Author: Compounding Wealth Through Sensible Investing

6 Things I Learned from Jumbo Group AGM

*Disclaimer: I own Jumbo shares. This is not a buy or sell call. The next company in my AGM series is Jumbo Group – the restaurant chain synonymous with chili crab. My favourite is still Black Pepper Crab. But Chili Crab is not bad too.. What about you? As usual, AGM started with CEO Mr Ang Kiam Meng giving a presentation on business overview, expansion developments and upcoming plans, followed by CFO presenting on company’s figures. Presentation slides can be found here. AGM Held in Grand Ballroom of Chui Huay Lim Club.   From Left: CFO, CEO Mr Ang,...

Read More

AGM Series – Frasers Centrepoint Trust FY17

FCT is a long term holding in my core portfolio and I have written quite a few articles about it. See here, here, here and here. Despite following its performance for long, I still learned new things about the Reit after attending its AGM yesterday. In this article, I share some key takeaways and candid opinions expressed by Dr Chew Tuan Chiong, the CEO of FCT. FY 17 DPU Increased Despite Northpoint City AEI The AGM started with Dr Chew presenting the FY17 results. He commented that the Reit achieved a record high 11.90c Distribution Per Unit (DPU), despite...

Read More

What Type of Returns You Want in Shares Investing

The aim of investing in shares market is to earn money. Lest we end up over-simplifying the investing process, this seemingly straightforward response can actually be broken down further, to better guide your investment strategies, approach, and perhaps type of shares suitable for your investment goal. There are 3 types/levels of returns we should aim for in this investing journey. Do spend some time to think about what we hope to get out of investing, and be clear about which objectives we are after. To beat inflation Someone with conservative risk appetite could be contented with low but stable...

Read More

Re-Examine Your Understanding of PE Ratio

PE ratio is arguably the most commonly used financial metric in share investment. But many investors may not truly grasp the idea of PE and how can it be applied to shares investing. In this article, I try to explain PE ratio using simple language, and highlight how it can be used in your daily investing decisions. PE Ratio – The Concept Imagine this. You have a sum on hand, and is prepared to acquire a food stall in the neighbourhood as an investment. As you approach the business owner, what would be your first question to ask? Surely,...

Read More

A-Point-In-Time vs Over Time

A-point-in-time or over-time?? A short post. Investment is a long journey of building wealth. It takes time and effort to understand businesses strength and future growth prospects. I heard an interesting comment from an industry heavy-weight recently, on investors’ mindset of a-point-in-time vs over time. His words were insightful and I try to share it here, with some of my thoughts. People often focus on issues or problems on hand. These are matters confronting them at the current moment. These are issues at a point in time. And we usually get swamped by these issues, and out mind zoom...

Read More

2017 Year End Stock Take

*shares quoted in this article are for education and learning purposes only. It does not constitute a buy or sell call   How was your 2017? Did it go according to your plan? How many ticked check boxes do you have on resolution list done up this time last year? Here are my year end records and musing.  Overall Returns Investment wise, 2017 is a year to remember as I had the best returns so far. My Time Weighted return for 2017 is 26.5%, including dividends. Individual Stocks – Positives These shares had good un-realised profits in 2017 plus...

Read More

5 Steps to Manage Risk in Shares Investing (Especially beginners!)

In share investing we always talk about managing risk, which may sound rather abstract. The objective of managing investment risk is to minimise the possibility of your portfolio running into huge, irreversible loss. If one’s overall portfolio is down by 50% on paper, his funds would be stuck for an extended period and not able to invest somewhere else profitably. The opportunity cost is immense. Worst case would be an investor who can’t stand the drop and sell out, his previous good returns earned during market rise (like now) would have been emptied. Besides financial loss, it would deal...

Read More

Case Study – Frasers Ctrpt Trust Investment Returns

Changi City Point My experience with Frasers Centrepoint Trust (FCT) since 2013 has been a fruitful one. It may be timely now to review what is the actual return. For an investment with cash dividends at different dates, plus my several purchases, IRR is a suitable measurement  as it takes into account actual out and inflow of cash. FCT Share Price Performance since May 2013 In this period, FCT’s highest price was around $2.35 in May 2013. It dropped 30% to around $1.65 in early 2014, due to initial news on Fed’s tapering of QE. Subsequently, it had major...

