Sunday, January 31, 2021

Portfolio Update Jan 2021

Wrapping up the first month of year 2021, my portfolio value increases $3k to $246k.

While equities shot up during the beginning of the year, they corrected recently to reflect reality and we also witnessed how the mighty strength of retail investors can counter the financial power of hedge funds in the Gamestop saga.

I adopted a passive approach and have not made any capital injection for new investments and did not take profits from selling any counter in my portfolio. My primary war chest in POEMS Market Money Fund stands at a meagre $2k. This will only increase after dividends are cashed in from Feb to Mar 21 and channeling of savings from Feb's salary into the war chest. I intend to top up another $2k to my CPF SA account to complete the RSTU of $7k. Then I will focus on topping up my SRS account to max out the limit of $15,300 for tax relief before shifting my attention back to growing my investment portfolio.

Portfolio Actions

Nil as I have not buy nor sell anything in 2021

Portfolio Dividends

1. Received $107 from a $10k Singapore Savings Bond on 4 Jan

My ultra long-term portfolio inches up $3k to $84k. Notably Keppel DC Reit has reported a 27.5% increase in H2 2020 DPU year-on-year to demonstrate the strength of data centres supporting the immense growth of data and computing. Keppel Reit has reported a 4.6% increase in H2 2020 DPU year-on-year due to new overseas assets from T Tower in South Korea and Victoria Police Centre in Australia. I am very glad to have both Keppel Reits in my SRS portfolio. However, it is important to be prepared that equity fund raising may take place for Reits and I should reserve some funds in SRS account for such corporate action.


Thanks for reading. Stay strong and be safe!

With love & peace,
Qiongster

Wednesday, January 20, 2021

Practising Stoicism


During the period of "downtime" in 2020, I have been pondering on the kind of lifestyle that I want to lead. I have reinforced my personal philosophy of "Live Rich Live Free" and realized that my ideals stemmed from the ancient philosophy of stoicism, which many successful men have also embraced.

First of all as a Stoic, to live a life rich and free, I have to have no fear and greed when encountering challenges during work and obstacles in life. I must also not be greedy because it is impossible to earn all the monies in this world; to eat all the food in this universe is also impossible. No point aiming to own a trillion dollars in the bank only to be the richest man in the graveyard. I need to enjoy living in the moment, in the present and not dwell on unhappy moments in the past. Being financially free is more than sufficient to achieve a free life and opens up a world of choices.

I must also be contented in life by leading a simple lifestyle with little needs. I have identified the most basic things I need in my daily life to survive. In work, I try to keep declutter my desk and digitise all information and data as softcopy. I merely need 2 notebooks (One is computer, one is really notebook), a pen to jot down ideas or notes quickly. Anything else is extra. As I have put on weight in the past 2 years, I thought that I should limit myself to just 3 meals a day with no tea break. I must not succumb myself to eating more calories than what I could burn as my metabolic rate is not as high as when I was a student 10 years ago. In a nutshell, I am happy to lead a simple life with the bare necessities and not going hungry with 3 meals catered for. I have treasured the things that I have in life. I have my own room to sleep and rest in, a comfortable office to work to earn my monthly paycheck, and most importantly a decent life that is alive and kicking.

It is no wrong to be a slacker and enjoy chillax sessions whenever I can. I believe that life is short. I was inspired by the reading of Senecca's the shortness of life. I want to and have to enjoy every moment of my life, not after retirement at age 67. Have to enjoy life NOW!! and I mean it. I cannot be angry or too particular about trivial things anymore. Life is not to be spent but rather to be enjoyed and lived in. However, this concept is different from the ideology of YOLO (You only Live once) because YOLO could result in one overspending one's wealth or over-indulgent in those short-lived luxuries which is against the philosophy of Stoicism that encompasses the elements of minimalism, simplicity and prudence.

Lastly, as the stock markets have recovered strongly, I should not be too happy or greedy. I have to be indifferent as those profits I see now are on paper only. The long term plan of living a life free from the passive income generated from my stock income portfolio should be reinforced, rather than a short term surge in the stock market, which I believed is due to massive funds injection by the big boys to window dress, or another round of pump and dump whereby eventually there will be profit takings that result in dips or corrections.

Momento Mori! We can't live forever but we can always choose to live rich life free during our short span in this universe. 

Just some rantings and personal philosophical thoughts. Thanks for reading.

With love and peace,
Qiongster




Saturday, January 16, 2021

Net Worth Update Jan 2021

After surpassing SGD 1 million in Dec 2020, my net worth continues its resurgence and increases by $35k to $1.048m. This is after the latest Jan 2021 salary, CPF contributions for Dec 2020, strong growth in the value of Reits in my portfolio and more than $12k of interests for 2020 credited to my CPF accounts. 

My CPF has surpassed $400k after the latest contributions and $5k Special account top up under RSTU.

My stock portfolio value in CDP has surpassed $250k and stands at $253k as at time of writing.

I prefer to adopt a laid-back approach to manage my financial health in 2021. I will reap the low hanging fruits first by topping up my own CPF SA, parent's CPF RA to enjoy the 4% interest rates and tax reliefs of $14k. Next, I will top up my own SRS account with $15.3k.

