Wednesday 28 September 2022

Keppel DC REIT Unit Price Dropping Like Flies- 43% Decline From S$3 Per Unit To S$1.70 Per Unit.

For loyal retail investors of Keppel DC REIT ("KDC") who have been holding on to their purchases between S$2-S$3 per unit, the recent week's bloodbath on SGX have seen the once seemingly invincible data centre focused REIT to plunge to a record 52 weeks low of S$1.70 per unit which represented a 43% decline in unit price. KDC went through the COVID crisis with stellar unit price performance but nonetheless, it could not escape the tragic fate of relentless borrowing rate hikes by the US Federal Reserve which is causing chaos worldwide and its unit price plummeted to push up the extremely low distribution yield of 4% plus to over 5%. The long WALE of KDC turned into its Achilles heel as it appears that it is unable to revise rental rates fast enough to keep up with the hawkish monetary policy adopted by Jerome Powell. KDC trademark of frequent yield accretive M&A deals have also disappeared recently which affected its valuation. Will KDC continue its dramatic decline to test the S$1.50 per unit mark soon and should retail investors abandon ship as soon as possible to save themselves from drowning? 

1. Terminal Rate For Federal Reserve Funds
Before the recent CPI report, the consensus from most economists is that they expect the borrowing rate to be at approximately 3.8% in 2023. However, with Jerome Powell hawkish stance "to hammer and beat the hell out of inflation until it is absolutely dead", Economists now expect the terminal rate to be 4.5% or even 5% (depending on which economists you are asking). So if KDC is offering only a mere distribution yield similar to expected borrowing rates, its price will definitely need to correct till a more acceptable level in order for investors to have a decent margin for the risk premium of holding on to it.

2. Imminent Global Recession
To make things worse, on top of the higher than expected borrowing rates hike as alluded to the above mentioned, an imminent recession (the stock market is normally 6 mths ahead in it grim prediction) will slow down business activities or even caused many businesses to enter bankruptcy hence some tenants of KDC maybe badly affected. What happened to DigiCore REIT is a good reminder to all that data centres are not immune to delinquent tenants. We are already seeing many job retrenchments in the Tech industry like Shopee in Singapore. Worldwide we are also seeing downsizing at Coinbase, Peloton, Netflix and Paypal. Tesla, Google and Meta. It is only a matter of time before the gloomy climate spread to other industries.

3. Will I Sell Now Or Continue To Hold On To My KDC?
To sell or hold on to KDC during this bear market will depend on your own outlook and assessment.  I will be giving my personal action on KDC here: 

The key question to me here is what is the current distribution yield of KDC. The current KDC distribution yield indicated by StocksCafe is only 4.92%. However, if we looked at the recent 1st half distribution of 5.049 cents from SGX or its official website and extrapolate it, we actually have an annualised distribution yield of  5.94% already based on the unit price of S$1.70 per unit.   
The next question of course is to compare this to the expected borrowing rates which influences interest rate and opportunity cost and compared it to your own expected risk premium of holding on to this business. 

For me, I am actually neutral with regard to whether I should sell KDC immediately or keep it. Nevertheless, I have made a decision to sell off 10,000 units @S$1.75 per unit yesterday as I have found another badly battered SREIT that is currently priced at a very attractive entry price hence have done some switching today. For the rest of my KDC units in my CDP and Margin Account portfolios, I will be keeping them for the long term. I think that there is a lot of panic selling going on right now on KDC which has a day low today of S$1.66 per unit before rebounding to close at S$1.70 per unit as at 28 September 2022.

Parting thoughts
From the long history of the monetary policies used by the Federal Reserve, they have either failed to do enough on inflation and let it went out of hand or over-do borrowing rates adjustment to cause severe recession from their meddling. Personally, I think that the US Federal Reserve this round had overdid the interest rate hikes and had in fact sent the US economy along with the rest of the world into a global recession and potential assets deflationary pressures. The US currency as the world's reserve currency sucks pretty big time to me. The rest of the world is now getting punished with the reckless printing of money by the Feds during the pandemic.

