Tuesday, May 6, 2014

Dividend Warrior May 2014 Singapore Portfolio Update

No.
Stock
Lots
Average Price
% of Portfolio
1
AIMS AIMP REIT
30
$1.210
17.61%
2
Starhub
10
$2.467
11.97%
3
Singtel
7
$2.983
10.13%
4
SPH
5
$3.756
9.11%
5
Frasers Centrepoint Trust
10
$1.700
8.25%
6
M1
7
$3.33
8.20%
7
Capitamall Trust
7
$1.689
5.74%
8
CACHE Logistics Trust
10
$1.115
5.41%
9
Mapletree Logistics Trust
10
$1.060
5.14%
10
PLife REIT
4
$1.99
3.86%
11
Suntec REIT
6
$1.26
3.67%
12
First REIT
10
$0.736
3.57%
13
SATS
2
$3.21
3.12%
14
ST Engineering
1
$3.84
1.86%
15
Mapletree Industrial Trust
2
$1.460
1.42%
16
Neratel
3
$0.644
0.94%


Total dividends collected (2014)
S$6215.96
Total Invested Capital
S$212,390
Projected Annual Yield (2014)
6%
Average Monthly Dividends (2014)
S$518
Available funds for investment

S$3,000
Unrealized Paper Gain (S$)

S$45,871


For the month of May, I will be collecting a total of S$2,167.34 in dividends and cash distributions from SPH, ST Engineering, Neratel, CapitaMall Trust, Frasers Centrepoint Trust, Suntec REIT, CACHE Logistics Trust, First REIT and Mapletree Logistics Trust.

  1. SPH: S$350
  2. ST Engineering: S$120
  3. Starhub: S$500
  4. Neratel: S$120
  5. CapitaMall Trust: S$179.90
  6. Frasers Centrepoint Trust: S$288
  7. Suntec REIT: S$7.44
  8. CACHE Logistics Trust: S$214
  9. First REIT: S$199
  10. Mapletree Logistics Trust: S$189
Do you know the only thing that gives me pleasure? It's to see my dividends coming in.
Read more at http://www.brainyquote.com/quotes/quotes/j/johndrock129792.html#rYcmXBiiXoc0zul6.99
Do you know the only thing that gives me pleasure? It's to see my dividends coming in.
Read more at http://www.brainyquote.com/quotes/quotes/j/johndrock129792.html#rYcmXBiiXoc0zul6.99

Do you know the only thing that gives me pleasure? It's to see my dividends coming in.
Read more at http://www.brainyquote.com/quotes/quotes/j/johndrock129792.html#rYcmXBiiXoc0zul6.99
"Do you know the only thing that gives me pleasure? It's to see my dividends coming in.”

John D Rockefeller (1839-1937)


I know exactly how he felt back in those days. Strangely enough, some things never change. Today, the sheer joy of collecting dividends is still strong.

Most of the REITs that I am vested in have already announced their results. I am satisfied with the performances. I also realised that I forgot to post two pieces of rather important news about Mapletree Industrial Trust, CACHE Logistics Trust and Frasers Centrepoint Trust. My apologies.

Mapletree Industrial Trust will develop a S$250 million build-to-suit facility (BTS Facility) at its existing Telok Blangah Cluster for Hewlett-Packard Singapore (Private) Limited. The redevelopment will unlock value for MIT’s portfolio by repositioning the Property as a high-tech industrial cluster and maximising available plot ratio. The long-term lease commitment from a good quality tenant will lengthen the portfolio’s weighted average lease to expiry and provide income stability. This project will be MIT’s largest build-to-suit development to date, underscoring their focus on the development of more customised facilities which meet their tenants’ operational and expansion needs. The land has a lease tenure of 60 years commencing from 1 July 2008. Located within the Telok Blangah Industrial Estate, the Property is in close proximity to business and lifestyle precincts at Alexandra and HarbourFront as well as the Central Business District. It is well-served by major expressways such as Ayer Rajah Expressway and Central Expressway as well as the Labrador Park Mass Rapid Transit Station. The purpose-built development will include facilities for manufacturing, product and software development as well as an office, occupying a total GFA of approximately 824,500 sq ft. Hewlett Packard  is a global provider of products, technologies, software, solutions and services in over 170 countries around the world, has committed to fully lease the BTS Facility for an initial period of 10.5 years. The property, which will be redeveloped over two phases, is expected to be completed in the first half of 2017.

CACHE has embarked on a huge built-to-suit project (BTS) for DHL Singapore. Construction of this ramp-up warehouse facility is expected to start in the middle of 2014 and would be completed in phases from 2H15. CACHE would fund this acquisition with debt and expect gearing to settle at 36% upon completion (vs 29% currently). I believe this new project will be a key earnings driver in 2016. However, looking ahead, with 34% of leases due to expire in FY15, there is a risk that some of these upcoming leases may not be renewed by the sponsor.