In the meantime, I am waiting to collect the dividends from my investment portfolios in CDP and SRS, build up my war chest and hunt for new investment targets. Any dip or correction will be decent opportunity to add shares. I believe this bull run is just a beginning of a new economic wave for at least 5 to 8 years. I may be wrong but I am always prepared that the stock market will tank anytime and will not be surprised if it corrects more than 30% again due to fears about new waves of lockdowns caused by this health pandemic. Nonetheless, I will stay invested and adopt a passive approach in the coming months.

Thanks for reading. Huat Ah!

With Love & Peace,
Qiongster

Tuesday, January 12, 2021

First Top Up to CPF SA in 2021

It is slowly becoming a routine for me to top up my CPF Special Account under the Retirement Sum Top-Up Scheme (RSTU).

Under RSTU, the main benefits are to earn the risk free 4% interests from CPF SA and to enjoy tax reliefs for up to $7k.

I have topped up $5k today.


I will need to top up $2000 more in Feb 2021 to complete the $7000 CPF SA top up. After which I will start to top up my Supplementary Retirement Scheme (SRS) account.

I will be in a low cash position for at least 1st Quarter of 2021 before I can start building up my war chest to hunt for the next investment target. But since there are not many buying opportunities now and with the results reporting season looming for the Reits, I will just sit back and enjoy the numerous Ang Baos trickling in after the Chinese New Year when the Reits in my portfolio start to pay dividends.

Thanks for reading. Huat Ah!

With Love & Peace,
Qiongster

Friday, January 08, 2021

How I become a millionaire before 35

My net worth surpassed SGD 1 million in Dec 2020 letting me achieve the sacred milestone of being a millionaire before the age of 35. Having one million dollars worth of assets indeed gives a psychological effect on my mind to convince myself that I am now, no longer as poor as I used to be. 

My lifestyle remains the same and there is no celebration or whatsoever. I still live a ragged life sitting half-naked in boxers on my couch watching Youtube videos at home. I continue to eat $2.50 cai png (mixed vegetables rice) or porridge for lunch and $2 McChicken for dinner. 

As I reflect on the pain and sacrifices of my life path before attaining my first million, I would like to take the opportunity to share my humble journey in this blog.

1. Being debt free

Since young, I do not like to owe money or things to other people. Neither do I like people to owe me things or money. In primary school, I never borrowed a single cent from anybody. But there are classmates who always like to borrow 50 cents $1 from me and never return. 

The first time I borrowed money was to take CPF tuition loan from my father's CPF account for my university studies. Feeling uncomfortable over the compounding accrued interest of 2.5%, I quickly repaid all $26k, inclusive of accrued interest, within 9 months of working after graduation. Since then, I have not taken any loan or debts beside short-term liabilities from credit card bills, which I paid promptly every month without fail. 

I have not yet bought any large item such as car or property in life. Although I would love to own a car and have saved up $100k to buy a car at the age of 27, I was swayed by my inner conscience into putting the car fund into buying businesses and income-producing assets such as Reits instead of a depreciating metal piece. On the tradeoff between convenience (time) against money, I decided to choose the latter.

As I plan to purchase a property in the forseeable future, I intend to take no more than 30% loan and will aim to quickly pay off the housing loan in full using cash and/or CPF. As a millionaire, I could easily afford to buy any HDB flat below $500k in full now but given the current low interest rates for housing loans, it would be more savvy to let my monies stay invested in the stock market to generate yields of more than 5% while incurring low interest rates of below 2% from housing loan.

Being free from liabilities allows me to enjoy inner peace and sleep soundly at night. It gives me the energy and concentration to stay focused on work and other daily activities in life. It also allows me to save up interest expenses to banks and creditors, which can be channeled into investments instead.

2. Enjoy solitude

I am pretty much an introvert and do really enjoy being anti-social to skip social activities such as gatherings, parties and events. I do not like to attend birthday celebrations nor weddings either. I enjoy being at peace with myself to enjoy solitude, which is a fantastic feeling of being solo doing own things instead of feeling lonely being alone.

Since schooling time, I like to be the first to leave class and during army days, I like to be the first to book out. I want to quickly go home to enjoy my 'me' time and not waste a further second stuck in school or camp to entertain teachers or hangout with buddies or kakis.

Due to my nature, I have avoided as many social events as possible that cost money - gatherings, birthday parties, clubbing, drinking sessions, movies, sports outings, marathons, musical concerts, weddings and so on. Those are the sacrifices I made that ruin friendships and kinships as I also avoid celebrating all festive events including the likes of Chinese New Year, Christmas too. Hence I have very few close friends and relatives that I still keep in contact with.

Why do I need so much free 'me' time? I enjoy doing all the free things - watching documentaries, reality shows on Youtube, reading investment books to enrich myself, research on investment opportunities, plan travel itineraries, understanding philosophy, exercise, sleeping, embracing nature in walks, catching up on news, listen to great songs, strategize work, searching for jobs, playing mobile or PC games and so on such that I feel there is simply not enough time for myself and why would I need to spend more time to entertain people outside of my life.

3. Simple life

I am a simple guy with little needs and few wants. I feel grateful and appreciative of enjoying what I have now. The clean air, the cup of water and electricity.

"It is a great man that can treat his earthenware as if it was silver, and a man who treats his silverware as earthenware is no less great." - Seneca.

I aspire to live to work and not work to live. I eat and dress simple. I commute by public transport and walked more than 5k steps everyday.

I seldom dine in restaurants nor indulge in shopping for fanciful items which I do not really need. I ditched an iPhone 7 for a cheap android phone last year and never look back at Apple.