Read More

M1 or Starhub??

M1 and Starhub are household names with close to 50% of Singaporeans being their customers. They are also popular stocks among investors. But we know that the telco sector has seen a bit of shake-up recently, with new players emerging – Circles.Life and TPG. Are M1 and Starhub still good investments? I studied their latest 3Q earnings to find out more. 3Q Earnings Snapshot Figures obtained from M1 and Starhub Q3 FY17 Earnings Results M1 managed to eke out a small increase in revenue and EBITDA in 3Q over 2016, with both numbers rising by 1% and 1.3% each....

Read More

3 Steps to Start Wealth Management

A financial month of a working adult would typically look something like this: receive salary in bank account go around daily necessary expenses eg. food, transport, loan payments have discretionary spending eg movies, shopping, travelling etc.  keep the remaining amount in a bank saving/deposits product wait for next salary While such approach is a logical one and easiest to embark on, it is not ideal for someone striving towards a secure financial future and comfortable retirement. One needs to take a holistic look at his entire wealth plan and start taking suitable actions. It is essentially allocating our money...

Read More

Thoughts on Managing One’s Cashflow

In my course of work I come across many people who understand the importance of investing, intend to invest, but are taken aback by the capital required to start. Indeed, one needs a sum of money to start investing, to earn meaningful returns and diversify their portfolio. But it need not be an insanely large amount, and there are plans and products to lower the entry barrier for beginners, such as regular savings plan and Exchange Traded Fund. I share my experience of how I accumulate an amount by properly managing my salary, channeling them to the different bank...

Read More

Is This Stock Delicious Enough for Your Investment?

I recently got interested in Jumbo Group mainly due to its falling share price. I visited Jumbo Seafood Restaurant and JPot during festive season and family birthday celebrations. The food quality is good and ambience is friendly. Coincidentally, a relative’s wedding lunch was held in Chui Huay Lim Teachew restaurant, and I found the food really tasty. Operations overview Jumbo Group is a multi-concept F&B company with 16 restaurants in Singapore, 3 outlets in Shanghai, and 3 other joint venture/franchised outlets in Singapore, Japan and Vietnam, under 5 restaurant brands. It serves more than 1.6 tonnes of crab per...

Read More

Manage Cash Holdings in Portfolio

I read yesterday’s Straits Times article ‘The best investors sit on plenty of cash’ with interest. What are the roles of cash in your investment holdings? Intuitively, cash gives you options during extreme market conditions. It means one can buy at depressed market price to average down, to build a position in a promising counter. In essence cash presents opportunity to reduce your losses, or increase your earnings when market recovers. Cash also serves as an anchor to your portfolio as its value is constant. It is a valuable tool from a trade execution stand point as described above....

Read More

Is Tai Sin’s FY17 Results a Cause for Concern?

Tai Sin Electric has been one of my long-term shareholdings since 2012/2013. Lets take a look at its latest Financial Year results that has just been released not long ago. Overall P&L Tai Sin has not had a great year in FY17. The total revenue, gross profit and operating profit have decreased as seen in table above. As a cable and wire manufacturer, it is important to monitor copper price as it is the main raw materials for cable production. Tai Sin showed ability to navigate a rising copper price in last year by maintaining a constant gross profit...

Read More

Raffles Medical Q2 FY17

Raffles Medical (RM) just announced its Q2 2017 results.   Results Overview At first glance, RM’s Revenue, Ops Income and Net Income for Q2 remained constant or showed marginal fall over Q1 respectively: 1%, -1.9%, -2.3%.   Its Net Cashflow from Ops of $23.6m is similar to the $23.8m in Q1.   Balance sheet remains strong, with $112m cash and only $53m loans and borrowings.   All in all, results seem fine.   But its share price is a different story. It dropped about 5% to $1.21 on 1 Aug, one day after its result release, and fell further...

Read More

Like us on Facebook

Follow us on Twitter