Sunday 25 September 2022

Personal Updates- Retrenchment and Loss Of Job.

While my company is still profitable, my overseas Headoffice has strangely thrown down the axes to retrench some of our staff fronting the Singapore office. The Group Chief Financial officer (the "CFO") has also made a threat to me over our MS Teams meeting that if they do not see as much profits as prior year after this first batch, they will rain down more flying axes on us. I was extremely disappointed as unfortunately, I did not get the axe in this initial phase. As a matter of fact, I was very jealous of my colleagues in the operations team who got it. A golden handshake package pegged to market practice was given out to individual staff affected. What a good opportunity to get "special bonus" and then quickly look for another replacement job. 

Despite the recent stock markets crash due to the imminent recession, there are still plenty of job opportunities out there- I have lost 75% of the staff on my finance and accounting team due to the vibrant job market (there are grave shortages of accountants I was told as new undergraduates are all studying Information Technology and looking forward to joining the Tech industry and no one is interested to do sucky and time consuming accounting work anymore). But of course, for those age 40 and above, finding a new job may take some extra time. The upcoming business slow down should not be as bad as the total economy freeze during COVID lockdowns and this crisis is mainly triggered from the relentless interest rate hike by the US Federal Reserve to tame run-away inflation.  

The upcoming month will be a busy one for me as there are many farewell parties of colleagues to attend to- I am looking forward to drinks session to celebrate. The only thing that is of concern to remaining staff is that my CFO mentioned wanting to do pay cut. Since the COVID pandemic, many bad management practices have been adopted by weird senior management. I have told my CFO and other bosses that this is the first time that I heard of cutting pay when the company is still profitable and I am not even sure whether this is acceptable employment practices by the Ministry of Manpower. During past 2 years of COVID, the company generated tremendous profits from supply chain activities but implemented staff pay cut and stop bonuses in the name of conserving money for working capital due to "future uncertainties". Anyway, please do not learn from the way I spoken bluntly back against the overseas bosses- one may really lose his/her job in the process as Asian bosses do not like staff who talked back at them.  

Saturday 17 September 2022

Tragic Price Crash of Mapletree Industrial Trust From S$2.93 Per Unit to S$2.56 Per Unit- Time To Exit One's Holdings in MIT?

Mapletree Industrial Trust ("MIT") has been battered down over the past 1 year. Its market price has dropped from S$2.93 per unit to a low trough of S$2.40 per unit in May 2022 which is a plunge of <18.1%> from a year ago. Its current market closing price of S$2.56 per unit as at 16 September 2022 probably gave scant comfort to retail investors who have bought into MIT during the past 2 years. Is it time to sell one's MIT in view of the ongoing relentless interest rate hikes by the US Federal Reserve that is pushing the entire global economies into a deep recession?
1. Fear mongering by "experts" and Media on REITs in trouble due to interest rate hike
First and foremost, the one thing that I really cannot stand is that I have been hearing a number of folks around me or online shouting out loud that interest rate hikes will lead to higher costs of borrowings hence now is not the time to be holding on to REITs. Hello? Many commercial businesses (and not just SREITs) borrow money to run their business. So a higher borrowing costs will hit not just REITs but most of all other businesses. 

In addition, many properties in REITs being leased out have inflationary linked rental component. Even if not, upon lease renewal in an inflationary environment, REITs similar to other commercial businesses, has the right to ask for uprates in rental income which is different from debentures nature financial instrument. ESR-ARA Logos REIT and Mapletree Logistics Trust have "service rate" component in their overall rental package that is not tied down to the duration of the lease but allows the landlord to increase the service rates at their discretion in order to cover for common properties maintenance. Recently, I have seen some of the logistics REIT exercising such right in their warehouse tenancy agreements to push up the service rate component by over 17% this year. 

So, please stop thinking that REITs are similar to bonds- both are entirely different creatures altogether.