I embrace the ideologies of stoicism which also encourages minimalism. I have decluttered many stuffs that I do not need by selling off my old laptops, phones, electronic devices, toys and books on Carousell to create space.

“Minimalism is a tool to rid yourself of life’s excess in favor of focusing on what’s important—so you can find happiness, fulfillment, and freedom.” – The Minimalists

4. Be frugal

By living simply, I am able to be very frugal or cheapo in my lifestyle. For the past 10 years, I capped my monthly expenditure to below $1k every month. Food, transport, utilities, phone bills, insurance, groceries all in for less than $1k. Inflation does not beat me as I beat inflation. I like to experience life at poverty level and will continue to do so even though I could afford to indulge in luxuries.

I am a favourite of free monies from paid focus groups, surveys, free food from fastfood apps, free vouchers and great deals from numerous e-commerce mobile apps. I like to pay for value. Value is not about cheap or expensive. It is about getting the most bang for your buck. Paying $100 to get $500 worth of value beats paying $50 to get $10 worth of value.

I like to eat great food. I need food to live. Food to charge the energy in my body. $3 meals in hawker centres do not lose out to $300 fine dining meals in Michelin restaurants. I appreciate luxury. Luxury is not about living in posh bungalows or 5 star hotels. Luxury is about living in a healthy body able to move around in freedom to enjoy the simplicities of life in peace and tranquility. I like to sleep in comfort. Comfort is not derived from a Hastens Vividus bed in air conditioned and air purified room. Comfort can be enjoyed from sleeping beside a fan at peace without worries on earth.

I did manage to travel to a few places in Asia on budget. Taiwan for less than $500 over 10 days, Vietnam for $300 for 9 days, Bangkok for $150 over 1 week. All are achieved through being savvy and resourceful to clinch flight and hotel deals in the past. My first time travel taking a plane was an exchange programme to China was sponsored by MOE and paid fully by Edusave decades ago. Now I have been accumulating miles through charging almost all my expenses on miles credit cards and will look forward to free flights and free airport lounges in future after this health pandemic is over.

5. Get a stable income

I was advised by my mum that in order to get a stable income, one needs to select and study courses that allow one to achieve technical competency to perform roles in essential services. i.e. Engineering, Accountancy, Architecture, Computing, Nursing, Medicine. Jobs that are non-technical are easily replaceable and could be outsourced easily. Although passion and interest play a part during selection of disciplines to study and will greatly impact future career, no money no passion is a harsh reality in this capitalist society. No money no freedom. No freedom no choices. No choices no life. This is cruelty of life at its best.

This Covid-19 global health pandemic has proven that that uncanny jobs offering essential needs to mankind continue to function and are largely unaffected while glamourous jobs offering luxurious wants to mankind can be made redundant. 

Despite having an immense interest in finance and real estate, I chose to study an engineering course in university instead, with a minor in finance. It is technical, full of programming, hardware, software. I could not compete with the smart and hardworking foreign students and the studious local peers. I did not do well in university but managed to scrape through and graduate. I remembered the tough days having to camp in campus for nights to finish up projects that require lab facilities, intense coding and prototyping. Nevertheless, all these experiences still gave me a piece of paper that opened up my options to jobs in various industries from banking, semiconductors, IT, engineering.

I eventually got an IT role that pays decently. My income from day job fuels my trading in Forex, options and equities during my free time. After a few years of working, I decided to be an long-term investor by building an income portfolio. I came up with a plan to work, grind, save and pump money into investments consistently. I was fortunate to continue enjoying stable consistent income during the pandemic from being able to continue working by setting up new IT systems in the data center during the circuit breaker days in 2020 and working from home as I was a worker providing essential services.

6. Invest early

Saving up consistently from a stable income is not sufficient to let my money grow fast enough. Let time and compounding effect perform their magic on my money. Time in market bests timing the market. 

My motto is to stay invested. Having no fear and no greed. Keep investing in income producing assets and businesses. Be flexible. Identify and acknowledge mistakes early and get rid of poor performing loser stocks. Craft a plan with small actions and be disciplined to follow own plan.

I was fortunate to be able to understanding the workings of the financial markets in my teenage years and started trading stocks by dabbling real money since the age of 21. My understanding of financial markets and instruments was deepened through taking business modules on corporate finance and investment portfolio management in University to fulfill minor requirements. I was then able to greatly appreciate what I am buying with my money from the stock markets. Hence, I had a good headstart in understanding the world of finance and decided to switched from being a trader to a long-term investor after a few years of working full-time.

I am still far from my ultimate target of having a $1m investment portfolio that can generate at least $50k a year. However, with faith and discipline, I believe I can slowly and steadily build up the portfolio and achieve financial freedom before age of 40. Attaining financial freedom does not necessarily means early retirement. It merely opens up the world of choices in life, presenting the opportunity to reclaim back all time that would otherwise be traded in modern day slavery. 

Last but not least, I wish to disclaim that what I have mentioned in this article is purely just my personal sharing and by no means, rendering any advice on any actions to be taken on personal finance matters.

Thanks for reading. Stay safe and strong always. 

With Love and Peace,
Qiongster

Monday, January 04, 2021

The second passive income in 2021

After the first passive income in 2021 which comes from CPF interests, I thought I had to wait till after the results reporting season to receive my next dividends but suddenly realized that interests from Singapore Savings Bonds are credited on the first working day of the month.

