Sunday, August 4, 2019

Added: HongKong Land USD

Bought 10,000 shares of HongKong Land on 1st Aug at USD6.10

Reasons for buying HongKong Land:
1) PB of only 0.37
I am paying just 37 cents to buy $1 worth of asset

2) Growing NAV
2014: USD11.75
2015: USD12.24
2016: USD13.34
2017: USD15.66
2018: USD16.43
2019: USD16.50

HongKong Land is growing bigger and bigger every year.
NAV will continue to be higher given good amount of new development in the pipeline.

3) Low single digit vacancy % + Higher average net rent
Hong Kong Office
Hong Kong Retail

Singapore Office

4) Stable Half yearly dividend payout
Although the dividend is not high like REIT, but it is very stable.
I willl categorize this as a Growth stock rather than a Dividend stock.

Founded in 1889, HongKong Land had went through Black Monday in 1987, Asian Financial Crisis in 1997 and Global Financial Crisis in 2008. In the unfortunate event that my buy price is the peak of the upcoming stock market crash, I am not much of a worry because HongKong Land own those hard real asset properties. Thus, it will be a matter of time that the share prices will bounce back up since it is not cause by their fundamental. 

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