Tag Archives: short

Create Wealth Through Long-Term Investing And Short-Term Trading

My concerns at the moment is the USD/SGD exchange rate (which affects the dividends) and if the day comes when business-as-usual (BAU) is no longer BAU. On a macro level, too, the markets feel unstable, flying up one day with relief over the Fannie and Freddie rescue and then plummeting the next over broader concerns about the health of financial firms. Now these days every market seems to be booming and feel good factor is back. If you goal is to become a stock trader and make your own stock market decisions, set up a savings plan to put aside some money each month. And the credit industry these days, unfortunately, is all-too-willing to let you make a promise that will be impossible for you to keep. Unfortunately, I, and many others, have a habit of ignoring this and getting in trouble. My preference is to have a large number of stocks in my portfolio to reduce reliance on any particular stock or group of stocks for dividend income.

And since there are now a fixed number of carbon reduction projects available in the world then the demand will quickly outstrip the supply leading to higher prices. That is how we consistently implement the same investment process, find good stocks, at a very cheap price, wait for them to grow and see the return compound to some astronomical number. 2017 had been a good year and I took some profits off the table. This saves businesses money and maximizes profits. Again, the only tax effect comes from money you move into and out of the account. Imagine my horror when the sample examination paper for one of my modules tested something that is seemingly out of the syllabus. Generally, weekends are predesignated for studying and I have completed the first run-through of the entire textbook for one of my modules within 2 months from course commencement. Multiply this by two (since I am taking two modules) and time is sorely lacking.

It might look to be a good time to add to consumer staples if the decline in the sector continues. Moving forward, I intend to add on other counters such that the role of AIMSAMP REIT and Singtel becomes more diminished in my portfolio. I went around looking for a plan that has an option to add a Critical Illness rider and I came across the MINDEF and MHA Group Term Life plan (with a CI rider option) by Aviva. I have requested for a quote from Aviva and this is still pending. Yes, an investor as skilled as Buffett will probably have a better approximation of intrinsic value than most, but it is still an approximation nonetheless. As we are on the topic of my investment style, I have signed up for the investment newsletter by US blogger Dividend Growth Investor. Some of these growth stories have been stunning with stocks tripling or more despite junk debt and lack of economic growth. I intend to continue what I am doing, which is to predominantly invest for dividends and dividend growth.

While dividends come in handy as a ‘cushion’ to effectively lower losses when stock prices fall, dividend yields are lower when blue chips are bought at higher prices. The term life portion has a fixed premium while the CI rider premium escalates with age. While you are done looking over this, personal time management shouldn’t be challenging for you to get into. The sales team is good at conversations but not at data entry and in this work they will be assisted by the digital assistant that can record information at any time. I started my passive portfolio in 2013 and added a more spicy version of it in 2015. You can refer to The Passive Portfolio and The Anti-Fragile Portfolios for more information. Hence, most of my portfolio losses were realized in the early part of 2018. Had I not done so, my returns for year 2018 would be much more redder.

Strangely, I am very satisfied with my returns despite having negative returns for both my SGD and USD-denominated portfolio in year 2018. The market has been red and my portfolios were not spared. In light of the market turmoil, I will focus more on large-cap stocks which have the staying power to survive an economic downturn. As I type this post, I am reminded of what I have told myself before. After you determined best type of property to maximize your return, begin searching for your investment. When I look back at my multi-year performance, I think I am doing alright in my investment journey. If you are looking for a quick return from your investment then many financial advisors will advise against the emerging market. In the case of GM, it might be market trends that people couldn’t see or refused to see. It helps people get back to, as boring as it is, the fact that diversification works. Identify the right company to invest in, which will get you enough payback to meet your long term financial goals.