Past 1 year market price of MIT trending downward

2. Recession fears increasing by the day and risk to MIT
Recession rather than higher borrowing rates due to interest rate hikes (as alluded to pt 1 above) should be more worrisome. Just recently, FedEx Corp sounded a profit warning due to a record plunge in package deliveries. If transport aren't moving, it signaled that the economy isn't moving much too and gave rise to an indication that the stock market will tank further should the macroeconomics situation worsen. 
The risk of tenants of MIT going into bankruptcy and default should there be a severe recession is not unfounded. However, given the focus of MIT into high tech industrial sectors and also data centres, my personal belief (based on the experience of COVID-19 lockdown) is that the earnings of MIT are sufficiently resilient. 54.3% of MIT's asset under management are coming from Data Centres and 16.3% are into Hi-Tech Buildings segments.

Parting thoughts
For myself, I look at my MIT holdings in my investment portfolios (bought using cash and margin) with a long term horizon and is not perturbed by the wild swinging market movements. I am certainly very much amused by the so many experts or gurus that can predict the stock markets ups and downs and are advocating for selling down one's equity portfolio due to upcoming "recession" headwinds. Personally, my own experience is that staying almost fully invested allows one to take part in any possible corporate actions such and M&A rights issue or takeover from other companies. Most importantly, what if the stock market suddenly rallied? One would have missed such golden opportunity if one is too fixated on timing the market.

P.S: Just to sidetrack and to share my personal story regarding my CPF investments (this is not included in my published investment portfolios), I just sold off my CPF Ordinary Account investments of MIT (10,300 units held over 1.5yrs) @$2.62 per unit last Monday (12 September 2022) as I wanted to re-invest the funds into the S&P500 for greater returns in the longer run. But in a strange twist of fate, MIT's unit price suddenly dropped to S$2.54 per unit on Friday (16 September 2022) and I can't resist but buy back 10,000 units at this more favourable entry price. Yes, I strongly believe that MIT has a bright future ahead based on the well-executed strategic moves by the Mapletree senior management thus far.

Wednesday 14 September 2022

Singapore Medical Group-Directors Made Low Ball General Offer For Privatisation At Only 37 Cents Per Share.

The privatisation offer for Singapore Medical Group ("SMG") finally materialised after a few years of waiting. Unfortunately, the offer price of S$0.37 per share was only a 19% premium to the average price of S$0.310 over the past 3 years.  This is a very sad exit outcome for all retail investors as SMG has dropped from S$0.490 mid-2019 and languished ever since then. If based on median PE of different medical groups, the PE is around 20 times plus which worked out to a fair value of S$0.516 per share instead of the pathetic S$0.37 per share being proposed by the Offeror. This is no doubt a very low ball offer by the Offeror, TLW Success Pte Ltd, to buyout existing shareholders. For longer term focused investors, there is an alternative offer of 1 for 1 share in the new investment holding Company being offered in lieu of cash consideration. However, liquidity and lack of regulator direct supervision will be key issues for those who opted for taking up the new share option in TLW in lieu of cash, as upon SMG being privatised, it will be delisted from the SGX.
1. Offeror background- Shareholders are current Chairman/Directors of SMG
Shareholders of the private consortium

Directors of  the current "Company"- SMG
As seen from above, the new company is formed by the existing SMG Non-Executive Chairman, CEO and another Executive Directors. Those bigger shareholders like the Korean Medical Group CHA and Silver Mines Global Limited have undertaken to take up the new shares consideration instead of cash electives with a long term focused view.

2. Rationale for the offer per Dr Beng Teck Liang (Executive Director and CEO) and his offeror TLW.
(a) Uncertainty in the short to medium term
SMG faces significant headwinds compromising a challenging marco-economic and operating environment driven by operational cost increases and shortage of skilled healthcare labour.

(b) Subdued historical share price performance
The Offeror is of the view that the historical price performance of the Shares has generally been relatively subdued despite the Company having consistently demonstrated a strong track record of profitability and operational execution. This includes delivering record levels of revenue and profitability for FY2021 and continued organic expansion through the opening of new clinics and by growing the number of specialist doctors within the Company. Accordingly, this has constrained the Company’s ability to utilise its Shares effectively for acquisitions or fund raising.

