Monday, February 28, 2011

Feburary 2011 Portfolio Update

Feburary was a down month. Lots of selling. Many of my holdings went very red, especially Capitaland and CapMallsAsia. I guess it has something to do with what the China govt is doing to their economy to put on a brake.

My entry this month was GLP, 3 lots at $2 and 3 lots at $1.88, giving me an average of  6 lots at $1.94. I believe GLP will benefit in the long run from the growth of China as an industrial play. My average is slightly below its IPO price, and I do think it offers a marginally safe entry point.

I also entered Singtel at $2.89. This is for yield, and I will ride Singtel for its ups and downs if possible.

Tuesday, February 22, 2011

Personal Updates

As you might have realised, my updates are getting less and less frequent.

I'm bogged down by work and tuition as usual. But my time for writing blog posts have now been mostly re-directed to working on authoring my A level physics guidebook. As such, I will be reducing  updates to this blog substantially till I complete this book, this aim, this dream of mine.

Granted, such a guidebook will not yield high margins when it gets published. According to http://www.business.gov.sg/, publishing gives the lowest margin compared to other businesses. Indeed, the ROE is probably between 50% to 100% after most expenses are deducted if I'm the author.

Then again, while I do need the money for food (I'm being practical), I'm more concerned on getting a book out and attempting to make a small contribution/impact on the learning of physics in Singapore. I find that a number of students get disillusioned about physics around O levels, and most ceased to take it at A levels, or perhaps struggled at A levels physics because of self-beliefs that physics is hard.

In my opinion, schools have to take a responsibility, and I do think that most schools perhaps do something wrong in teaching physics. I have my own beliefs and ideas, and by implementing it, I have successfully gotten a total of 5 As out of 7 students I taught over the past year for O level physics. That is 71.4% of my total number of O level students in my group class. The remaining students, 1 received an unexpected B3 of which he was sorely disappointed, the other received a B4 of which he was extremely happy because he fought back from a fail grade without giving up, perhaps because I did not give up on him.

Wednesday, February 16, 2011

A Quick Take on the recent results of some companies I own

Quite a number of my holdings released results over the past two weeks. The companies are
Starhub, AIMSAMPIREIT, Saizen REIT, Silverlake, new purchase GLP, CitySpring, Starhill, CCT, K-Green, First REIT, GRP, ST Engg

Time is really tight for me, with family commitments due to Chinese New Year, with my recent take up of being a trainer for a sec sch's Junior Physics Olympiad team and the long hours spent on preparation of materials, with my continuous authoring of my planned A level physics guidebook, and with my engineer work.

I took a quick look at the recent results, and but I know time doesn't allow me to do and post a detailed analysis on each and every counter. The main thing I garnered was buying cheap defensive blue chips giving good dividends in a recession seldom go wrong.

My comments collated over the last few weeks:

1) Starhub
Overall, the results are in line with expectations. Dividends remain at 5c for this stable defensive counter, and intends to remain the same for FY2011.

This is one counter where I had been truly successful by being contrarian. Most of my purchases were done when they announced a loss of EPL contract to Singtel. I still remember that was the time where many analysts were calling for SELL because of the EPL loss.

Starhub was distributing 4.5cts dividends per quarter at that time, and on the following quarter, started distributing 5cts per quarter. The analysts that were calling for SELL immediately decry that this is not sustainable, and maintained SELL.

Tuesday, February 8, 2011

Digiland.... Beware again....

Earlier, I posted about Digiland...

We had Digiland calling for a 'massive' rights issue - a 1-for-1 renounceable non-underwritten rights issue of up to 8,526m new shares at $0.001 per share, to raise $8.25m!

It failed. SGX did right.

Digiland did not give up. They gave placement shares, amounting to $8.2m in total.

A total of 1.7b placement shares was issued to add to the 8.5b float.....

Robert Kiyosaki's Who Took My Money

Recently, I finished reading this book from Robert Kiyosaki, which I think is a good read after Rich Dad, Poor Dad.

In this book, Robert stressed on the three asset classes (business, real estate and paper assets), the velocity of money, and the accelerators for money. He stresses a lot on using Other People's Money (OPM) and Other People's Time (OPT).

The reason why he thinks employees have the greatest risks is because
1) you are not guaranteed any job security at all
2) your income is taxed after expenditure, which doesn't make sense to him

As a business owner, while interviewing for potential staff, he looked around and saw all the young guys, and thought to himself: "I wouldn't hire myself". The reasons, he mentioned, included being older than everyone else, more expensive than everyone else, and finally, less technologically savvy.