Tuesday, 9 February 2016

Dividend Knight Portfolio Update (Feb 2015)


Company
Shares (1000)
1.
M1
12
2.
AIMS AMP
30
3.
Starhub
10
4.
Singtel
8
5.
Frasers Centrepoint Trust
12
6.
CACHE Logistics Trust
20
7.
Mapletree Logistics Trust
18
8.
SATS
4
9.
CapitaLand Mall Trust
7
10.
Raffles Medical Group
3
11.
ST Engineering
3
12.
ParkwayLife REIT
5
13.
Suntec REIT
6
14.
MGCCT
7
15.
Keppel DC REIT
10
16.
Sheng Siong
7
17.
OCBC
0.4
18.
Mapletree Commercial Trust
2
19.
VICOM
0.5

Dividends received in February 2016: S$1,778.90

Total dividends received since Jan 2016: S$2,322.90

Average dividends per month: S$193.60

Average dividends per day: S$6.40

For the month of February, I will be receiving a total of $1,778.90 from most of the REITs in my portfolio. On track to achieving my passive income target of $1.5k per month by the end of 2016.
  • CMT: $201.60
  • FCT: $344.40
  • Suntec REIT: $165
  • MLT: $336.60
  • CACHE: $234.80
  • PLife REIT: $168.50
  • Keppel DC REIT: $328
The hysteria and fears over China's 'hard landing' shows no signs of receding. New month, same story. The problem is that the world has never seen such a massive economy like China which also happens to lack transparency. Does anyone really believe the 'official' economic figures released by the Chinese authorities? This prolonged volatility is getting ridiculous to say the least. We are literally scaring ourselves.

Fortunately for me, it is business as usual for most REITs. They reported stable DPU and occupancy rates. With the Fed likely to hold off on further rate hikes until the global markets stabilise, REITs have become somewhat of a 'quasi-safe haven' for local investors to hide in. Back in 2014, I could still remember those 'fear-mongering' reports from analysts and journalists on how the rate hike would potentially send REITs crashing. Typical hyperbole from mainstream media. Go for REITs which have long WALE, low gearing, stable occupancy rate, high interest coverage ratio and no near-term refinancing needs.

I am not saying ignore the media and analysts' reports totally. I am just saying we should read them with a pinch of salt and form our own judgement. Avoid jumping to conclusions too early and making knee-jerk reactions.


Happy Lunar New Year!
DK

6 comments:

  1. I think there's a typo.. sld be *high interest coverage

    ReplyDelete
    Replies
    1. Hi Invest Wizar,

      Thanks for pointing it out. Corrected.

      Delete
  2. Hi

    What's your favourite REIT?

    Mike

    (Singapore Dividend Collector)

    ReplyDelete
    Replies
    1. Hi Mike,

      My favourite REIT is FCT.
      PLife is a very close second.

      Delete
  3. Hi DK,

    What do you think of SATS so far?

    ReplyDelete
    Replies
    1. Hi freako,

      I dun foresee any strong growth topline growth in the future. Although they have been doing a decent job in improving the bottomline over the last few quarters, I think there is a limit to how much cost cutting can be continued.

      In other words, earnings growth will slow until Changi Terminal 4 and 5 provide more catalysts in the future.

      Delete