Checked my bank account and here it is. $107 from a $10k SBJan19 GX19010T that yields an effective return of 2.45% per year. It is hard to get such yield nowadays. Anyway I am happy to receive this second passive income of the year. 

Thanks for reading. Stay safe and strong always.

With Love and Peace,
Qiongster

Sunday, January 03, 2021

Why I do not want my CPF SA to attain FRS now?

Having shared the amount of interests received from my CPF savings for 2020, some readers emailed to ask me if I have attained Full Retirement Sum (FRS) in my Special Account and asked me to share my CPF accounts breakdown.

Here it is the pie chart provided from CPF Yearly Statement of Account for 2020:


It is important to note that the limit for MediSave account in 2020 was $60k and the interests for 2020 were actually credited on 31 Dec 2020 but updated on 1 Jan 2021. Surplus above the MediSave account limit was automatically transferred to Special Account.

Here is the breakdown after the re-adjustment:

Let us focus on the topic of attaining Full Retirement Sum (FRS). The FRS for 2021 is $186k and $192k for CPF members who turn 55 of age.

Although I could transfer the amount of difference between the FRS and my SA account balance, from my OA account to SA account to attain the FRS of $186k this year, I decided not to do so for 2 reasons.

a. I may need a personal loan from my own OA account for property downpayment

As I have plans to purchase a property within the next 5 years, while not having any intention to cash out on my investments in stocks, Reits and savings bonds with average yield above 2%, I believe I may need to give myself a loan from CPF OA to help with the downpayment of my property purchase. Hence, I have stopped transferring monies from OA to SA in the last 2 years, incurring the opportunity costs of earning lesser interest rate of 2.5% in OA compared to 4% in SA. 

It is important to bear in mind that such personal loan is costly as amount of monies withdrawn from OA is subjected to accrued interest of 2.5% and this will possible eat into the profits from property resale profits in the future as proceeds from property sales will need to be credited back to CPF OA together with accrued interests.

b. I want to enjoy tax relief from Retirement Sum Top-Up Scheme of SA account for at least 3 more years

My CPF SA account has been increasing at a rate of around $27k every year inclusive of the annual $7k cash top up for tax relief under the RSTU scheme. It is important to note that as my MA hits the limit, contributions to MA overflows to SA, to achieve a greater contribution amount to SA.

Based on the FRS projection from dollarsandsense, I will have at least 2 years to enjoy tax reliefs from RSTU before attaining FRS of $203,700 in 2024. This is assuming my CPF MA hits the limit, myself staying employed with CPF SA contributions of another 2 x $20k and 2 x $7k RSTU in the next 2 years. 

Since I expect my active income from employment will continue to grow and attract higher taxes, I hope to be able to enjoy some tax reliefs for at least 2 more years. Also knowing that I will attain FRS by plan before age of 37 gives me the confidence to not do anything to tamper with my CPF accounts. After 2024, I will let the compounding effect do its natural wonders to ensure that I will attain FRS of more than $400k in 2048 or so. 

Yes. $400k is the projected FRS after 2048! This is the harsh reality from mathematics. The critics grumble and complain that CPF monies are not our own monies because of this FRS thingy. It is very hard and impossible to withdraw our CPF monies at age of 55 or 65 because we could not attain the ever growing FRS, and due to being unable to earn the ever-growing salary that keep pace with the growth rate of FRS.  

I am not going to dwell on that topic because I am convinced that we are in full control of our own financial health and destiny. We can always transfer monies from OA to SA, save up to make cash top ups or voluntary contributions to CPF accounts in order to achieve FRS early in our lives and let the compounding effect take control to help us attain the FRS when we retire.

Source: Dollarsandsense

Thanks for reading. Stay safe and strong always.

With Love and Peace,
Qiongster


Friday, January 01, 2021

The first passive income in 2021

After waking up on the first morning of Year 2021, the very first thing I did was to check my CPF account balances.

Yeah. This is in anticipation of the amount of interests that will be earned for 2020.

Even though CPF monies do not seem to be like real monies, I believe they are still illiquid monies that can be used to fund our retirement in our late lives, purchase properties, pay for education fees of children, pay medical bills.

Here are my first passive income streams in 2021:

OA Interest: $4,307.01

SA Interest: $5,909.75

MA Interest: $2,376.17

In total, I received this amount of interests from my CPF savings:

$12,592.93

This is a 17.9% increase from $10,679.05 which I received in 2020.


On a side note, I noticed that the interests earned from Medisave account can easily cover the premiums for Careshield life ($165 for me) and Medishield life. In a way, it is possible to enjoy free insurance by using passive income from CPF savings to cover the insurance premiums. This can be helped if we bother to top up our own medisave account and strive to hit the maximum limits of $60k in 2020 or $63k in 2021 to let the 4% interest rate do its work. 

I am certainly pleased with this sum of passive income as it certainly boost my net worth on the first day of a new year.

Let's charge towards freedom. Huat ah!!

Thanks for reading. Stay safe and strong always.

With Love and Peace,
Qiongster

Thursday, December 31, 2020

Portfolio Update Dec 2020

What a finale to an epic 2020!

My portfolio value increases $20k to surpass $240k after capital injections of around $13k and buoyed by strong recovery of retail Reits in Dec 2020. I am glad and satisfied to be given the opportunities to continue building and strengthen my portfolio in 2020. Not only has the portfolio value grows, I managed to initiate new positions in quality Reits and bank such as Mapletree Industrial Trust, Mapletree Logistics Trust, Frasers Centrepoint Trust and UOB in 2020. This portfolio provides a strong foundation for me to continue building up my passive income in pursuit of financial freedom. 

