May 6, 2017

Cory Diary : XIRR Performance - Interim Q2 2017 May Update


The Market for REITs have been exciting for this period of results announcement and media has been reporting good returns of a number of strong Reits. So is this ride ending ? Apparently the decision this week not to increase rate by Fed seems has no clear felt impact to the market as it will likely be on next. I have been holding tight on what I have and waiting .... . During this time I have done more blogging instead.

As there are 5 more dividends counters waiting to be Ex-div so I will just leave that for next article. To spice up this update, I have included XIRR Interim Q2 '17 May for comparison.




Some of my re-balance actions I took is to lower my First Reit exposure for Lippo mall. Appears it doesn't really matters to the return as both did well in their operation net net. My five speculative positions seems break even within. Not all quarterly result is out yet on them so we shall see how I do after. I sold some of my earlier SSB Bond in exchange for higher interests last month after Interests. Intent to max out my allocation at appropriate time. With current 1%-2.3% range, this will push down my score as expected.

Singtel moved a tack lower however I am not definite on the impact will be. Market sentiments not helping. Looking forward to the coming result. Exposure is a single digit percentage of my portfolio.

STI Index did really well due to the banks again. Chances are the market will continue to go up just that I am not sure it will be STI. I have so far been mitigated due to low double digits exposure to STI index. Super Bulls would have arrived if we see both Singtel and Oil/Gas surge returns. So we aren't in bubble territory yet I feel.


Outlook to watch

1. Oil Price
2. SGD/AUD/USD/NTD Currency
3. Telco Markets

Cory
20170506




May 2, 2017

Cory Diary : Do REITs take back more than they give ?

REITs have been in SGX for long time. Despite that people still has concern whether they take more than they give. If I am to invest in REITs obviously the benchmark will not just be more than they take only. They need to give enough back in the form of capital gain or dividends that are way above inflation in total.

This concept is pretty simple.

REITs Investment Returns = Capital Gain/Loss + Dividends , and Annualized

For the sake of a safer example, I will pick a stable REIT CMT. Yes, the one which I have blogged recently. CMT owns many Malls in Singapore whose tenant income are tied to tourist visits, impact of internet shopping and the local economy. And Funan Mall in the midst of AEI. I will take a peek on CMT for past 6 years performance starting from 1 May '11 ( after Ex-div ) till today.

During this period there are no retail rights issue which makes my calculation easier to compute. To make thing simple, I will use Yahoo monthly chart to calculate CMT annualized return on the stock price against today 1.97 closing. XIRR = -0.08.% which imply a capital loss. And then lookup on the total dividends distributed on the measured periods. Total : $0.6276. Combine both of them as table below.











So annualized returns for CMT for the past 6 years are 5.28%. What this mean is for every $10,000 dollar invested in CMT, you get $528 annually. A total of $3,168 or 31.7% for the total period.

So at least for CMT, is a Myth that REITs are not a good investment vehicle. Like any other stock, when to invest and sell is important. REITs are no exception. Will CMT continues to prosper ? That is for their current management to answer.

Please DYODD.

Cory
20170502






May 1, 2017

Cory Diary : What do people live for?


Saw this from a friend message link.


Investment is for quality retirement. Don't retire for sake of it and live like a beggar.
Strive for Quality Living. That's will be the benchmark

Once I realized that, things become clear. Investment for Income has become more important so that I have the money to do what I can with my time.

But I need to remember too ...


Being Rich is not about how much you have but how much you can give.

Start small.

Happy Labor Day !

Cory
20170501