Author: Investment Income for Life

I am looking forward to Finance Minister Heng Swee Keat’s announcement of the 2019 Singapore Budget on 18th Feb 2019 after the Lunar New Year. It was also recently announced that the registers of electors will be opened for public inspection this month. A lot of people have been speculating that the next General Election may be held in 2019 itself even though it is only due on 15 January 2021.  Maybe there will be Ang Pows given to all Citizens during the budget announcement this...

The Land Transport Authority (“LTA”) recently announced the 1st Phase launch of the Cross Island Line. 12 stations will be constructed initially. Soon after the news release by LTA, I got a few messages from property agent informing me that at least 15 units of Affinity at Serangoon were sold following the news. The Affinity at Serangoon was priced at an average of S$1,575psf. It turns out that the condo is just 350 meters away from the new Serangoon North Cross Island Line MRT station. The agent told me not to miss out and buy one as soon as...

I am looking forward to February 2019. Well, not just because of the Lunar New Year but also because I am anticipating the release of the full year results of Fu Corp for FYQ4 2018 and its entire year financial performance towards the end of February 2019. I have previously written on Fu Yu Corp being a dividend superhero. It virtually holds no bank borrowings on its statement of financial position and dishes out approximately 8% dividend yield. The revenue and net profit attributable to shareholders for the last 2 quarters have been shooting up. I have always wondered...

Since my monthly earning is limited, I sometimes ponder over the question of whether I have been spending too much money sustaining insurance premiums from all the policies that I have purchased for myself as well as for the entire family. I like insurance which is the transfer of risk to insurer for protection. However, insurance and the protection can only bring benefit once certain conditions are triggered which means the unfortunate event already happened. The money does make life easier for the family but it does not buy you any additional happiness at that juncture. Health supplements are also...

There is an old saying that gets repeated like a broken old record that healthcare-related stocks are defensive in nature and are recession proof. This is mainly because of (i) the aging population which leads to more demand for medical services or medical drugs as well as (ii) inelastic demand as in if one falls sick, one will still need to visit a doctor for treatment regardless of whether the state of the economy is good or in the doldrums. I think that the above beliefs are mere fallacies.  I have always subscribed to the belief that what the eyes...

Singapore Medical Group (“SMG”) share prices has fallen by a whopping 44.1% from its peak of S$0.715 on 17 July 2017 to only S$0.400 as at 8 January 2019. This is despite Q3 2018 YTD revenue growth of 27.8% and net profit after tax growth of 66.7% relative to FY2017 Q3 YTD. What is even more astonishing is that the share price has languished albeit the explosive growth of revenue and net profit attributable to shareholders over the past 3 years. Taking into account the previous rights issue at S$0.48 on 4 July 2018, investors who bought in at...

As I have mentioned previously, I am having a strangely familiar vibe similar to the one before the 2008 Global Financial Crisis with the frequent dead cat bounce at the stock market. Investors and consumers sentiment in the economic situation can change very fast and lead to drying up of economic activities with the blink of an eye. Other worrying signs such as low oil prices and narrowing of the 2 year US Treasuries bond yield against long-term 10 year US Treasuries bond yield (indicating the formation of the infamous “Inverse Yield” curve) signs have appeared. Once we entered into...

Everyone in Singapore would have heard of the food heaven at Jalan Kayu which is home to the famous Thasevi roti prata. A branch of Blanco Prawn Noodle House is also located there and full of queuing customers. Have you guys heard of the famous Beach Road Prawn Noodle? Blanco and Beach Road Prawn Noodles are actually restaurants that are set up by the same Lee family (please read the history here by Dr Leslie Tay-Ï Eat I Shoot I Post”). The prawn noodle at Jalan Kayu is really superb and is a must try for all foodie! Ok, back...

Many shareholders of SPH REIT have lamented over the lack of M&A for expansion. Ever since its maiden IPO, SPH REIT only had Paragon and The Clementi Mall in its portfolio. During the last AGM held on November 30, 2018, the question of why only a tiny strip of Mall, namely, The Rail Mall was acquired during the current financial year was raised. The answers given as per below screenshot on the usual rhetoric response that the asset acquired must be good quality, well located with a minimum 6% yield similar to the existing 2 malls. You can imagine the disappointment...

Jui Residences is a freehold development that sits on the former National Aerated Water Company site. I used to study in a school at Geylang Bahru and as I walked to the bus stop home along Serangoon Road, it became a daily ritual to always do a stopover at National Aerated Plant and buy Kickapoo from a vending machine near its main gate. It dispensed Kickapoo cheaply at a mere 10 cents per cup and was very popular with a lot of school kids then. As a result, this development held very fond memories for me.   Strangely, the show flat...