Portfolio Actions

1. Gotten 2,000 shares of Ascendas Reit at preferential offering price of $2.96

2. Added 600 shares of Mapletree Logistics Trust at $1.92

3. Added 2,000 shares of Mapletree Industrial Trust at $2.83

Portfolio Dividends

1. Received $109.50 from a $10k Singapore Savings Bond on 1 Dec

2. Received $92.10 of dividends from Mapletree Industrial Trust on 1 Dec

3. Received $67.57 of dividends from Frasers Centrepoint Trust on 4 Dec

4. Received $53.56 of dividends from Mapletree Logistics Trust on 4 Dec

5. Received $126.50 of dividends from Netlink Trust on 4 Dec

6. Received $459.20 of dividends from Ascendas Reit on 11 Dec

7. Received $610.20 of dividends from Frasers Logistics & Commercial Trust on 17 Dec

8. Received $640.00 of dividends from Aims Apac Reit on 18 Dec

9. Received $100.67 of dividends from Mapletree Nac Trust into SRS on 28 Dec

      Portfolio Value $243K


My ultra long-term SRS portfolio value increases $7k to $81k. Comfortdelgro and Keppel Reit are on their way to recovery while the rest are fairly stable and in consolidation phase. All counters in this portfolio are likely to do well in the long future but if the Covid situation triggers another round of lockdown and economic stagnancy, then things will get worse before the overall situation improves. 

    Portfolio Value $81K


My war chest stands at a meagre $1.8k which means that I will not have sufficient ammunition to invest more in the near future. First quarter results reporting are looming and I am expecting some dividends to boost my war chest in Feb 2021.

My investment strategy for 2021 will be to adopt a more passive and laid-back approach. Firstly, to conserve and pump monies into CPF Special Account and SRS in 1Q 2021, then build up war chest and capitalise on any retracement or correction opportunities from 2Q to 4Q 2021, while collecting dividends, adding slowly to investments instead of gobbling because the stock market is no longer as undervalued as in 2020.

At the same time personally, it is important to invest in my own skillsets by picking up technical skills such as cloud computing, programming and enriching my mind and soul with knowledge from books and Youtube videos.

On this last day of 2020, it is time to put the darkest days of 2020 behind us, focus on the present and embrace the future! 2021 will be a better year for investors and mankind!

Thanks for reading. Stay Strong and Happy New Year to all!

With love & peace,
Qiongster

Saturday, December 26, 2020

Passive Income in 4Q and entire 2020

Wrapping up this tumultuous year of 2020, it is time to review the passive income I received in the pursuit of financial freedom journey.

In 4Q of 2020, I have received the following streams of dividends and interests.

$98 SSB (1 Oct) 
$373.49 OCBC (7 Oct) SRS
$117.00 UOB (13 Oct)
$2590 CapCom (28 Oct)
$107 SSB (2 Nov)
$311.22 CapMall (19 Nov)
$256 CapCom (19 Nov)
$270 Guocoland (19 Nov)
$92.40 Suntec Reit (25 Nov)
$458.70 Mapletree Com (27 Nov)
$92.10 Mapletree Ind (1 Dec)
$109.50 SSB (1 Dec)
$67.57 Frasers Ctr Trust (4 Dec)
$53.56 Mapletree Log (4 Dec)
$126.50 NetLink Trust (4 Dec)
$459.20 Ascendas Reit (11 Dec)
$610.20 Frasers LC Trust (17 Dec)
$640.00 Aims Apac Reit (18 Dec)
$100.66 Mapletree Nac (28 Dec) SRS

All add up to $6,932.90 in 4Q 2020.

I earned $2,816.40 of passive income in 3Q 2020.

My passive income in the first half 2020 is $7,343.82

Altogether, my passive income for 2020 is  
$17,093.12

There are one-off capital returns such as $2,590 from Capitaland Commercial Trust after merger with Capitaland Mall Trust and interests from higher fixed deposit rates of above 1.5% that matured in early 2020 that contributed to the increase in passive income.

2020 was a crazy but rewarding year because despite the health pandemic, lockdowns and curbing measures that heavily impact lifestyle, I became a millionaire, portfolio hit the highest ever value of more than $240k and my passive income spirraled to achieve the highest ever amount in my life. A crisis creates opportunity indeed.

I hope and believe year 2021 will be a better and greater year. Let the economy recovery begins, low interest rate environment to sustain and Reits to collect increasing rentals and pay higher DPU. Let's also look forward to the interests from CPF in early Jan 2021. 

Thanks for reading. Stay safe and strong always!

With love & peace,
Qiongster


Wednesday, December 16, 2020

Net Worth Update Dec 2020 - A Millionaire is born!

My net worth increases $21k to $1.013m, surpassing the milestone of SGD 1 million for the first time!

On 31 Dec 2019 when I kick-started this blog with a post on LIVE RICH LIFE FREE IN THE NEW DECADE, I shared about my target to achieve this milestone before age of 35. I did not expect to achieve this feat in 2020 as my net worth plummeted from $900k to a low of $850k at one point in Mar 2020.

I believe that this health pandemic is a blessing in disguise as it presented many opportunities in life during a crisis. 

The opportunity to work from home helps to save time commuting to office, transport costs, food costs and avoid physical contact with colleagues or bosses whom I do not enjoy meeting. This may be offset by increased expenses in electricity bills but overall, I managed to save money and time from working from home.

