I have received some requests from users to post my portfolio and here it is! I thought it would be good to summarize my stock portfolio holdings on a monthly basis. While I don’t think it is a portfolio for everyone to emulate since everybody has got their own financial positions, it is a good guide for those interested in building safe, growing Passive Income Portfolio.

My portfolio as a whole generates an estimated 6.5-7% dividend yield annually. The current basket of stocks include some higher dividend payers like Starhub and Singpost and also dividend growers such as Singtel and SMRT. It is designed to beat inflation easily and provide some growth as well. The portfolio is also resilient and performed quite well against the STI in the recent stock market turmoil.

For this first time, I will also list out a short summary of the stocks I invested in.

img_august2011portfolio

Real Estate Investment Trusts (REITS)

Industrial

Ascendas – Strong sponsor, largest industrial REIT. It also has a decent dividend yield of approximately 6%

Cache – Logisitcs REIT with high yield, but also long lease terms, so growth may be slower but stable

Cambridge – Independent REIT, high yields of about 8%, just a diversifier for the high yields, it should not be a significant part of the portfolio

Mapletree Industrial – Strong sponsor, good assets

Mapletree Logistics – Strong sponsor, long lease terms similar to Cache

 

Retail

CapitalMall Trust – Largest S-REIT with well run malls, strong management team, includes some of the best shopping malls in Singapore i.e. Tampines, Bugis, Bishan, Funan

Fraser Centerpoint Trust – Good REIT with suburban malls, more resilient in downturn as suburban traffic is stable. Malls include Causeway Point, North Point

Mapletree Commercial – Hybrid of Retail and office assets, main asset being Vivocity. Most bullish REIT with significant DPU upside as rentals are below average for the location

Starhill – A bit of a gamble with Wisma Atria assets, Starhill Gallery in KL and Japan malls. Just included it for some exposure to Asian shopping malls ex Singapore




Hospitality

Ascott REIT – I like the exposure to quality hotels and residences around the world, good proxy for tourism boom globally. Currently also valued below NAV and decent yields of approx 7%

 

Healthcare

Parkway Life REIT – Ultra defensive REIT with healthcare assets like Gleneagles, Pantai Hospital in Singapore, Malaysia and more. Guaranteed rental increases, can’t get better than that. However, likely to remain at higher valuations, should buy on stock market weakness.

First REIT – Similar to Parkway Life, yields are higher at about 8%, focus on Indonesia and Singapore healthcare assets. Also very defensive, buy on weakness.

 

Telecommunications

Singtel – Globally diversified, large cash position and cash flow. Stable dividends and like to give out bonus dividends every now and then.

Starhub – High dividend yield at 7%, Starhub is a huge cash cow. However, dividend growth seems unlikely in the short term.

 

Infrastructure

SMRT – Monopoly in NS, EW MRT lines, stable earnings from transport fares and rental. Highly defensive and good dividend growth prospects, *management aims to provide growing dividends*

Keppel Green – Little known trust focused on green assets like incinerators and wastewater. Stable revenue streams, high dividends at above 8%.  Currently no leverage, can easily acquire new assets to boost dividends. Good stock to acquire for long term.

SingPost -Another huge cash cow like Starhub, stable dividend yields above 6%, but dividends have remained the same for a few years.

 

Media

Singapore Press Holdings (SPH) – Huge conglomerate with monopoly on media assets such as newspaper, magazines. However, industry is stagnating and move into real estate management such as Paragon and Clementi Malls yet to pan out. Remains to see if SPH can retain its status as “Grandfather” stock.

 

There it is!

Feel free to post if you have any questions and/or comments!