Sold Thakral and Saizen

After giving some thought, I decided to sell off my holdings in Thakral and Saizen.  I bought these together with Lippo Malls Indonesia Retail Trust back in November 2012.  You can see that posting I did here.

These are my entry prices and exit prices for the 3 stocks:

1.  Saizen (Entry=S$0.173; Exit = S$0.191)
2. Thakral Corp (Entry=S$0.03; Exist = S$0.035)
3. LMIR (Entry = $0.475; Exit = S$0.525)

There is really nothing to boast about my entry and exit prices.  I am not a good market timer but generally, when the stock market goes up, almost every single stock goes up.  So there is really nothing spectacular about my returns.  

I know some of my previous posts about Thakral and Saizen might have been misleading as I was actually still thinking of loading up some more stocks yesterday and had written the posts earlier but scheduled it to be posted much later.  However, after re-assessing my overall portfolio, I decided to liquidate more of my shareholdings so as to buffer up my cash position.

If you read my posting about "Bull Market or Prepare for Bear" as well as watched the video on Jeffrey Gundlach's market outlook, you will probably understand my rationale for selling.  As they say, "Cash is King".

Saizen REIT - Dividends Declared But What Lies Ahead

So Saizen REIT has declared a half yearly distribution of 0.66 cents.  Based on its share price of 19 cents, it gives a pretty good yield of close to 7%.  Yes, this is a pretty high yield compared to other REITs listed on the Singapore stock exchange.  You probably can't find yields like those in the US stock market too unless they are mortgage REITs.

Anyway, if you read one of my previous posts, you should know that Saizen is on my watchlist.  (Okay, it is actually already in my stock portfolio but I am watching it to see if I should buy more).

Found this good video on Saizen.  Any investor who wants to invest in Saizen should watch this video first as it gives a good overview of Saizen and its business and also explains why it probably trades at a discount to its net asset value.  Here Mark Laudi interviews Raymond Wong (Executive Director at Saizen REIT).  He asks him some tough questions that any investor should be asking.

Let me know what you all think about Saizen REIT..

3 Stocks on My Watchlist

With the STI trading near 15 Price-Earnings ratio, one really has to be nimble and keep a lookout for good quality stocks that are undervalued.  And that is a difficult task given that many of the stocks are already trading at their 52 week highs.  Nevertheless, here are 3 stocks that are currently on my watchlist.

1.  Saizen REIT (Listed on Singapore Stock Exchange)

Saizen REIT has been slowly rising.  It just declared a healthy half-yearly distribution of 0.66 Singapore cents which makes its yield slightly below 7%.  Of course, there is the currency risk of the Japanese Yen being further devalued with the current Government's stance to make their exports more competitive.  Nevertheless, I have vested interest in this stock. Saizen last closed at S$0.19.




2.  Global Premium Hotels (Listed on Singapore Stock Exchange)

Global Premium Hotels just had its initial public offering at S$0.26.  The stock price has been fluctuating below its IPO price for the past few weeks but has recently risen above its IPO price.  Certain analysts have a price target of S$0.30 for this stock. They expect the Fragrance hotels to continue to do well given its market share and experience in the business.  Of course, billionaire Koh Wee Meng has been buying his own shares too, showing that he is confident in the company.  I am not currently vested in this stock.

3.  Nam Cheong (Listed on Singapore Stock Exchange)

I have bought into Nam Cheong at 26 Singapore cents.  My gut feel is that Nam Cheong is poised to break out.  But I could of course be wrong given my very bad sense of market timing.  Have taken a small position in this stock and well sell it once the price is right.  Nam Cheong's business is doing well.  They sold 21 ships in the year 2012 and have just issued equity to continue to expand their business.

Investments and Dividends for November

Made quite a few investments this month.  Bought into a few stocks/REITs:

• 50,000 shares of Thakral
• 10,000 shares of LMIR
• 20,000 shares of Saizen

Dividends/passive income for November was quite okay.  Roughly $250.  Most of it were contributed by Gamco Global Gold and Natural Trust (GGN) and Armour Residential REIT (ARR). ARR is a mortgage REIT.  Both stock prices hve declined quite a fair bit but I will like to think that my strategy is one where I will diversify a bit into other stocks rather than focusing on just these two stocks.

I also bought some shares of the Coca Cola Company (KO).