Portfolio Update November 2023

This is a quick update of my investment portfolios on the last day of Nov 2023.

My SGX Income Portfolio value rebounds to $316k from $301k.

My US/HK Growth Portfolio value rises to US$17 from US$16k.

My SRS Ultra Long-Term Portfolio value inches up to $137.4k from $136.4k.

The US stock markets have hit new heights amidst increasing certainty of pivoting interest rates, ongoing wars and lingering fears of global recession. US 10-year and 30-year government yields have retraced from record highs and the Federal Reserve is expected to maintain interest rates steady at the 5.25 to 5.5% range till 2024. Local S-Reits have rebounded and stabilised slightly helping my SGX Income Portfolio recover back some paper losses. 

Scary storylines about economies, monetary policies and geopolitical tensions just keep repeating, causing chaos and fear amongst investors and traders While being clouded by uncertainties, immense noises and fears, it is crucial that long-term investors like us stay calm, unwavered and focused in our investment objectives. Make the best out of current situation by allocating our financial resources into high yield risk-free bonds, stable and high quality income-producing assets, or strong growth businesses tactfully.

I will continue stashing away idle cash in high yield cash funds and risk-free Singapore Savings Bonds while also adding high quality S-Reits or local bank stocks to my SGX income portfolio if opportunities arise in the next few months. I have no plan to add US/HK stocks.

Portfolio Actions

Nil

Portfolio Dividends

1. Received $428.35 of dividends from Savings Bonds on 1 Nov.

2. Received $270.00 of dividends from Guocoland on 16 Nov.

3. Received $192.00 of dividends from DBS on 27 Nov.

4. Received $187.15 of dividends from Astrea 7 A-1 PE Bond on 27 Nov.

5. Received $481.60 of dividends from Frasers Centrepoint Trust on 29 Nov.

6. Received $89.65 of dividends from Suntec Reit on 29 Nov.

SGX Income Portfolio

Portfolio Value = $316k

US/HK Growth Portfolio

Moomoo

US$3.8k

Tiger Broker

US$12.4k

Syfe Trade

US$0.9k

Portfolio Value = US$17k

SRS Ultra Long-Term Portfolio

Portfolio Value = S$137.4k

Thanks for reading. Stay focused and remain steadfast as always!

With love and peace, 

Qiongster

Memento Mori: RIP Charlie Munger

 

Investment guru, trusted side-kick of Warren Buffet, Charlie Munger passed away today at the age of 99.

His estimated net worth of $2.6 billion has been left behind, rendering "Die with Zero" an insurmountable task for billionaires.

Charlie Munger was the vice-chairman of Berkshire Hathaway and believed in buying great businesses at fair or undervalued prices, leveraging on the magical power of compounding over long-term to grow his wealth tremendously.

A simple man, with no frills lifestyle, embracing frugality and down-to-earth spending habits, he modestly lived in the same house for decades and ate only simple meals and fast foods.

He is a great role model for those of us striving towards achieving financial independence or freedom.

It is important to know that no matter how much wealth or success one attain in life, only taxes and death are certain.

All of us cannot escape the harsh reality of returning back to earth as ashes.

Memento Mori

Remember you must die.

Thank you for reading.

With love & peace,

Qiongster

Applied for Singapore Savings Bonds (SBDEC23 GX23120)

 

The Dec 2023 tranche of Singapore Savings Bonds (SSB) has an average yield of 3.4% over 10 years.

The first 6 years yield a flat 3.3% per annum; 7th year yields 3.36% p.a, 8th year yields 3.58% p.a. and 9th, 10th years yield 3.68% p.a.

Even though such yield is lower than other low to risk-free alternatives such as T Bills and money market funds which easily yield more than 3.5% currently, it is higher than many fixed deposit rates on offer by local banks as well as CPF OA rate of 2.5% p.a.

If we also consider the great flexibility, liquidity of SSB for redemption and long-term lock down at above 3% p.a for the next decade, then this tranche of SSB is fairly enticing for us to park our spare cash at zero risk, capital guaranteed for the mid to long-term. 

We could redeem SSB anytime, earning interest at 3.3% in the short-term while getting back our capital for deployment to other investments or large item purchases unlike T Bills and bank fixed deposits which would incur losses or forfeit of interest with premature withdrawals. Do note that the redemption process of SSB can be up to 1 month of lead time.

I decided to apply for $10k of this Dec 2023 tranche using my savings and war chest.

There it goes.

S$1b is up for grabs.

The first payment will be on 1 Jun 2024 and this bond will mature on 1 Dec 2033.

If you are interested in this tranche of SSB, do note that the application dateline is on today, 27 Nov 2023, 9pm for online applications.

Both short-term and long-term treasury bond yields have decreased recently and these could signal that the yields of SSB will be lower in next few months. I will still be happy to inject more cash into SSB in the next few months if the yields stay above 3%. My ultimate aim is to max out the personal limit of S$200k soon.

At the same time, I also redeemed an old tranche of SSB (SBMAY18 GX18050E) with an average yield of 2.39% and currently only yielding 2.54% in its 6th year. It is hence a no brainer decision to recycle the funds into next month's SSB.

Thank you for reading.

With love & peace,

Qiongster

Net Worth Update Nov 2023

My net worth stagnates at S$1.5m for Nov 2023.

I have been saving frugally, reducing expenses and conserving capital for purchase of Singapore Savings Bonds since I return from Seoul holiday trip.

CPF is the bulk 37% of my net worth. I have already achieved full retirement sum in CPF SA and topped up my Medisave account to the basic healthcare sum of $68.5k early this year.

Cash and war chest constitute 18% of my wealth. In the current high rate environment, my cash is being stashed away in bank fixed deposits yielding more than 3% p.a., in Fullerton cash funds under custody of Moomoo and Tiger Broker, and in Money Market Funds held by Phillips Capital yielding around 3.5% p.a. with interest paid daily.

Together with 9% of my risk-free Singapore Savings Bonds ($130k) and relatively low-risk Astrea 7A PE bond ($9k), CPF, cash and war chest amount to 64% of my net worth as safe assets. I intend to subscribe to the coming Dec 23 tranche of SSB with average yield of 3.4%.

Stocks and Reits constitute 22% of my net worth. Together with SRS account which forms 8% and are deployed mainly into local stocks and Reits, they are the 30% of riskier assets in my financial portfolio.

Slow but steady, I remain on track towards the path of financial freedom. Ignore the noises. Be greedy when others are fearful. Be fearful when others are greedy. Be contented when others are hungry.

Thank you for reading. Stay focused and remain steadfast as always!

With love & peace,

Qiongster