FCT said that it planned to finance the purchase of Changi City Point with a combination of equity and debt financing. This will ensure that the acquisition is DPU-accretive to FCT unitholders, while maintaining an optimum level of gearing. Equity financing may be in the form of a private placement of new FCT units. Details of the financing structure will be set out in a circular to be sent out to all unitholders in due course. The proposed acquisition of Changi City Point - a three-storey retail mall in Changi Business Park, located opposite the Singapore Expo MRT station - will take the total number of suburban retail malls in FCT's portfolio to six. It will also increase FCT's total assets by about 14 per cent to $2.4 billion.


So, all is well in the S-REITs universe. ^^

Some of you might be fearful of the "Sell in May and Go Away" effect. But my advice is still the same.




John D Rockefeller is my new idol!!!
Dividend Warrior

17 comments:

Anonymous said...

Hi dw!

May I ask, is your total invested capital inclusive of your unrealized paper gain?

Dividend Warrior said...

Hi Anonymous,

No. It does not include my unrealized paper gain.

A Frugal Family's Journey said...

DW,

Looks like your Singapore portfolio is growing rather nicely. $518/month is definitely something to be proud of. Keep it up! Our family also finds pleasure seeing our dividends coming in. :)

Anonymous said...

Hi DW,

Do you do dividend reinvestment? Why or why not?

I'm super novice and I will be getting my very first dividend (Mapletree Logic), but I do not know if I should opt for the DRP.

Advise?

Thanks!

EmoGuy said...

Jin jelly your dividends. Mine still far cry from you. Was considering follow you buy neratel that time but bought Croesus trust instead. Quite good so far:p

Timmy said...

Hi DW,
I really like this article, especially for the sentence "Do you know the only thing that gives me pleasure? It's to see my dividends coming in." I'd like to share this article in my blog in Taiwan. (http://timmy30.blogspot.com/) Is it okay for you? :)

Timmy

Anonymous said...

Hi DW,

What do you think about SPH REIT?

James

~redAntz~ said...

Hi DW, would like to know which platform that you use to trade? Like DBS Vickers, POEMS, etc.. :)

Anonymous said...

Hi DW,

If I can get to 70% of what u have done I would be very happy! Haha. Truly inspirational. You should go and give talks to young adults like me. I am 27 years old just a beginner.

I was given 18 lots for soilbuild reit when it ipo. It seems to be heading towards 7% dividends. But was hoping to hear your thoughts on it.

Also do you think starhill global is under valued was thinking of picking that up too.

Thank you for your time!

Dan said...

Hi DW,

New bird investor over here :) I'm very inspired by your portfolio, trying to follow your footstep to build up a nice portfolio.

I've heard that REIT have a relatively higher dividend (distribution) compared to ETF and other equities, so I'm planning to buy a few lots of REIT into my new portfolio. Am I wrong by doing so?

And also, is there any REIT that you would recommend me at this point of time? Or any of the REIT is more suitable for beginners like me?

Thanks!

woon ming said...

Would like to enquire which platform u are using for trading too and does it have a broker to advise u too ?

Anonymous said...

Hi dw any comments on fcot as I saw you do not have it in your portfolio

Anonymous said...

Hi DW,

I read your previous post in 2012 that when you cross your 100K mark, you lost a bit of motivation. What happened then, and what motivated your to continue on this?

Also in 2014, your $50K investments would be maturing. What do you plan to do with it? Would you wait, or continue to purchase more stocks?

Thanks!
Gabriel

rfed said...

Hi DW, what is your opinion on SATS recent announcement? Do you plan to hold?

James said...

Hi Dividends Warrior,
Is Frasers CT or CapMall Trust a better REIT to buy?

I've done some homework with data from CIMB's REIT research (they recommended FCT, haha).
Here are the points
- FCT has lower gearing (28% vs 35%)
- FCT has higher yield (5.9% vs 5.05%)
- FCT currently has lower cost of debt (2.7% vs 3.4%)
- CMT’s portfolio is of higher quality that FCT
However, FCT has 45% of its debt expiring in 2016, while CMT debt are spread out quite evenly from 2014-2019.

Also, I think Westgate has a huge potential in the future to for CMT’s growth in dividends. I’m not sure if this has been priced in though.

The data (current yield, gearing, cost debt) all point to FCT as a better buy, but CMT has a higher potential for DPU growth in the future.

What are your thoughts?

Anonymous said...

Hi Dividend Warrior,

Is your "average monthly dividends" accurate? I think it should be above $1,000/month looking at your current portfolio.

Thanks

Joe Teo said...

Hi DW, i would like to know how u would react if the property market dips and interest rates go up. It may affect your portfolio as most of your portfolio are reits.