Recently there have been several articles on the “Permanent Portfolio”. Not to be outdone, I’ll write about my own “Lazy Man Portfolio”. There is no need for complicated mathematical formulas, spending hours on charting and various tools or gouging your eyes out on reports and numbers.

Warning: this is not for the faint-hearted. If you are not ready for it, do not read the rest of the section.

 

 


 

 

 

In case you are wondering what kind of strategy this is, it is NOT. I’m just using this term to describe my own very boring portfolio. Opps, I hope I did not dash your hopes. I already put a warning didn’t I?

A breakdown of my Lazy Man Portfolio

First REIT
My longest and best performing stock. AK71 blog about this frequently and that is where I get the information I need. A big thank you to him.

Hong Leong Finance
Was my worst performing stock until recently where the dividends help to defray the loss. Nothing to shout about. I’m expecting it to do badly this year due to a curb on car loans and increase cost for SMEs. No intention to sell and will diligently collect my dividends for many moons.

Ascendas India Trust
Held since IPO. Currently my worst performing stock. Even after so many years of dividends, I have yet to break even. I will hold onto it for now since the market is still generally bullish but it will be the first to go as soon as I smell Mr. Bear coming.

Sabana REIT
I believe it’s still the only Muslim REIT and doing pretty well.

CapMallA3.8%b220112
Its bonds. Again nothing much to rant about. Collect dividends and forget.

IHH Healthcare Berhad
Khazanah, the investment holding arm of the Government of Malaysia is a major shareholder. Enough said.

Mapletree Greater China Commercial Trust
My most recent addition. Bought this due to strong interest – my visitor count was a good gauge. Coupled with the persistent low interest rates, tightening of car loans and property, there will be an increase in the number of cash rich people wanting to put their money somewhere.


As you can see my humble portfolio consists of mainly dividend stocks. In terms of returns, it is damn pathetic. I remembered the last time I calculated XIRR, it was just a little higher than the bank’s interest rate. No thanks to the mistakes I made in the past and also because I have not been buying heavily into stocks since 2010. I bought a few IPOs since then and they have all done well, but the majority of my funds are held as cash.

I feel the market is over priced. There are definitely some hidden gems but it will take some effort to dig them out. My strategy is simple. Build up my war chest and buy stalwart stocks during a recession. When the recession will come I don’t know yet. Will I have the guts to buy in? I also don’t know. And at what price? It’s anybody guess.

PS: I’m buying shares under my company employee stock option scheme. It is not reflected in my CDP and I find it difficult to calculate P&L. Do you guys add that into your overall portfolio?