Wednesday, January 23, 2013

DW's Total Net Worth

Some of my readers have been telling me to do a "Total Net Worth" post. So, here it is. 
  1. Stocks: SGD$230k (market value on 23 Jan 2013)
  2. Insurance-Linked Product: SGD$50k lump sum (maturing in July 2014)
  3. Gold: SGD$6k (Bullion gold coins)
  4. Emergency cash savings: SGD$6k (fixed deposit)
Total Net Worth: SGD$292k

As shown above, most of my net worth is in my Singapore dividend portfolio. Currently, it is generating around SGD$1k per month on average. My portfolio consists mainly telcos and REITs. 

I have an ILP maturing next year. NTUC Income told me that I should be getting around a 6% return ($3k) on my principal sum of $50k, capital guaranteed. But I am not the type of guy that counts his chicks before they are hatched. My regular readers will remember me talking about my "Armageddon Fund" some time back. It is basically a fund that I will utilise to pounce on opportunities or do some averaging down during a market crash. I know it is not a huge sum of money, but this $50k will definitely come in handy during uncertain times. ^^

I possess 3 bullion gold coins. A Canadian Maple Leaf, an Australian Kangaroo and a China Panda. I bought these coins because I want to own some physical, hard assets as insurance. The coins look absolutely beautiful too!

Lastly, the number one advise I usually give newbies is to have an emergency fund saved up before venturing into any kinds of investments. For me, I have saved up 6 months' worth of expenses in a fixed deposit. It might be earning pathetic interests but it gives me peace of mind, knowing that I have something to fall back on. 

I will not include CPF into my net worth. Personally for me, I treat CPF as a bonus. I am not depending on it for my retirement for sure.


Peace Out,
Dividend Warrior




23 comments:

Unknown said...

Hi DW,

Love your total net worth. Do you have a high salary?

Dividend Tech Warrior said...

Hi Karen,

Thanks for the compliment! ^^

"High" salary is rather subjective. I would like to think my salary is slightly above average. LOL.....

Velu said...

Love to follow your blog. I have saved up a bit and now want to start investing.

One basic question as I have recently come to Singapore.

How do I start investing? Do I need to get a special account for trading in Singapore? I mean I have a normal Bank account & an SRS account, but how do I start investing in REITS and other stock? I was planning to put money in SRS account and then invest that money in REITS.

How Do I go about it. I know its a basic question, but please do obilige.

Cheers,
Velu

Dividend Tech Warrior said...

Hi Velu,

Thanks for following my blog and welcome to Singapore.

You need to get a trading account from one of the brokerage firms in Singapore. E.g. DBS Vickers, UOB Kayhian, POEMS, Standard Chartered, OCBC Securities, Kim Eng, CIMB etc.

You can visit their websites for more details.

Unknown said...

Hi DW,

Thanks for your prompt reply. Sabana reits reaching new heights after XD nowadays. Highest was 1.18. Still worthwhile vesting in it?

Dividend Tech Warrior said...

Hi Karen,

Hi Karen,

Sabana will no longer be distributing 100% of their rental income this year. It will drop to 90%.

At the current price of 1.18, the yield will drop to around 7%. Still reasonable IMHO.

Secondly, around 40% of the leases is up for renewal this year. This is still a risk. Hopefully, the management can do a good job.

I will recommend getting a few lots now, but do NOT go all in. Very important to keep some spare cash.

Good luck! ^^

Mad Stranger said...

I think you need to include your war chest account and cash spending account into your networth calculations.

If you add in that and your CPF amounts, I believe your networth is more than half a million. =)

Early Retirement Warrior said...

Just a question,

I bought some reits lately and was wondering, how do you know when is a good time to release your stocks for capital gains? Is there some kind of measurements? or base on market sentiments?

Velu said...

Thanks DW. Appreciate your feedback.

Good luck.

Acevalentine said...

I have a question here, how long have you use to create this portfolio when you start your work?you invest it in lum sum or every month invest with your salary? It seem is not easy to create a passive income portfolio for future if we don have a good income.I inspired by you also. actually, I'm still studying and will plan to create a passive income portfolio like you as well.^-^

Do you mind share your experience as well?

Wawo Bolivar said...

hello DW. ive been followg your blog and looking to start investing. just a quick question, any difference in ocbc securities and dbs vickers? im looking to open a trading account with either. thanks!

Unknown said...

Hi DW

I have been following yr blog and use ur stocks as a example to follow . Do u think now FCT is good to invest at $1.94? Planning to buy 5 lots for long term and dividends. Thanks. :P

Dividend Tech Warrior said...

Hi Acevalentine,
I started my investment journey when started my full-time job. I invest when there is a dip in the market. I would say every few months, I will accumulate some stocks.

It is not easy. I had to save more and spend less at the initial stage. Sacrifices had to be made. But it paid off handsomely. ^^

Dividend Tech Warrior said...

Hi Waco bolivar,
Thanks for supporting my blog. I dun think there is any major difference between OCBC and DBS.
OCBC has a scheme for you to use your stocks as collateral, but these stocks are mostly blue chips. Quite useful if u wanna use leveraging.
For me, I prefer to buy stocks with cold hard cash in my account.^^

Dividend Tech Warrior said...

Hi Jolin,
Thanks for following my blog! ^^
It is rather rare for females to be interested in stocks.
FCT at 1.94 to 1.95 is a reasonable price. Not very attractive though. The yield is more than 5%. Their asset are quality suburban malls. Gearing is healthy. Occupancy is healthy too.
You can buy a few lots first. Like I advise my followers, always keep some spare cash on hand. Cheers!

Dividend Tech Warrior said...

Hi seraphim,
I dun usually sell my stocks for capital gains. Not my style. I prefer to get regular passive cash flow from my stocks instead.

Unknown said...

Hi DW,

Thanks for your response and compliment. Been queueing morning till now at 1.945. Hope to get it soon. Cheers to u also ^.^

Sher Reen said...

Hi DW,

I would like to know why you invested in ILP. What is your suggestion for ideal ratio for a well diversification portfolio with various of financial tools? I am currently only holding cash (opportunity fund) and shares. Please share your opinion with me, I really want to know. Thanks :)

Dividend Tech Warrior said...

Hi Sher Reen,
I invested in this ILP back in 2009 when I was young and naive. I did not know dividend investing back then and I was afraid of the stock market. So, I put my money in ILP. Big mistake! I should have used this money to invest during the market bottom! Sigh......well......hindsight is 20/20.....

As for diversification of portfolio, it really depends on ur investment needs and risk tolerance level. General rule of thumb is to take 120 minus your age. For example, I am 30 years old. 120 - 30 = 90. So, I should have 90% in stocks and 10% in cash.

Some people also like to have some gold in their portfolio too.

I prefer to have 50% blue chips and 50% REITs. The blue chips provide a foundation while the REITs provide a yield boost.

dividendscity said...

DW how about good debt say property? no plans of including this in your portfolio?

Dividend Tech Warrior said...

Hi dividendscity,

Yes. Property is within my consideration. But I am not rushing into it.

Anyway, I do own properties through the REITs I have in my portfolio. ^^

xiang said...

Hi, for bullion coins, where do you buy the panda coins?

Unknown said...

hi what do you use to buy your stocks ?