(c) Opportunity to realise investment in SMG at an attractive price and substantial premium
The Cash Price represents a premium of approximately 18.1%, 18.8%, 16.0% and 18.0% over the volume weighted average price ("VWAP") per Share for the one (1)-month, three (3)-month, six (6)-month and 12-month periods respectively, up to and including 8 September 2022, being the last full Market Day.

Parting thoughts
I am rather disappointed by the rationale given by TLW and the director of SMG. In 2019, Dr Beng himself and some other directors sold off a number of their shares to the Korean medical group CHA at a record price of S$0.605 per share that is not available to other shareholders. But currently, when they buy out existing shareholders, they only offer S$0.37 per share despite the growth of the revenue from S$22.9Mil in FY2013 to S$100.8Mil for FY2021 which is an impressive growth rate of 20% per annum over the past 8 years.

Personally, as a retail investor, I would not want to take up the risk of the alternative option of new shares in the Offeror's company as their management to me has a terrible track record of putting their own interest first rather than all shareholders no matter how well they sugar-coat this whole exercise. This will also subject oneself to their mercy where there are many possibilities on how they can play investors out after delisting. Will be closing off my current holdings (please see my recent investment portfolio updates) in SMG and bidding farewell to them. 

I am also sure that this is not the last time we see or hear from the soon to be ex-SMG management. They will probably re-package the business and then launch an IPO in another 3-5 years time at 2 to 3 times their cost of this buy-out. Good luck also to Dr Beng, Dr Wong and Mr Tony who seems to be ok with their reputation going down the drain with the low ball offer.     

Sunday 11 September 2022

Singapore Medical Group Requested For Trading Halt- Privatization Or Rights Issue For Expansion?

On 9th September 2022 (Friday after trading hours), Singapore Medical Group ("SMG") requested for an immediate trading halt while awaiting an important news release to be announced by its CEO, Dr Beng Teck Liang. I have been wondering how come the share price of SMG suddenly came back to life and surged to S$0.325 per share as at 9th September 2022 when it has been trading with little volume at the range of S$0.305 per share to S$0.310 per share. In fact, it has been stuck at S$0.310 since August 2019. As usual, I reckon that information about the upcoming major change seems to have been leaked out to friends and relatives similar to what I have seen from other listed entities just right before their major business decision announcement. 

1. Upcoming major M&A or Privatisation?
I am intrigued by what will be announced by Dr Beng Teck Liang in the coming week. It could be a new M&A opportunity that perhaps need rights issue for funding or even better, it could be a privatisation exercise given that the PE ratio of SMG is way below the industry average relative to other medical groups. 

In order to unlock the undervalued business of SingMedical Group (“SMG”) which I mentioned briefly in my post on 8 July 2019, I have suggested the possible option of privatization using the example of Thomson Medical Centre which had previously been acquired by the local business tycoon Peter Lim before doing a “future relisting” on the SGX 6 years later.

2. Poor history of corporate action to close up the gap of market price to intrinsic valuation for all shareholders.
Previously, there was an exercise whereby the senior management was in talk with 3rd parties with regard to the purchase of SMG shares. However, it fell through. 

There was also a sales of shares by existing directors to the Korean Medical Group CHA at S$0.605 per share in February 2019. However, this was not extended to other shareholders. 

In short, the current management team has a poor track record of unlocking the intrinsic valuation of SMG for all shareholders. Let's hope the coming announcement will lead to a substantial increase in its share price. 

Parting thoughts
Given the poor track record of corporate action execution, I am not too optimistic for now until I gain greater clarity of what SMG intends to do. In the meantime, its dividend yield of approximately 4% to shareholders is comforting while waiting for the tree to bear fruits. 

Updates on 14 September 2022 (pls click on link below for the details of privatisation being announced:

Saturday 10 September 2022

Frasers Property Offers S$420Mil Fixed Rate Bond At 4.49% Interest Rate- 3 Reasons Why I Am Staying Far Away From The Retail Tranche.

