Portfolio Update - May & June 2018

Apologize for the lack of postings for the last 2 months. I had been pretty tied up with work, so let me do a quick update for May and June.

The local market has also turned quite badly in Q2, and is fact quite disastrous on my portfolio.

Hyflux 6% Perps

Hyflux announced that it will not paying interest on the Perps during this period. 

I have written a post in Feb 2018 on how disgusted i was with Ms Olivia Lum but didn't cut loss on that position then.  I hope the authorities will look into whether she has contravened any articles in the Securities and Futures Act . . . 

In any case, i have written down the value of my perps to 10% of its face value. 🤕

Lesson Learnt : Don't be lured by high interest rate and "high profile" business lady. Watch the cash flow and credit quality of the investment closely 

Dividends Received from SRS Portfolio

I received $5,918 from the SRS portfolio, contributed primarily by UMS Holdings ($3,000), Netlink Trust ($1,620), Starhill ($545) and Frasers Commercial Trust ($753).

The SRS value has tumbled quite a bit to $223,050, compared to its peak in March of $265,214. A drop of more than $42,000.... 🤕

Lesson Learnt: More nimble on equity positions in my dividend portfolio. To consider selling the equity if the returns are good

Trading positions

The trade in Facebook has turned out well and i sold my position in June.

Passive Income Update

One of the hottest "IPO" in June turned out to be the Astrea IV bond issuance. I managed to load up quite a bit on both the USD and SGD tranches from the wholesale market. My IPO write up is here. This is one of the more secured bond (definitely better than Hyflux Perps). It is also rated A by the rating agencies where the banks will also provide leverage against the purchase. 

On the flip side, I have written Hyflux Perps to 10% of its face value and projected zero income for the future. 

This is how my monthly passive income looks like on the portfolio.

The good news for me is that the passive income hit a high of $76,473 (or average of $6,372 per month) and exceeded my 2018 goal of $60,000 per year earlier than expected.The figure will drop towards end of the end as Perenial Bonds will mature in October this year.

That's all for now.

Happy SRSing