Saturday, September 27, 2008

Dividends Recieved from Pac Andes

Received a total of $765.90 of dividends from holding Pac Andes last week.

Will be looking to invest this money to boost my passive income stocks portfolio.

The following are the stocks which I can choose to buy from to increase my passive income:
1. MacArthur Cook PSF
2. SingFood
3. First REIT
4. Ascott REIT
5. K1 Ventures

Which one should I buy? With $765.90, it does not provide me with a lot of options.

Thursday, September 25, 2008

Should I Quit My Job

Been working for more than 3 years already.

Have been thinking about tendering my resignation later due to little job satisfaction even though the job pays well.

Am I financially stable enough to quit my job?
Will I be able to find a better job?
How long will it take me to find a job that I really like?
Will the economy (and job market) get worse?
Should I sell my car to decrease my monthly expenditure?

My adsense earnings have not been good enough for me to consider blogging as a full time career. I am still not sure how bloggers like Xiaxue manage to draw so much traffic to their blogs. Until now, I have still not achieved my target of earning more than $2 in a single day. But I will keep pressing on..

Will I ever earn enough passive income to be totally financially free?

Only time will tell...

Saturday, September 20, 2008

Investments in this Bear Market

I increased my position in Hongguo today. Bought a total of 20 lots at $0.22. Will be transferring money from my Maybank savings account to pay for this so my passive income from Maybank might be lowered to below $10 per month.

Also received $141.10 as dividends from Kingboard shares.

NOL which i bought a few days back at $1.91 is now at $2.30. I might cash it in if it reaches $3.00 instead of waiting for the yearly dividends.

Will be looking for more opportunities to invest in other areas with all my spare cash and also dividends that I receive.

I intend to build up my stock portfolio in this bear market and ignore all noises that will make me trade irrationally.

My updated portfolio for passive income is as such:

1. 12,000 x Ascott REITs (DPU = 4.52 per half) = $90.40 per month
2. 16,000 x First REITs (DPU = 1.91 per qtr) = $101.87 per month
3. 1000 x Suntec REITs (DPU = 2.79 qtr) = $9.30 per month
4. 1000 x NOL (estimate 8 cents per year*) = $6.66 per month
5. Maybank iSavvy Deposit = $10 per month

Total avg monthly passive income = $218.23

My updated portfolio for capital gains is as such:

1. 30,000 x Kingboard
2. 24,000 x Hongguo
3. 37,000 x Pac Andes
4. 15,000 x Innotek
5. 7,000 x China Aviation Oil
6. 11,000 x Unifood

Friday, September 12, 2008

Passive Income Update

Bought NOL and Ascott REIT today @ 1.91 and 0.775.

NOL was bought as a means to diversify my REIT heavy portfolio.

My updated portfolio for passive income is as such:

1. 12,000 x Ascott REITs (DPU = 4.52 per half) = $90.40 per month
2. 16,000 x First REITs (DPU = 1.91 per qtr) = $101.87 per month
3. 1000 x Suntec REITs (DPU = 2.79 qtr) = $9.30 per month
4. 1000 x NOL (estimate 8 cents per year*) = $6.66 per month
5. Maybank iSavvy Deposit = $13 per month

Total monthly passive income = $221.23

*Note: NOL has a dividend policy of 8 cents per share net or 20% of net profit whichever is higher. I have taken the more conservative approach of just using 8 cents per year per share.

Tuesday, September 9, 2008

Adsense increasing my Monthly passive income

Recently, I have been exploring using Adsense to earn some extra "passive" income. "Passive" because earning money from blogs is not exactly passive. Work has to be done to drive traffic to your blogs etc..

Anyway, looking at my daily adsense earnings, I should be able to add adsense as another source of my passive income soon. But perhaps I will not be too quick to count it in just yet. I will give it another 3 months and if it is able to give me a stable monthly earnings, then I might consider including it into my current monthly passive income.

Sunday, September 7, 2008

Networth for Sep 08

Updated my networth amidst the stock market bloodbath last week.

Networth is currently $449,443. The consolation is that I have increased my monthly passive income. Think I will not focus too much on my networth but rather work at increasing my monthly passive income. Too often, a wrong focus will cause me to make investment decisions that are not too wise..

Discovered this cool website that helps to me to track my networth. You can follow it at the button which shows my networth at the bottom right of my site (scroll down pls).

Saturday, September 6, 2008

The Need to Diversify From REITs

This entry is actually a reminder to myself to diversify away from REITs. True, REITs do give a much higher yield than most dividend yielding stocks... but still I feel this innate need to diversify away from REITs to some blue-chip stocks so as to not place all my "passive income" eggs into one basket (REITs listed in the Singapore Stock Exchange).

