Friday, December 31, 2010

The Year Ahead - Review/Reflections for 2010 and Investment Strategy for 2011

2010 had been a decent year for stock market investors, though not as good as 2009. It has also been a stock-picking year and investors had been rewarded handsomely if they had picked the right stocks. Personally, for my portfolio, I had done quite ok this year. So, here is my review for 2010.

What has done well:

1. Adopt value investing strategy and overweighting undervalued stocks. I had bought in more small and mid cap value stocks this year, while also adding onto existing ones. This strategy did paid off in the 2nd half of the year as STI peaked and the market re-rated some of these value stocks. The downside of this strategy is of course, being unable to participate fully if growth stocks rallied further.

2. By avoiding IPOs and participating in rights issues, I had been adding more into existing stocks rather than introducing new ones. Rights issues are normally priced at a discount from the market, and I managed to add onto some of my core existing holdings like MapleTree Logistics Trust, Ascott REIT, First REIT etc via excess rights shares as well.

3. Minimize sell trades. I have only done one sell trade this year and that reduces turnover rate of the portfolio and in turn reduces brokerage costs.

What has not done well:

1. Only attended a few AGMs. I started the year aiming to go for more AGMs, but it didn't turn out well as I was occupied with work.

2. Less time to go through annual reports. I did not allocate more time to go through some of the annual reports this year and as a result, I didn't finish some of them. I also did not have a system to keep track of those reports that I had not finished going through, until I realized it when doing some random checks.

3. Minimize buy trades. I had a lot of buy trades in different stocks at different times throughout the year and that had got to do with limited budget and dividend payouts at different times. I might want to reduce these small buy trades to save further on brokerages.

Investment strategy for 2011 - I do not like to predict where the market will move. Rather, I would like to position my portfolio accordingly so that it can adopt to different market conditions. I had been positioning my portfolio defensively since the 2nd half of 2010 and will continue to do so in 2011. I suspect 2011 will also be another stock-picking year whereby stock selection will play an important role. I will continue to overweight companies that are undervalued, delivered good cash flows and reward shareholders consistently. Rights issues had been one of the strategy that I adopted in 2010 and I will continue to apply for excess rights shares on selected issues in 2011. I may also want to add onto some of my STI component stocks in the portfolio if opportunity presents itself.

Labels: ,

Thursday, December 30, 2010

My Investment Portfolio (December 2010)

How time files! It is the last day of 2010.

STI is quiet this month and it is expected as most investors are closing their books. Not much news flow too in the market.

For my top 30 stock holdings, there are not much changes this month except for a new entry - Metro Holdings. I have converted its warrants to shares near the end of last month. Thomson Medical Centre had been removed from the list, pending compulsory acquisition by the offeror.

For this month, I have accepted the delisting offer for IDT Holdings. I have also participated in the following scrip dividend scheme - SP AusNet, Tat Sin Electric and 2nd Chance Properties.

I have bought the following companies from the open market this month - AsiaMedic, Aspial, BBR Holdings, BH Global, BRC Asia, Casa Holdings, Chosen, Chuan Hup, Dynamic Colours, Guthrie GTS, Hotel Grand Central, Intraco, Isetan, LHT Holdings, Lion Teck Chiang, Matex, Metro Holdings, Miyoshi, Nam Lee, Noel Gifts, Ossia, PCI, PM Data, Stamford Tyres, Superbowl and TMC Education. I have subscribed to the following rights issues - BioTreat, First REIT, ISDN, LC Dev, Pan Asian Water and Transcu Group.

I have converted the following company warrants to shares - Goodpack and Informatics.

Wishing all readers a Happy New Year!

My S'pore Stock Portfolio - Top Holdings, cash investment only (correct as at 31 December 2010)

Top 30 Holdings (Sing$ Denominated shares)
1. Noble Group
2. SGX
3. Jardine C&C
4. F&N
5. SembCorp Marine
6. KepLand
8. CapitaMall Trust
9. OSIM International
10. Cosco Corp
11. Bukit Sembawang Estates
12. Viz Branz
13. K-REIT Asia
14. CapitaCommercial Trust
15. Metro Holdings
16. CapitaLand
17. Transpac Industrial Holdings
18. Pacific Andes
19. CDL H-Trust
20. Wheelock Properties
21. Keppel Corp
22. OCBC Bank
23. Genting Singapore PLC
24. Low Keng Huat
25. CitySpring Infrastructure Trust
26. ComfortDelgro
27. Ascott REIT
28. Hong Leong Finance
29. Raffles Education Corp

Top 5 Holdings (US$ Denominated shares)
1. Jardine Strategic
2. Dairy Farm
3. Hong Kong Land
4. Jardine Matheson
5. Mandarin Oriental

Top Holdings (HK$ Denominated shares)
1. Fortune REIT
2. Tan Chong International

Top Holding (Aust$ Denominated shares)
1. AV Jennings
2. AustLand PG

Top 5 Holdings (CPF OA investment)
1. Keppel Corp
2. Streettracks STI ETF
3. CapitaMall Trust
5. SingTel

My Hong Kong Stock Portfolio (listed on SEHK)
1. Peace Mark Holdings

My Unlisted Company Portfolio
1. Automated Touchstone Machines Ltd
2. Iconic Global Limited
3. Greatronic Limited
4. China Printing & Dyeing Holdings
5. General Magnetics
6. Fastech Synergy
7. Beauty China
8. Memory Devices
9. Jurong Tech
10. FM Holdings

My Unit Trust Portfolio:



A self-directed investor, looking to invest for retirement needs and bypass all those expensive financial planners/insurance agents. Investing is fun, profitable or most important of all, knowledge gained is useful for the rest of your life!

Powered by Blogger