhelming. It was doing quite well mid year, but it stagnated and fell slightly back during the second half of the year.

Year 2019, is the year of missed opportunity. I had quite a number of misses, wanted to buy shares of a listed company but procrastinated and boomed it surged before I could get my hands on them (Company M). Another, I failed to sell at a high and waited for it to fall back and sold at breakeven. (Company A). Company R, a company which I again failed to sell at a high and now the price is back to my breakeven price. Finally, Company B and Company W, which I sold at a low and the share price went up tremendously.

But, looking on the bright side, I escaped from Company R, which was suspended. Thankful for avoiding that bomb.

In short, it was a lacklustre Year 2019. Got to do better for Year 2020!

Year 2020 will be a very interesting year. Besides the trade talks (war?) between USA and China, there will likely be the Singapore General Election, the United States Presidential Election and the (potential) power transition in Malaysia.

Hope Year 2020 will be much better! HUAT AH!

Saturday, July 13, 2019

Mid Year Review for 2019

More than half of 2019 has passed, and once again, it is time to do a mid-year review of my portfolio performance.

As of today, STI YTD performance is positive, up 9.4 percent (source from Bloomberg)

Thankfully, my portfolio has performed well YTD. As of writing, it is up 21.2% (before adjustments) and up 15.6% (if capital injections and withdrawals are taken into consideration).

This performance is encouraging, especially when compared to the dismal performance last year. It also compares favourably with the benchmark STI YTD.

From now till the year end, I hope that my portfolio can continue to do well, perhaps increase by more than 35%? Or at the minimum, improve on the current performance and outperform the benchmark.

Nevertheless, I am wary that whilst the stock market has reached highs, the economic figures are not very rosy with the ongoing trade wars, tensions, economic restructuring and displacement and so on. In fact, the big news today indicated that "Singapore economy growth slows to 0.1% in Q2, lowest in a decade"! (see link below)

https://www.channelnewsasia.com/news/business/singapore-economy-growth-gdp-q2-lowest-in-decade-11713694

Going forward, I will need to be nimble and react accordingly. Some sectors are still experiencing much hurt. Just this week, a friend from Oil & Gas sector lost his job. Whilst the STI is doing fairly decent, the main sector contributing to its positive performance are mainly REITs. In the broader economy, many sectors are still hurting and there is a need to be selective and I hope that my stock selection and allocation ability will continue to give me an edge in the months and years to come.

Hope to be able to report even better portfolio performance come year end!

Signing out,
Ming