Okay, so in the previous few posts, I have been talking about various aspects of investing. I have touched on how to choose your counters, how to save money to invest, my personal investment goals and now, I will share what I have in my portfolio that is generating passive income. Here are the counters that I have put my real money into:
- Suntec Reit
- CapitaLand Mall Trust
- Starhill Global Reit
- Duty Free International
- Thai Beverage
- Sheng Siong
This is one of the first few counters that I invested in since 2013. This counter so far has been a winner for me as I have collected about $3,900 of dividends since 2013. There has been a recent price gain of 45% last month January before the price dropped from its peak. Suntec Reit is an office and retail real estate investment trust which derives its rent revenue from its office and retail tenants in the town area of Singapore. I was lucky to buy this counter at its trough before the capital appreciation. I don’t intend to sell it anytime soon unless its fundamentals change for the worse. So far, so good. If you are interested in Suntec Reit, visit its website here.
CapitaLand Mall Trust
A recent addition to my portfolio of Reits in the middle of last year 2017, CapitaLand Mall Trust has been generating dividend income of about $300 for me since 2017. I also bought it near the 52-week low before the share price appreciation from last year June to this year Jan. It is a real estate investment trust getting its rental income from retail shopping malls all over Singapore. I know for some of you may be thinking that e-commerce is going to be a close substitute for the shops in Singapore (and hence pose a challenge for retail Reits like CapitaLand Mall), but I believe there are some sectors like supermarkets that can never feel complete when done online. The counter seems good so far. If you are interested in CapitaLand Mall Trust, you can go to their site here.
Starhill Global Reit
Also one of the first few Reits that I bought since 2013, the counter doesn’t seem to be doing too well at the moment. I have received about $1,300 of dividends from 2013 onwards. Despite suffering an unrealized capital loss at this time of writing, my return of investment is still positive after factoring the dividends I got throughout the years. The Reit derives its income from retail and office tenants in Singapore and overseas. The relatively poor fundamentals of this Reit right now means the counter is trading at a discount to its book value. “A possible value buy?” you may ask. My opinion is to accumulate some, but not a lot. Always do your homework before buying a counter. I am not responsible for any financial loss you make in your investments. If you are still keen on Starhill Global Reit, the website is here.
Duty Free International
I bought this counter when it is trading near its 52-week low in last month Jan. Its business is about speciality retail in Malaysia. Right now, as the STI declined to a year-to-date performance of -0.75% this month Feb, I am experiencing an unrealized loss. One of the key risk of Duty Free International is currency risk. For 3Q2018, there is a foreign exchange loss of RM 7.5 million compared to a net gain of RM 9.6 million in 3Q2017. It is not doing too well at the moment too. It has an enticing dividend yield of 9.8% at this time of writing. Its website is here.
I bought this stock last month Jan as well. Its business deals with the sale of alcoholic and non-alcoholic drinks. I believe it is a defensive stock as some drinkers are addicted to alcohol and won’t give up their bad habits so easily even when there is a recession. The price has dropped from last month and I will be holding it for the long term. There is no plans for me to sell it right now despite the unrealized capital loss. I didn’t allocate too much of my funds to this counter. Thai Beverage has been steadily increasing its dividends since 2006. It is only one of the financial years, 2016, that it decreased marginally. Other than that, it seems to do just fine. For more infomation, you can visit its corporate site here.
Sheng Siong is a third largest chain of supermarkets in Singapore. I also bought this stock during last month Jan too. I also believe that it is a defensive stock as people may cut down on restaurant spending during a recession, but they most likely won’t cut down on grocery shopping. Simply because everybody needs to eat regardless of a recession or not. I am also experiencing an unrealized capital loss at this time of writing but not to worry, I didn’t put too much of my capital in this stock. At this time of writing, Sheng Siong’s website is down so I can’t include the link for you guys to check it out if you are keen.
So that’s my investment portfolio as of now. As of first quarter of 2018, I am going to receive a total dividend income of $809.90. That’s about $269.97 of passive income per month on average. It’s a small amount I must admit but I don’t use my dividends. I let it accumulate over time and invest when the right time comes. Over time, my passive income will slowly grow.
What counters are you currently invested in as of now? If you are comfortable, you can share your experience in the comments section below now!