Lockdown of borders between countries lead to a total curb of travel and holiday-related expenditure. I have planned short trips to Thailand, Vietnam, South Korea or Taiwan in 2020 and at least a couple of thousands have been saved from not travelling at all in 2020.  

As I was fortunate to have a job supplying stable income, I injected capital consistently to buy shares from the stock market at depressed prices despite heightened fear caused by the health crisis. This helped to grow my net worth via capital gains when the share prices of many counters in my portfolio normalised to pre-Covid levels even before mankind has fully defeated the Covid virus and increased dividends from greater investment portfolio.

Early in 2020, more than $10k of interests were credited into my CPF accounts. More than $17k of passive income were collected from my bonds, dividends from stocks, Reits and interests from fixed deposits this year. All these passive income helped to boost my war chest and further fuel the growth of my net worth.

From 2021 onwards, I believe it will be the onset of a new economic cycle until another crisis kicks and history repeats itself a couple of years later. I plan to scale down the rate of growing my investments in 2021 as many company stocks and Reits are already overvalued or close to fair value. I intend to sit back, relax to enjoy the recovery ride while collecting dividends as passive income. I am sick and fed up of grinding in my current job and may look forward to finding a new gold mine to farm my bullets to build up my war chest. 



Momento Mori.- "Remember that you will die"

"Love the life you live

 Live the life you love."

-Bob Marley


Thanks for reading

With love & peace,
Qiongster


Thursday, December 10, 2020

Added Mapletree Industrial Trust

I initiated a small position of 3,000 shares in Mapletree Industrial Trust after cutting losses on Starhub back in June 2020. See post: Portfolio Rebalancing: Cut Starhub Buy MIT

I have also explained why MIT is a Reit I do not dare to sell again.

As the share price of Mapletree Industrial Trust has weakened in recent weeks, it presented decent opportunity to add shares.

I decided to add a little more to make it 5,000. My strategy nowadays is to nibble bit by bit to steadily build up positions in good businesses or Reits, in a way using dollar-cost averaging. 

While I sometimes do look at technical charts to find good entry opportunities, as a long-term investor, I am not too concerned about short-term volatility unlike a full-time trader.



Although the share price of MIT has retraced more than 20% to $2.80s since its high of $3.37 in Sep 2020, to be honest, it is still not attractive enough to throw everything in including the kitchen sink. However, as MIT owns a resilient asset class offering 4% yield in today's low interest environment, it would be hard to be patient prudent and wise to add some shares first while waiting for it to drop.

I believe investing is a continual and gradual process. I will continue to invest in slowly and steadily instead of speculating and timing the market.

Thanks for reading.

With love & peace,
Qiongster

Tuesday, December 08, 2020

Nibbled a little more of Mapletree Logistics Trust

I added 600 shares of Mapletree Logistics Trust yesterday. 


After applying for the Mapletree Logistics Trust preference shares in Nov, I did not get all the 3,000 shares that I subscribed for. They refunded me the cash for 600 shares.



Hence, I am returning back the cash where it is meant to be. Since I am willing to pay $1.99 for the PO, when it is $1.92 and presents a savings of more than the $10 after incurring additional brokerage fee, I just decided to buy back what I was not given. 

While I would be happy if MLT can rebound from its recent correction to hit greater heights, I will also be happy if its share price plunged lower for me to add more shares since I only hold a small position of 5,000 shares. 

Always have a plan on investing. Follow your conviction and plan. Thanks for reading.

With love & peace,
Qiongster

Tuesday, December 01, 2020

Applied for Ascendas Reit Preferential Offering Shares

I initiated a position in Ascendas Reit in Nov 2019 after selling Singtel. Back then, there was equity fund raising by Ascendas Reit to purchase 30 business parks in US.  I also subscribed to the preferential offering shares and then added more shares to accumulate 8,000 shares. 

Fast forward one year, it is time for another Equity fund raising by Ascendas Reit. See related post:

Another Equity Fund Raising of an S Reit to milk my war chest

Although the share prices of industrial Reits seem weak recently, the share price of Ascendas Reit did not fall much below the Preferential Offer price of $2.96. Based on recent experiences of FCT and MLT's equity fund raising,  there is decent possibility of further share price weakness of Ascendas Reit as the next dividend is still months away and there is no catalyst in the short term. Nonetheless, Ascendas Reit is a must-have in any income investment portfolio and hence I decided to subscribe to 2,000 shares (including my entitled preferential offering shares with excess).


At $2.96, offering a close to 5% dividend yield, it is irresistible and considering that the share price can move either way, we can only plan to add more shares whenever its share price gets cheaper. I will continue to build up my position in Ascendas Reit in the future to strengthen my portfolio further and grow my passive income.

Thanks for reading. 

With love & peace,
Qiongster

Monday, November 30, 2020

Portfolio Update Nov 2020

From Feb to Mar 2020, the bloodshed in the stock market has saw more than 20% of equity value wiped off my portfolio. See related posts: 

Portfolio Update Feb 2020 - Bloodshed Edition

Portfolio Update Mar 2020 - SRS Ultra LT Portfolio Revealed!

8 months later after hitting the lows, my portfolio values have hit record highs even though there is a correction today.

Share prices recovered much faster than the pace of economic recovery. As always, the stock market is a leading indicator of investor sentiments of business prospects and the economy but it is not the economy. We cannot wait until economy is prosperous before we invest our monies. We should not time the market but invest continually in all market and economic conditions.

