The market largely recovered in Q1, with STI raising from 3100 to 3300 against major expectations, proving how once again how you can never predict the market. Our portfolio recovered all losses incurred in Q4 2018.
In local market, the implosion of Hyflux dominate the news - a good article I came across on how you can't always trust "independent valuation report". You cannot depend on the authorities to do the governance for you - look at Noble, Ayondo, Midas, etc...
Remeber: "Every asset on the balance sheet needs to be dilligently questioned and verified, but every debt and liability is real."
Performance Review Highlights / Acquisitions & Developments
REITs valuation exploded after the Fed announced no further hikes. We mistakenly sold Capitamall Trust early, but this was impossible to see coming.
M1 is finally off our hands - we made capital loss of almost $2800 and a total loss of $850 after dividends. As one of our earliest holdings (for nearly 5 years), it's a educating lesson at a relatively small cost. Defensive industry are only defensive until the moat is broken. We have seen the collapse of all 3 major telcos over the years and it is the best example of technological disruption effect. Your dividends comes from cash (payout ratio), and to get cash you need free cash flow.
For now, Singtel and Kimly remains our largest holdings. $2100 of dividends for another record-breaking quarter!
Our income grew 10% YOY with slightly larger bonus. base salary and dividends. Nothing much else to add.
Operating Highlights - Expenses
Even though regular expenses were lower than average, the large 1-time expenses made this our highest ever -
totalling almost 50% higher than Q1 last year.
Biggest item were our Genting Dream Cruise trip, CNY angbao gift to mum, several board games and some social events.
N/A, except manage to avoid giving up DBS Multiplier Feb salary thanks to my colleague's advice!
Outlook
We are reluctant to invest in this market, but it seems I have no choice but to get some STI very soon to rebalance our assets.
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