My income from S-REITs in 1Q 2016 received an enormous boost from Saizen REIT's distribution which was partially a return of capital. I said I had mixed feelings about the matter and, actually, it has created another issue for me.
Cash as a part of my portfolio is now quite large.
Is this a problem?
Of course, keeping some excess money in savings accounts and fixed deposits is always a good idea. These are our war chests.
However, too much cash (earning too little) and we won't be able to keep up with inflation which is one reason why we invest for income. We want to beat inflation or, at least, keep up with it. We don't want to see our wealth eroding.
To be quite honest, I am in no hurry to re-invest all the distribution received from Saizen REIT in 1Q 2016.
Approximately, I received 8 years worth of "dividends" (in the guise of capital gain) at one go. So, I have quite a bit of ......