Bf Gf Portfolio Update – 21 May 2015

update

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Recently, I have been re-balancing my portfolio.  I remembered it was in early February 2015 when I looked back at my stock holdings and wondered what the heck am I doing???

 

I have over allocated into a few stocks namely Chip Eng Seng, Nam Cheong and Valuetronics, all of which, are rather risky.  I have since spent these past few months scouring for better stock picks, and at the same time, divesting from these 3 stocks.  I have yet to explain my reasons for Valuetronics ( Lighting sector getting overunned by PRC manufacturers), but I have given my reasons for divesting most of Nam Cheong and all of Chip Eng Seng.

 

Most of my new stock picks are from the US, not because I like to eat potato (jiak gentang), but because I find these US companies stronger, more scalable and more innovative than our SGX companies.  Again, I am going for a growth strategy, hence explaining most of my picks below.  If you solely invest in SGX stocks, not to worry… there are many benefits in investing in SGX stocks ( no tax on dividends, don’t need to waste money on foreign exchange rates, some undervalued picks still exist?)  Different strokes for different folks.

 

Here is my portfolio as of 21 May 2015.  ( I take foreign exchange rates as USD 1 = SGD 1.34 )

 

Bf Gf Portfolio

 

Please don’t bother too much about the annualised return too much, it fluctuates between 10-12% when I buy or sell something.

 

I got 4 more secret stocks to be revealed –  I would like to do a ‘proper’ write up first before revealing each stock.  And because, stock analysis are very tedious to write… I am just … procrastinating…..

 

Some Updates:

All the US companies are affected by the stronger US dollar.  When converting the financial statements into USD, many companies’ earnings are reduced.

Priceline –  experiencing currency headwinds, but I still love this stock nonetheless.  Powering on!

MasterCard – growing strong despite currency headwinds.  I like this recent article about them.

GoPro –  started as a mid-size bet and grew to take up the biggest portion in my portfolio within a few months.  No complains.  Read about when I bought GoPro here and the coverage here. Strong chance of becoming a multibagger!

Sierra Wireless – reported quarterly earnings that seemed pretty ok to me.  Market is reacting to their GAAP financial statements.  No worries there.

Chipotle Mexican Grill –  released guidance and warns of slowing growth in same store sales.  Even with the slowing growth… they have a lot of potential.  Wrote about CMG here.

LinkedIn –  bought it after it plummeted by more than 20%.  Still expensive, but I worship Reid Hoffman, hence that tiny allocation.

Nam Cheong – divested most of it.  Risky, cyclical… but cheap, no?

Valuetronics – divested slightly more than half of it.  They have been struggling to shift their operations to their Industrial Consumer Electronics segment.  Holding for dividends. Good thing their balance sheet is clean (no debt!)

Keppel Corp –  bought it in December after I noticed insider buying when the oil crisis struck.  Holding for dividends.

Vicom –  used some of the divestment from Nam Cheong to buy Vicom.  If u noticed 0.84% gain due to dividends… ok I am embarrassed to admit –  I bought Vicom few years back but sold it for whatever reason I can’t remember.  Obviously it must have been a stupid reason, because here I am, holding Vicom again…

 

Now that my portfolio is more or less in place, I can relax and chill.  I will also be looking for ways to cut spending and increase income streams to build up a bigger warchest.  Will be sharing more of our money management exploits soon!

 

I have yet to do a write up for 4 more stocks bought.  Like The Bf Gf Money Blog on Facebook or subscribe by entering your email below to receive updates! 

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3 Comments

  1. mslee888

    As you mentioned, most of your new picks are from USA. DJ and S&P are at record highs. Nasdaq has also come back quite a bit. Unless we are very familiar with US stocks fundamentals, it is very high risk to take going into US market now. I feel it is more downside than upside potential. S&P PE now at over 18 times…

    Good Luck

    Reply
    1. The Bf (Post author)

      It depends on your time frame. Mine is 10-20 years.

      Corrections will come, does that mean you stay out of the market and try to catch corrections? I pity those who sat out of the markets worrying about Fed increasing interest rates or money-printing for the past 5 years.

      I feel these companies got a lot of upside – that’s all I care. S&P500 got upside or downside, it doesn’t matter. I will just be more prudent in bull markets.

      Besides when big bear markets come, I will be planning to hit the buy button on these companies and a few more.

      Reply
      1. mslee888

        Good to know you have a war chest…and Good Luck!

        Reply

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