For my Future, I Took a Big Leap of Faith (70% Invested)

Hi everyone,

This will be a short post summarizing my current portfolio and feelings, and to garner feedback and opinion.

In a span of 3 months, i have invested into 9 additional counters – I am now vested in 13 counters altogether, with <70% of my net worth invested in equities, sitting on a -8% portfolio lost.

Although i’ve always believed in investing for the long term, i found myself to be quite the trader. This crash however, has forced me to really adopt the approach and mindset of a long-term investor.

I will never know when the market will sink further, or when the market will rally, it is too irrational. Therefore i have been busy pouring my cash into companies with long-term growth prospects, in terms of capital gains and dividend yield (excluding JD).

Nonetheless, i have a few wildcards such as Mapletree NAC Trust and United Hampshire REIT. These are counters that i am as of now, uncertain about their future. They make up 4% and 5% of my portfolio respectively.

My Portfolio:

– Singtel
– Nikko STI ETF
– OCBC
– ST Engineering
– Capitaland
– Manulife REIT
– Capitamall Trust
– Capitacom Trust
– Mapletree NAC Trust
– United Hampshire Reit
– IBM
– Citigroup
– JD.com

Of course, i have been really worried about my portfolio, as it is after all a huge sum, and a big big big bulk of my total assets. I now truly understand how important mental fortitude is for an investor. It is so hard to ignore the daily losses and fluctuations.

As a 24 year old university student, i thank god that i have the next 2 to 3 years to sit this out without much debts or financial obligation.

Do share, what are your thoughts on my portfolio?

 

6 thoughts on “For my Future, I Took a Big Leap of Faith (70% Invested)

  1. You are much younger than I am and you started in the market much earlier. I envy you that.
    I have some questions though:

    1) Your job, house, and CPF are all in SG. Why not consider more international stocks rather than overweight your assets in SG further? Keeping in mind our current economic challenge, etc

    2) Instead of picking winners (that as you say may end up as losers), why not index it? Just buy a world index etf. I think you would worry less. I guess one question to ask is, what is your expected return from your portfolio?

    Just my thoughts.

    Liked by 1 person

    1. Thank you Oken.

      1) I only started investing in overseas stocks this year, and i wish i had started earlier. As of now, i find many of the international stocks over-valued, and STI has yet to keep up with their rallies. I am gunning for international stocks but the price simply isnt right for me now.

      2) My goal is basically to be able to achieve 5,000 in passive income from dividends. I don’t have a particular expected return target but anything above 5% is satisfactory! As for ETFs, what would you recommend?

      Like

      1. I cannot tell you what to do. I can only tell you what I am doing.

        1) I agree that the US market is going crazy. I have a portion in Gold now to hedge against the market crashing. Other possibilities I have considered is to move to Value or Small Cap etfs that are much cheaper overall as the main gains are the Big Tech companies in the NASDAQ.

        2) I am not worried about dividends. I am still in the accumulating stage and will still be there (if I need to) for another 20+ years. Dividend investing (in my understanding) does not match up to just investing for growth. This also means I can just buy accumulating ETFs and not have to worry about re-investing dividends.

        3) If you just want 5%, you should really consider Index Investing. Index investing is known as a way to “buy the market”. And the Global stock market, in the long run, certainly moves by more than 5% PA.

        4) I prefer Ireland-domiciled, low-cost ETFs. Preferably by Vanguard or Blackrock (iShares). VWRA is one ETF that basically buys the whole world. There are variations available if you prefer your dividends to be distributed, or you want accumulating. If you prefer high Div yields, or only developed markets, or emerging markets. Or etfs with particular factors (value, growth, momentum, etc). But I guess VWRA is a safe start.

        5) I am watching the Robo landscape to see if I would be willing to fully buy-in into any of them. That would automate my investments and means I don’t have to look at them until I retire. (Or maybe annually. At least I would be less compelled to look at them every other week…)

        6) When my kids get to working age, I would also tell them to consider investing their CPF OA for >2.5% returns. Now seem as good a time as any to read up on that and prepare to do so. I would also tell them not to spend too much time on investing. Spend more time on picking up the skills you need for your professional career. Try to invest as automatically as you can.

        That’s all I got for now. Like I said, I envy you. Your age is your greatest asset.

        Liked by 1 person

      2. Who would have thought in March that the dow would be where it is right now hahaha. Yes, the big gains are really from the tech companies.

        I’ll certainly look into index investing. I’ve heard about Vanguard and Blackrock’s ETFs but I never actually spent time to read about them, and now I will. Right now I’m only holding the Nikko STI etf which to be honest is a huge disappointment, should have gotten the ishares s&p etf from the get go.

        I’m currently slightly invested in stash away roboadvisor! It’s not too bad but I’ve come to realise that it isn’t as good as people make it out to be.

        Your kids are lucky to have you! Once my school semester starts I probably won’t be so hard up focused on the market haha.

        Thank you for your advice! The STI market tanked today and wiped a good 1.5K off my assets. What a knee jerk reaction from an MAS announcement… I am tempted to just leave this and check back a year later 😂

        Like

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