Alternative Source of Income #1: Blue Chips or Dividend Yielding Stocks

I have been looking at blue chips in the Singapore Stock Market though I am not closed to the idea of investing into other markets too.

Stocks that I am looking for are ideally those with boring businesses that can tide through any economic crisis as well as a history of good dividends. This is to avoid buying into companies that are not able to pay out dividends regularly. The key is to buy companies instead of buying companies for the sake of their dividends alone. This will help me diversify my sources of income to attain my financial freedom goal of $2800 per month by 2022.

Alternative Source of Income #2: Adsense

Another stream of passive income that I have been looking into is Adsense. However, I realised that this has been very difficult and certainly not "passive" as I have to put in extra hours after work to improve upon my blogs, create new postings,etc. Still, it provides me with an alternative source of income. After becoming more active in blogging, I have also seen my daily adsense earnings rise steadily. To see my daily adsense earnings, click here. I just started recording it and it is definitely nothing spectacular. The amount I earn a day is not even enough to buy coffee. But what this record shows is that it is possible for one to earn money from Google's Adsense.

In the month of Sep 08, I will work at increasing my passive income from this 2 alternative sources of income since I have already attained my passive income goal of $200 per month for this year.

Thursday, September 4, 2008

Financial Freedom Goal (Half Month Review)

In my first post in this blog, I articulated my Financial Freedom Goal by the year 2022 of earning $2800 per month in passive income. As it stands now, I am currently at $207 per month passive income. Half a month after articulating my plan of increasing my monthly passive income by $200 each year to $2800 per month by the year 2022, I can safely say that I am on my way to achieving my financial freedom goal.

So often, one reads about the need to achieve financial freedom through multiple sources of passive income. Very often, what people often forget or neglect is to have a plan to make this work.

This was the very purpose of this blog. It was to remind me of this goal and to lay out a plan that would help me achieve this goal.

Too often, I had found my investing habits to be sort of haphazard.

When I first started out working 3 years back, I wanted to invest in blue chip stocks that would provide me with a steady stream of income. Looking back after 3 years, I had not acquired a single blue chip or dividend yielding stock. Instead, my greed for quick gains has resulted in me holding a portfolio of stocks that have neither given me a steady stream of income or any quick capital gains to speak of.

That was when I decided that enough was enough. It was time to write a financial plan that will make sure all my investment and financial decisions are aligned to this plan.

The difference between 3 years back and now is that I have articulated a clear plan and will review this plan before making any financial decision.

Since the penning down of this financial plan, I have managed to increase my passive income by close to $16 per month. Of course this is nothing great to boast about but it definitely beats all the procrastination that I have been doing for the past few years that I have been working.

On top of that, I have also become much clearer about my monthly expenditure and am trying to find ways to reduce it.

I hope to be able to share my journey with others once I attain my Financial Freedom Goal 2022.

In my next post, I will explore the various streams of income that I hope to attain by the year 2022. Do bookmark this blog and return soon

Tuesday, September 2, 2008

Updated Passive Income 2008 (2 Sep)

1. 11,000 x Ascott REITs (DPU = 4.52 per half) = $82.87 per month
2. 16,000 x First REITs (DPU = 1.91 per qtr) = $101.87 per month
3. 1000 x Suntec REITs (DPU = 2.79 qtr) = $9.30 per month
4. Maybank iSavvy Deposit = $13 per month

Total passive income per month now stands at = $207.04

The amount listed of course is dependent on the distribution of the various REITs for the future quarters. This might increase or decrease. As such, I am trying to diversify my holdings as far as possible. That is why I bought Suntec REITs which I believe should be able to steadily increase its distribution.

Increasing My Passive Income Through REITs

REITs listed in the Singapore Stock Exchange provide a steady and stable source of passive income that suits my needs and goal of achieving financial freedom by 2022.

I have queued to purchase 1 lot of Suntec REITs and 1 lot of First REITs today. If purchased, it should drive my passive income up to around $200 per month thus hitting my goal for passive income that I have set this year.

Monday, September 1, 2008

Car Monthly Expenditure

Owning a car is truly an expensive thing. No wonder they call it a liability rather than an asset.

The amount of monthly expenditures that I am paying for my car amounts to over $1000 monthly. This includes petrol, installments, road tax, parking and insurance.

Buying a car was definitely one of the worst financial decisions in my life and has truly slowed down my aim to achieve financial freedom.

For those who have yet to purchased a car, remember this:

" A Car is A LIABILITY!"

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