SOLD: ComfortDelGro & ADDED: Digital Core Reit

 

Sold 16,000 shares of ComfortDelGro at $1.17 on 21 Mar.

Total loss including dividend is $5373.30 (-21.5%)

Reason for selling: 

1) Share price remain weak

 I am disappointed with CDG share price especially when the price post COVID is lower than pre COVID.

Even with special dividend declared, the share price still remain sideway. 

2) Weak Fundamental 

Given the current Bus Contracting Model (BCM), I am expecting SBS Transit to further losing market share + lower margin. 

The number of taxis on the roads are decreasing too.

Final dividend for FY22 is 16% lower than FY21 (1.76 cents vs 2.10 cents)

Inflation, rising wages, increasing interest rate and lower margin doesn't look good with CDG too.

Added 32,000 shares of Digital Core REIT on 21 Mar at US$0.43

Reason for buying:

1) Bad tenant news punished the share price

Digital Core Reit manager did response to the news here.

Cyxtera Technologies “represents approximately US$16 million of annualised rent or 22.6% of Digital Core REIT’s total annualised rent” (Link)

22.6% rent is huge impact in the worst case scenario. But given the demand for data centre, I do believe that Digital Core shouldn't have any issue finding new tenants to take up these space.

https://sginvestors.io/analysts/research/2023/03/digital-core-reit-uob-kay-hian-research-2023-03-20

Based on previous Sungard bankruptcy:

https://sginvestors.io/analysts/research/2023/02/digital-core-reit-uob-kay-hian-research-2023-02-06

2) 52w low

IPO was priced at USD88 cents and it went to USD1.13 (52w high).

USD43cents is 51% lower than IPO price and 62% lower than 52w high.

I will term USD43cents as buying a fair company at wonderful price (Warren Buffet prefer buying Wonderful company at fair price).

 

3) Good USD exchange rate at this moment

4) Sponsor seem good 

During Sungard bankruptcy incident, Sponsor step in to provide cash flow support.

Acquisition of 2 data centres was provided with 2 options. Given the market situation, a more favour options was selected.

5) Shares buyback

Digital Core Reit did 11 millions of shares buyback at average USD0.585 recently.

(NEW) Digital Core Reit started another phase of share buyback on 27 & 28 Mar.

6) Improving market rents

7) No loan expiring until 2025 + 75% fixed interest rate

Related post:

1) SOLD: AIMS APAC REIT & ADDED: Lendlease REIT

2) Added: ComfortDelGro (Oct 2021)

3) Added: Keppel DC Reit

4) Keppel DC REIT AGM 2022

5) Added: Mapletree Industrial Trust

6) Mapletree Industrial Trust (MIT) AGM 2022

SOLD: AIMS APAC REIT & ADDED: Lendlease REIT

 

Sold 12,500 shares of AIMS APAC REIT at average $1.30368 on 13 Mar.

Total profit including dividend is $1385.90 (9.13%)

Reason for selling: 

1) Small drop in share price 

Most of the other REIT shares price dropped by bigger % compare to AIMS APAC REIT. Thus, make it attractive to swap out this small drop % to other REITs which have bigger drop in %.

Added another 29,000 shares of Lendlease REIT on 15 Mar at $0.675.

Total holding increased to 74,000 shares.

Reason for buying:

1) Same reasons as Jan 2023

Related post:

1) Added: Lendlease REIT (Jan 2023)

2) Added: AIMS APAC REIT (Dec 2022)

CPF milestone: Happy 65th Birthday (How much $$$ you will be getting)

 

My father is celebrating his 65th Birthday this year.

CPF is the first to wish him "Happy 65th Birthday in advance!" via snail mail letter.

In the letter, he was provided with 2 options regard to CPF LIFE

Option 1: To use our online "Plan my monthly payouts" service

Option 2: To book a 1-to-1 CRPS consultation session with us

 

The letter is simple and straight forward to understand (There is no * found in the letter. LOL) 

We go with Option 1 and you can complete the 5 steps in less than 15mins.

The website is graphical user interface which provided you with super clear and detail illustration on the varies options you can consider.

My father is lucky to have met FRS amount.

Step 1: Start of defer payouts

For CPF standard plan, he can receive an estimated monthly payouts of $1,230 for as long as he is breathing.

If you would like to defer payout to later age, you can slide the slider and it will show the estimated amount with your chosen age

Step 2: Payout detail

If you have extra amount in your OA/SA, you can use it to increase your monthly payout too.

You have 3 options to choose from:  "Use the full amount available" / "Use a partial amount" / "I do not want to use CPF savings to increase my payouts".

Else, you can keep it in CPF to continue earn interest and withdraw the amount as and when you require it.

I just capture only the monthly payout if you transfer $10k, $20k and $30k as example to CPF LIFE.

Transfer $10k

Transfer $20k

Transfer $30k

I wont continue into Step 3 to 5 as it is pretty much straight forward and more into personal detail.

You are done with your CPF LIFE payout choice :)

• Some additional info which I go to play around with the CPF Life payout calculator on the 3 different CPF LIFE plan

• If you change your mind on the CPF LIFE plan you selected at age 55, you can change it here before you submit the payout at age 65.  

Related post:

1) Done for 2021 CPF Retirement Sum Topping-up (RSTU). How about you?

2) You have less than 24 days to lock in 62yo as your withdrawal age for SRS account

3) CPF MRSS: dollar for dollar matching up till $3,000

4) Transferred $20,000 from CPF OA to SA for Oct 2020

5) 33 financial tips for my 33rd Birthday

Added: CICT (Mar 2023)

 

Added 14,000 shares of CapitaLand Integrated Commercial Trust (CICT) at $1.88 on 2 Mar 2023.

Reason for buying:

1) PB 0.91

2) 5.6% dividend

I know 5.6% dividend yield doesn't seem high in current high interest rate era. But given CapitaLand branding, it might be challenging for share price to drop further by large margin to achieve higher dividend yield as that would mean that the PB will have to drop further. I view PB and dividend yield as a see-saw relationship which I think is quite balance out at this moment.

3) Almost pure play SG

4) 81% loan on fixed interest rate and at average 2.7% loan interest rate

5) Retail sector looking bright (Recovering)

Once tenants sales recover, positive tenants rent reversion will follow automatically. I am betting big on Retail sector as you will notice that in my portfolio, I have Frasers Centrepoint Trust + Lendlease REIT too.

Related post:

1) Added: Frasers Centrepoint Trust (Nov 2022)

2) Added: Lendlease REIT (Jan 2023)

3) SOLD: CapitaMall Trust (CMT) - Killed my golden goose

4) Added: Capitaland Mall Trust