My portfolio value increases $20k to records high of $220k with capital injection of $6k in Nov 2020.

Portfolio Actions

1. Gotten 2,400 shares of Mapletree Logistics Trust at preferential offering price of $1.99

2. Added 703 shares of Capitaland Integrated Com Trust between $1.73 and $2.01 using the free brokerage for odd lots promotion by Phillips POEMS

3. Sold 4,000 shares of SATS at $4.32 in SRS portfolio

4. Sold 3,500 shares of Mapletree NAC Trust at $0.935 in SRS portfolio

5. Bought 3,000 shares of Keppel DC Reit at $2.88 for SRS portfolio

Portfolio Dividends

1. Received $107 from a $10k Singapore Savings Bond on 2 Nov

2. Received $311.22 of cleanup distributions and dividends from Capmall Trust prior to merger on 19 Nov

3. Received $256 of cleanup distributions and dividends from Capcom Trust prior to merger on 19 Nov

4. Received $270 of dividends from Guocoland on 19 Nov

5. Received $92.40 of dividends from Suntec Reit on 25 Nov

6. Received $458.70 of dividends from Mapletree Com Trust on 27 Nov



Thanks for reading.

With love & peace,
Qiongster

Wednesday, November 25, 2020

SRS Portfolio Rebalancing - Sold Mapletree NAC Trust to nibble Keppel DC Reit

After selling SATS yesterday, I continue to perform a minor shakeup in my SRS ultra long-term portfolio.

I disposed Mapletree Nac Trust at breakeven to initiate a new small position in Keppel DC Trust at $2.88, which yields close to 3.5%. It was not executed at the best timing because at the time of writing, the share price has weakened further to $2.84 but nonetheless, I will consider averaging down when it hit my next target below $2.67.


Mapletree Nac Trust was a short term punt using spare SRS funds that did not turn out well. Bought at poor entry price of 0.95, after factoring in dividends of 2 odd cents, I only managed to breakeven at 0.935. Its exposure to Festive Walk Mall on Hong Kong require extensive portfolio diversification into Korean commercial properties by the manager in order to neutralise the negative effect of political unrest and Covid health pandemic impact on retail in Hong Kong and China. I have decided to get out of the exposure to North Asia retail and commercial scene for the time being while building up resilient assets owned by Keppel DC Reit with long Wale and annual rental escalation riding on the waves of cloud computing and emerging data technologies.

Thanks for reading. 

With love & peace,
Qiongster

Tuesday, November 24, 2020

Sold SATS

The share price of SATS (SGX:S58) has climbed from the lows of $2.50 to above $4.30 today, fueled by recent dramatic news of vaccine, potential increased travels and flights in the short future. 

I own 4,000 shares of SATS in my ultra long-term SRS portfolio at an average cost of $4.30 and $4.22 after lessing off the dividends collected in past 2 years.

I sold them all off at $4.32 today at slightly more than breakeven, avoiding the possible hefty loss of more than $7k if I had cut loss in Mar 2020.


From my SRS account as of 23 Nov 2020, SATS share price was 4.08 before further run ups of SATS share price to above my holding cost on 24 Nov 2020.

Why did I change my mind on a long term investment and decided to sell SATS?

1. No dividends in short term
SATS was a great company with strong balance sheet and consistent income producing power in its pre-Covid days. It duopolizes the gateway services and flight food catering businesses in Changi Airport together with DNATA. However, this Covid health pandemic has given a wake up call to mankind and casted a huge impact to the travel and aviation industry. SATS has lost its earning power and monopoly in several airports in Asia, including the Changi Airport, and will be burning cash to sustain its business operations for at least the next 2 years. Flights will not resume to pre-Covid days anytime soon and SATS has already suspended payment of dividends to shareholders in this FY. I do not foresee SATS being able to pay more than 5 cents of dividends in FY2021 and more than 10 cents of dividends until at least FY2023. My primary objective of investing in SATS is for long-term consistent passive income with expectation of more than 15 cents from SATS annually. As this objective could not be met, SATS no longer fulfill my investment criteria. To make matters worst, equity fund raising is definitely an option for SATS to manage its cashflow well.

2. Loss aversion bias
Due to dollar cost averaging consistently since 2018 using SRS funds to invest in SATS, my holding cost of $4.30 is rather high with low margin of safety. I have been sitting on paper losses since the onset of Covid health pandemic grounding flights and the aviation industry. Sitting on huge paper losses of up to $7k at times in Mar and May 2020, my loss aversion bias generates more satisfaction from avoiding the $7k loss than holding out long term for another $7k potential capital gains. Based on technicals and fundamentals, the probability of SATS' share price running up to above $5 is lower than than it correcting back to below $4. Selling now is an escape chance for me to free up my capital and recycle into other businesses with higher potential returns in the short to long term.

3. Harsh reality
Even though flights will slowly resume, the capacity is much reduced. In Singapore, there is lack of domestic travel and international travel has been crippled severely. Vaccine will take time to be given to most people in the world. Stringent travel restrictions will continue to hamper travel possiblity between countries. Air Travel bubble between Singapore and Hong Kong has hit a major stumbling block due to fourth wave of Covid spread in Hong Kong, and face the disappointing possibility of being abandoned.
Even though SATS has diversified its business away from aviation, such as providing food & beverages catering for events, managing cookhouses in SAF camps, cargo handling etc, more than 80% of its revenue will still be derived from air travel due to its core business in providing gateway services and food catering for flights.

