DW February 2014 Singapore Dividend Portfolio update

No.	Stock	Lots	Average Price	% of Portfolio
1	AIMS AMP REIT	25	$1.236	15.81%
2	Starhub	10	$2.467	12.63%
3	Singtel	7	$2.983	10.69%
4	SPH	5	$3.756	9.61%
5	Frasers Centrepoint Trust	10	$1.70	8.70%
6	M1	7	$3.33	8.64%
7	Capitamall Trust	7	$1.689	6.05%
8	CACHE Logistics Trust	10	$1.115	5.71%
9	Parkway Life REIT	4	$1.99	4.07%
10	Suntec REIT	6	$1.26	3.87%
11	First REIT	10	$0.736	3.77%
12	SATS Ltd	2	$3.21	3.29%
13	Mapletree Logistics Trust	5	$1.06	2.71%
14	ST Engineering	1	$3.81	1.97%
15	Mapletree Industrial Trust	2	$1.46	1.50%
16	Neratel	3	$0.63	0.99%

Total dividends collected (2014)	S$1685.62
Total Invested Capital	S$201,690
Projected Annual Yield (2014)	6%
Average Monthly Dividends (2014)	S$140
Available funds for investment	S$9,000

Unrealized Paper Gain (S$)

S$31,637

For the month of February, I collected a total of S$1209.62 in dividends from CapitaMall Trust, Frasers Centrepoint Trust, Suntec REIT, Mapletree Logistics Trust, CACHE Logistics Trust, First REIT and PLife REIT.

1. CapitaMall Trust: S$190.40
2. Frasers Centrepoint Trust: S$250
3. Suntec REIT: S$153.72
4. Mapletree Logistics Trust: S$92
5. CACHE Logistics Trust: S$213.70
6. First REIT: S$197
7. PLife REIT: S$112.80

The Singapore stock market has been going through heavy correction recently. There are two groups of investors during times like now. Some investors become fearful, go full cash and stay on the sidelines. Others follow Warren Buffett's advice that 'we should be greedy when others are fearful'.

Well, I prefer not to deal with extremes. Why must we swing wildly between fear and greed overnight? Why should we subject ourselves to the torture of volatile price swings? This is just......sad! One of my colleagues told me, "We are born. We become slaves to money. Then, we die." :(

I prefer to be balanced and neutral, neither too fearful nor greedy. I have said it before and I will say it again. Stay calm and collect dividends. Some of my detractors like to say,"yeah right.....later the dividends cannot even cover the price drop. Hahaha!" That's the thing. I am not afraid of short-term capital depreciation because I am still young. I can afford to wait for the prices to recover while collecting dividends, or I can even choose to average down. Power of Youth! But if you are a senior citizen in your 60s and 70s, by all means, protect your capital because you do not have the luxury of time to wait for prices to recover. 

Next, the detractors will ask,"What if the prices do not recover? Then you will die pain pain!" Well, I avoid penny stocks and S-Chips like the plague. I believe my portfolio is reasonably solid for a person of my age. Not perfect, but solid. So, I believe in its potential to recover. At least, the counters in my portfolio will not crash and burn so very spectacularly like Blumont, Asiasons and Liongold. 

Alright, enough ranting from me. >__<"

Let's move on to more positive news. All the S-REITs reported their financial results a few weeks back. They are still doing fine except Sabana REIT. I am glad to have divested it. One of my readers, Cory, asked me if I am confident AIMS AMP will continue to do well over the next few years since it is my top holding. Well, among all the industrial REITs, I believe AIMS AMP has more visible future catalysts. The latest acquisition of Optus Centre in Australia, redevelopment of 20 Gul Way Phase 2E & 3 and 103 Defu Lane will increase DPU for FY2015 and FY2016. So, AIMS AMP shall remain my top holding until 2016, at the very least.

Source: The Edge Magazine

Source: The Edge Magazine

Another reader asked me about my views on Challenger Technologies Limited. The company is definitely doing well, adding new outlets and expanding its 'Valore' line of products. However, I feel that it faces considerable competition from other electronics stores such as Courts, EpiCentre, Nubox etc. etc.

Challenger stores under CMT:
- Funan DigitalLife Mall
- IMM
- JCube
- Plaza Singapura
- Junction 8
- Lot One
- Tampines Mall
- Bukit Panjang Plaza
- Bugis Junction

Challenger stores under FCT:
- Causeway Point
- Northpoint
- Bedok Point
- Yew Tee Point

Challenger stores under SPH REIT:
- Clementi Mall

Challenger stores under MCT:
- Vivocity

*Another 14 stores are not under any REITs.

As you can see in the consolidated list above, Challenger Technologies Limited has a huge number of stores located in retail REITs. I believe the same goes for its competitors. So, one way to benefit from all these profit-making electronics stores is to be vested in retail REITs. This way, it does not matter which company perform better or worse because ultimately, they still need to pay rental. 



Power of CD!!!
Dividend Warrior