Saturday, 19 May 2012

Creating Sustainable Income

Have been wanting to document my Investment Journey in a Blog to both remind myself of the lessons I have made, as well as the accomplishments (i hope) that I have achieved in my life.
Finally took the first step today!!  :-)

Well, since my university days in 2004, I wondered why so many people in their 30s and 40s generally spend such long hours at work, to the extent of neglecting their family, while complaining about being stuck in jobs they hate.
I made a decision that I do not want to be like them at their age.

Alot of my observations over the years led me to conclude that if one has sustainable income to support their basic lifestyle, they would have more time to think about creative ideas to make a difference in the lives of the people around them, making our country a more harmonious and constructive place worth living.

One of the methods to get there I believe was to achieve proficiency in Stock Market investing.
Hence, in my early years, I read many books and attended seminars regarding Value Investing.
Most importantly, I took the plunge and started trading in the Singapore Stock Exchange.
Can still recall some stocks I traded in those days have become 10-, 20-baggers today whereas many got delisted because of company fiascos, privatisations, etc. Retrospectively, several lessons were learned. I got my fair shares of profits which made me feel "invincible", but also my fair share of losses that humbled me and brought me down to earth.

Since 2004, I grew my $20k capital to $300k (mkt value) today.

Today, my investment philosophy is long only, preferring to hold companies for years.

I will sell them only in 3 scenarios:
a) Times of irrational exuberance
b) There is a more compelling investment
c) The company's fundamentals deteriorate irreversibly

My strategy ultimately gears towards purchasing good quality companies' stocks that give sustainable dividends (5% to 8%).

I shall begin this first post by sharing my stock portfolio as well as my annual dividend income in 2011.

Frasers Centrepoint Trust (retail malls in SG)
Mapletree Commercial Trust (commercial/retail malls in SG)
Stamford Land  (australian hospitality assets)   
United Engineers (ppty developer/engineering/hospitality in SG)
Wing Tai (high end ppty developer/retail business)

Annual dividend 2011:   S$16,000 

Going forward, I will periodically do writeups on these individual companies, and share my views on the individual companies' prospects.
Your comments and views are greatly appreciated!
Hope I can find more bloggers/investors of similar mindsets through this avenue.  :-)


  1. Thats some very nice annual dividends. I have a blog on investment too and had posted some of my view on certain companies, altho still very amateur-ish =P.

  2. Wow, nice portfolio you have. And your dividend yield is 5%! =)

    How about a breakdown of your portfolio? maybe some charts will help =)

  3. Nice dividends you have there.

    As mentioned by FoodieFC, maybe you can share the breakdown of your investment in those stocks :)

    All the best!!


  4. Wah! New joiner.. Welcome welcome! I am same as you too.. but you have a much humongous portfolio there..

    If you like we can exchange links :)
    My blog is

    Cheers and All the Best to you!

  5. Thank for sharing your blogs, James & Invest-Wizard!
    Will add them to my bookmarks.

    Foodie & B, thanks for your comments. Am still relatively new to using Blogs, so will explore ways to share information more effectively as time goes by. :-)

  6. Nice to see more blogs on Value Investing. I did notice though that your portfolio is quite heavy on property - having two REITs, two property developers and one company holding australian hospitality assets. Is there a reason for this?

    Also, how would you value property developers since their earnings are erratic and depend on when their projects are completed and sold?


    1. Hi Musicwhiz!

      I am a fan of your blog too.......pity you have to stop huh.
      I liked your post on Boustead & SIA Engineering.

      I agree a flaw in my portfolio now is it is too dependent on property.
      I need to diversify in order to create stable/ more sustainable income. This is in the works!

  7. If you successfully found a very sustainable income then the pre requisite is to save more than you spend. And if you intend to make an investment then traderxp broker review could probably help you with some investment tips and strategies on binary options.