Stock Transactions for May 2020

My Stock Portfolio (May 2020)

The month of May 2020 is gone at the blink of an eye. During the end of each month, I will provide a summary of the stock transactions or actions that I have made for that month. Since April, I have stopped purchasing Singapore Savings Bonds as the interest rates had fallen to unattractive levels. The interest rate is only 1.05% for holding the bond for 10 years.

High Yield Low Risk

Not to worry, I have found a better place to deposit your money, which is the Singlife Account. The best thing I like about the Singlife Account is that it delivers a return of 2.5% per annum for the first S$10,000 deposited.

The interests collected goes back to my CIMB FastSaver account.

Stock Investments

I did not make any stock transactions this month. As the stock market stages its recovery, I am slowly building back my cash on hand too. During the stock market crash, I have deployed some funds to add a few quality stocks to my stock portfolio. I am glad the stock prices have since recovered and I shall monitor their performance before increasing my position on them.

The stock market can remain volatile as the COVID-19 pandemic has re-ignite the argument between the two big countries. With Beijing imposing new national security laws on Hong Kong, this has shaken the stock market as well. A few financial bloggers such as Brian (A Path to Forever Financial Freedom) took opportunity to load up on their favourite stocks. What I am trying to say here is that even if you missed out to buy stocks at incredibably low prices during the COVID-19 pandemic stock market crash, there are always more opportunities ahead.

Cryptocurrency

The very last thing I wish to update here is the MCO card. I have signed up for the Ruby Steel (Red) MCO card. I am still waiting for the card to arrive. If you sign up using my MCO referral link, you and myself will receive US$50 in the form of MCO token.

Summary of April 2020 Transactions

Stock Portfolio

Today is the last day of April 2020 whereby I usually summarize my stock transactions. I have applied my strategy of buying small quantities of stocks instead of large transactions. This is because I believe the stock market have not factor in the financial impact by the COVID-19 pandemic.

In early April, I have bought more of CapitaMall Trust and US Manulife REIT. US Manulife REIT and CapitaMall makes up 2.33% and 9.70% of my stock portfolio respectively.

If you have noticed, Frasers Commercial Trust no longer appears in my stock portfolio. This is because Frasers Commercial Trust had been delisted due to its merger into Frasers Logistics and Industrial Trust. As a result of the merger, my holdings of Frasers Logistics and Industrial Trust had increased to 12.99%.

Most REITs have released their quarterly financial results. They are Suntec REIT, Mapletree Commercial Trust, Mapletree Logistics Trust, ESR-REIT, ParkwayLife REIT, Mapletree Industrial Trust and Starhill Global REIT. Due to the uncertainty of the impact caused by the COVID-19, most REIT managers have decided to retain a portion of their distributable income. Even though distribution per unit have declined due to the retention of distributable income, the share price of most REITs had still gone up. I am not sure why but I advise investors to trade with caution.

If you are looking for safe haven, I have found two endowment plans this month. They are Tiq 3 Year Endowment Plan and China Taiping i-Save Plan. The benefit of these endowment plans is the guaranteed capital upon maturity. Even though the returns may not seem as attractive, the risk is definitely low.

There is still one more month before the end of the “Circuit Breaker”. I definitely hope this does not get extended.

Meanwhile, stay safe and stay at home!

Summary of March 2020 Transactions

Summary of March 2020 Transactions

We are coming to the end of March 2020 and this is time to look at my stock portfolio. I have never expect the COVID-19 outbreak to have such a significant impact on the world wide economy which caused all the stock markets to plunge into a sea of red. I guess it was too early when I assess the impact of the COVID-19 outbreak with the previous outbreak as the stock market was still relatively stable at that time.

From 11th March 2020, this is the period whereby the impact could be felt and the worst is the Straits Times Index Fell 6.03% Due to Oil Price War between Saudi Arabia and Russia. I have sold off The Hour Glass and Kingsmen Creatives at reasonable prices when I read about the impact of COVID-19 to retail and entertainment industry. I feel that the risk of these two stocks will be impacted the most when shoppers avoid malls and attractions such as NERF experience are closed.

Taking opportunity of the market crash, I have bought OCBC Bank and Singtel as the dividend yield has turned attractive. Of course, I am expecting dividends to be cut but the dividend payout should turn positive when the economy recovers. There are other blue chips whereby the current prices are attractive but if you look at my stock portfolio, I have already own a couple of them such as ST Engineering. The others such as SBS Transit, VICOM can be found in my wife’s stock portfolio.

The stock prices of REITs have fallen as much as 58% this month. As I have a limited war chest, I have nibbled at US Manulife REIT and keep the rest for deployment in tranches in upcoming months.

Last, I will like to share the investment lessons I have learnt during this crisis.

Even though we had bought some shares at the prices prevailing before the fall, we welcomed the decline because it allowed us to pick up many more shares at the new panic prices.

Berkshire Hathaway shareholder letters, 1990

Keep calm and continue investing!