In conclusion, I am out of the waiting game for aviation industry. I am taking my money back to open up my investment options in other resilient industries perhaps technology or healthcare instead of incurring the opportunity costs of waiting for the full recovery of the aviation industry. When the opportunity arise for me to invest in SATS again, I would do so again. However, there are plenty of choices now to grow my wealth at a faster rate. Thanks for reading.

With love & peace,
Qiongster



Wednesday, November 18, 2020

Net Worth Update Nov 2020

My net worth increases $13k to $992k from Oct 2020.

It is another stride towards SGD 1 million.

I injected around $6k to buy Capitaland Integrated Com Trust and subscribed to Mapletree Logistics Trust's preferential offering shares this month.

The vaccine news and post US Presidential election news have indeed propelled many stocks and Reits in my portfolio, contributing to my net worth growth.

Many of the Reits have reported their quarterly or semi annual results and announced dividends to be paid in this month and Dec 2020. This will give a further boost to my war chest and net worth. 

I will continue to stay focused and disciplined, grind at work, chillax, live frugally, save up and invest more money into the stock market for the rest of the year.

The next corporate action I will participate in will be Ascendas Reit's Prefential Offering at $2.96 a share. Meanwhile, I am still nibbling 99 shares of CICT everyday using the free odd lots brokerage promotion on Phillips POEMS.

As long-term investors, we should not be too bothered the short term volatility and noises from the mainstream news. Always be prepared for corrections in the financial markets while we enjoy surges. Enjoy sailing through the ups and downs of the wave tides instead of paddling against the resistance in our investment journeys. Have a plan, stick to it and be in control of our destiny!

Thanks for reading.

With love & peace,
Qiongster




Wednesday, November 11, 2020

Another Equity Fund Raising of an S-Reit to milk my war chest

Equity fund raising by Reits has become a trend recently. Following after Frasers Centrepoint Trust and Mapletree Logistics Trust, Ascendas Reit has announced on 10 Nov 2020 that it plans to acquire 2 freehold office buildings in San Francisco and a portfolio of data centres in Europe via a private placement and a preferential offering to raise funds of $1.2b.

The 2 properties are situated in the epicentres of San Francisco's technology industry, with extensive connectivity to transportation links and in close proximity to rich amenities and attractions. This move is obviously by A Reit to ride on the emerging technology bandwagon in the US.

505 Brannan Street, PInterest Headquarters in San Francisco


This acquisition is DPU accretive, NAV accretive, increases the WALE of AReit's properties portfolio and increases geographical diversification. On paper it looks good, but as usual, an announcement to raise equity for acquistions will always result in volatility in the share price of a Reit. It will be no different for AReit. Its share price plunged more than 5% to below $3 from its last traded price of around $3.16.

The preferential offering price is $2.96 which is not very attractive compared to the previous preferential offering price of $2.63 just one year ago in Nov 2019. As I currently own 8,000 shares of AReit, this will be a good opportunity to add 2,000 shares to round up my investment. I will subscribe to the preferential offering shares unless its price in the market offers more discount.

In the short term, the share price of AReit may retrace lower, possibly even lower than the preferential offering price due to hedge funds and institutional traders pulling out of safer defensive assets to plough into recovering assets in the tourism, aviation and retail sectors which have been battered badly and recovered a slow pace. However, in the long term, AReit is one of the best, if not the best Reit to own in an investment portfolio. I believe it will definitely play its role to reward consistent and steady returns of more than 5% for its long-term investors.



Thanks for reading.

With love & peace,
Qiongster


Saturday, November 07, 2020

Applied for Mapletree Logistics Trust Preferential Offering Shares

I nibbled Mapletree Logistics Trust to initiate a new position in Sep 2020.

On 19 Oct 2020, MLT announced the proposed acquisition of a 50% stake in 15 China logistics properties, 100%  stake in 7 China logistics properties, Mapletree Logistics Hub, Tanjong Pelepas, Malaysia and Mapletree Logistics Hub Bac Ninh, Vietnam Phase 3, all valued at SGD1.067B. The acquisition will be funded by a combination of debt and equity.

Mapletree Changsha Logistics Hub

The logistics properties to be acquired are built to Grade A specifications, with strong floor load, high ceilings, large floor plates, and ramp access, with majority having cross-docking features that cater to fast goods movement. Situated in Key Asian logistics hubs in China, Malaysia and Vietnam, well-connected to transport infrastructure of highways, railways, air and sea ports, and near large population catchments for labour, these properties are riding on the waves of booming e-commerce.

I had decided to participate in this equity fund raising of preferential offering at $1.99 until the share price of MLT plunged to the lows of $1.94 on 2 Nov when it was more cost effective to buy from market instead of pressing at the ATM. The subsequent recovery of MLT's share price back to $2ish levels meant that I should just subscribe to the preferential offering shares. 

So there it is, another small step towards increasing my investment in Asian logistics. Hopefully more investors decide to skip this equity fund raising and let me have all the excess shares.


At $1.99, it is definitely not attractive or low enough but at a yield of 4% (same as CPF Special Account interest rate) in a resilient property segment, it is still rewarding for long-term investors who believe in riding on the waves of booming e-commerce. Also not to underestimate the compounding effect of 4% to more than double an investment over 20 years. Thanks for reading.

With love & peace,
Qiongster