Saturday, December 31, 2016

2016 Returns

2016 Returns

My stock portfolio returns this year is +19%, beating STI returns (excl dividends) of 0% and the STI returns (incl dividends) of 5%  (based on STI ETF as at Nov 2016)


The returns are largely due to 2 stocks: China Aviation Oil (CAO) and 800 Super. (I am still holding 800 Super in my portfolio, but I no longer hold CAO. I may buy CAO again if the price drops.)

What I aim to do in 2017

As mentioned earlier, I aim to inject funds into my stock portfolio such that my stock-to-cash ratio will be 60-65% in 2017, as the opportunity cost of cash -- i.e. returns if invested in stocks -- is significant.


In 2016, I have steered my portfolio towards GARP (Growth at Reasonable Price) stocks. Hopefully, I can continue to find GARP stocks to buy in 2017. It is quite difficult to find stocks with quality and growth at reasonable price. 


If possible, I should set aside a portion (maybe 5%-10%) of my portfolio towards buying stocks which had fallen a lot, market is very pessimistic about, but the problems are temporary and the stock has a chance of recovery. Thereafter, when I had bought the stock, I should die-die hold the stock for 2 years regardless how low the stock fall. This is something I may do, if I can identify such stock in 2017. 





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