Hi all, welcome back to another update. Sorry, I couldnt give an update for February. Got caught up with work.

Lets head straight to the update !!! This is my portfolio summary:-

Source: From Cimb- itrade account. Gains and losses were update by myself. (The figures in purple are my “free” shares)

Summarized Analysis

  1. The capital for this portfolio remains at RM 300,000 (RM 250k in 2020).
  2. Dividend target for the year is RM 15,000.
  3. The latest portfolio value is RM 281,392 (RM 335,964- RM 54,572). The unrealized loss is RM 18,608 (RM 300,000-RM 281,392).
  4. For the record, the portfolio was at an unrealised gain of RM 26,430 as at 31st January 2021.
  5. In other words, the portfolio has moved backwards in terms of value. This was mainly due to the continuous crash in prices of Supermax and Topglove, my top 2 holdings in the portfolio. In fact, supermax is currently at an unrealized loss RM 54,302, and this is a major drag to my portfolio.
  6. Sentiment for glove is extremely negative. I have yet to make a decision on what to do, I will continue monitoring the price movement for the remainder of the year before deciding whether to hold, average down or cut loss. I need more visibility before making a decision.
  7. Since the portfolio is on a reverse gear, my progress towards the RM 1 million portfolio by 2030 is at 28%, it was 32% in January.
  8. For new readers, my goal is to hit RM 1 million in portfolio value by Dec 31st 2030 at a dividend yield of 6%, i.e RM 60,000 dividends per year.
  9. Portfolio growth will be achieved through adding on my own capital from active income, reinvesting my dividends and any organic growth in in portfolio value is a sweet bonus to have.
  10. Cash balance is RM 716, which means I am fully invested in this portfolio.
  11. There are “free” shares (3 companies) in my portfolio, and they are Hupseng, Kip reit, and Attrium reit. Free shares are those that I invested using realized capital gains and dividends collected previously.
  12. I have not invested this year’s dividend yet. I will be looking to add more “free” shares in 2021. (Hoping for at least 2 more)
  13. I did not buy or sell any shares for the last 2 months.

Dividend highlights

  1. Dividends collected amount to RM 4,999.60. This is a 33.3% progress towards my RM 15,000 goal (2021) and offers a slight consolation to the huge reduction in my portfolio value.
  2. In the month of February and March, I received some good dividends from Atrium reit, Kip Reit, LPI capital, Supermax and Zhulian. Please refer to the table above for more information.
  3. As at March, all three free shares of mine, Kip reit, Hupseng and Atrium have given me my first compounded dividends.
  4. I am expecting more dividends in the month of April. Expecting 14 cents per share from Formosa Prosonic, 25.2 cents per share from Top glove, 5 cents per share from Jaycorp, and another 2 cents per share from Hup Seng.
  5. April is going to be an interesting month for dividends. Should be achieving more than 50% progress towards my dividend goal for 2021.

Concluding thoughts

In this section, I would like to share my experience on how I am managing my emotions in the midst of sudden downturn in my portfolio. For the record, I have another private portfolio with heavy exposure to Top glove and Supermax as well. So kinda moved slightly backward in terms of my networth.

While I still believe in the glove fundamentals for the long term, it will be a lie if I dont admit to being anxious, seeing the huge drop in prices. I have learned a lesson not to over expose to single sector in the future. Nevertherless, I will find a way to come out of this.

Here, I share how I am managing my emotions. Hope its beneficial.

  • I revisited my emergency fund holdings. Thankfully, I have built a emergency fund that will last me for 36 mths (3 years). These funds includes my parent’s expenses my own expenses, and my debt obligations (2 cars and a small condo)
  • I still have my job in place, as a lecturer and freelance consultant, and so my active income, to a certain extent is secured.
  • I didn’t invest in a penny stock with poor fundamentals, gloves still have their fundamentals, so there is no need for me to immediately cut loss, although my experts claim share prices of glove companies going to remain depressed for a long time.
  • My other investments portfolios are still doing fine. I have unit trusts funds with exposures to china, us and the rest of the world, and they are doing reasonably fine. I have also invested in Tesla which has since doubled in value in the current year.
  • My dividend collection from this portfolio is a nice source of consolation, in fact top glove and super max are expected to declare and pay more dividends in the coming quarters. Waiting to see how much will be paid.

My philosophy to manage my emotions during a downturn or when anything bad happens to me is to be grateful for what I have and look at the future with renewed optimism, while figuring out a way to navigate my way out of a difficult situation.

So, my my lists above is still keeping me grounded and has reduced my anxiety to a certain extent. I will take all this as lessons learned and will incorporate everything in my future investment decisions.

Thank you for reading and see you in the April update.

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