Frasers Property is offering S$420Mil worth of 5 year green notes with a seemingly attractive coupon rate of 4.49% per annum for investors. Out of these, S$300Mil are being offered to retail investors while the remaining will be offered to institutional investors- this is indeed a rare instance whereby we see a fund raiser reserving up to 70% of the exercise for retail investors like us. If there is oversubscription, the total offer size maybe increased to up to S$650Mil. Noteholders will receive semi-annual interest payout on 16th March and 16th September per annum from 2023 onwards. While the interest rate of 4.49% appeared to be one of the highest we have seen so far, I think that it will be  risky for investors looking into buying these debts for investment. I don't mean to rain on the parade of enthusiastic fans of Frasers Group, but personally, I think it is suicidal to be holding on to debenture instrument in this particular economic climate which I should further elaborate below:

1. US Federal Reserve expected to hike borrowing rates by 0.75% in late September 22 meeting.
Folks, don't forget, we are still in the midst of fighting inflation at this critical juncture. With the hawkish tone still being adopted by Jerome Powell, the majority of investors all believe that the upcoming interest rate hike will be between 0.5% to 0.75%. There are also more series of hikes coming to ensure the inflation monster is being contained. Singapore will not be an exception to interest rate hikes. By subscribing to this tranche of debentures, one will be locked up with 4.49% for 5 whole years (in case you are thinking that one can always liquidate the bonds in the secondary market at any time, please see pt 2).

There is a substantial risk that future tranches of Singapore Saving Bonds, Singapore Government bonds or other debentures from private companies will have similar or higher interest rates.

I thought that Frasers Property should be offering this debenture issuance at a higher 5% interest rates to compensate adequately for mid-term risk premium over risk free bonds, in order to cater for the upcoming interest rate hikes.

2. Capital loss during early selling off on secondary market 
As alluded to pt 1 above, the price of this particular debenture issuance looks very likely to drop immediately in the face of an inflationary environment and ever increasing borrowing rates that is required by investors. Economics theory 101 states that the price of a bond is inversely related to the market interest rates, that is, when the cost of borrowing money rises in the market, bond prices will fall. 

A high inflationary global environment, like the current climate, is one of the worst time to be subscribing for fixed rate debentures as one will be locked in for 5 whole years. Any resales of the dentures (in the secondary market) will most likely mean that the bondholders faces an immediate capital losses in valuation. 

3. Risk of bankruptcy ever present despite being held by renowned shareholder.
Frasers Property group is controlled by Thai billionaire Charoen Sirivadhanabhakdi. I think that the overall Thai group's financials has weaken after the COVID pandemic with the share price in bad shape. Even related companies like Thai Beverage is trying to raise funds through an internal beer business unit IPO spin off (which it had cancelled once again due to unfavorable economic climate). My preference is to stick with Temasek linked instruments if one die die want to invest in corporate bonds. Look at SIA, it managed to magically survive the COVID downturn with the might of Temasek bull-dozing through the re-capitalization exercise during crunch time.

Parting thoughts
I will be staying far away from this issuance by Frasers Property. I personally think that the fixed rate on offer of 4.49% fixed rate being put up for 5 long years smacks of shortchanging retail investors. If it had been a higher fixed rate on offer or having certain component tied to a variable rate that is linked to inflation, I will probably then be more willing to participate in its issuance. 

Tuesday 6 September 2022

Income Focused Investing Strategy Is Akin To Stock Picking And Risky- Stick with S&P500 Instead for Average of 10%+ Annual Return.

Many Singaporean investors love SGX listed companies for their relatively higher dividend yield compared to other stock markets. However, this is just stock picking or worst still, a form of gambling. Look at those long term income investors who were holding on to Singapore Press Holdings and Sembcorp Marine- these investments ended up in disaster and tears for many of them. Most people do not do well picking individual stocks. There is just not enough diversification for retail investors to do stock picking themselves unless one buys 50 over stocks in one's portfolio basket. Buying index-fund such as S&P 500 is a safer bet and superior in returns as compared to adopting the so called income-focused investment strategy to grow your wealth. S&P 500 will never be zero in valuation given its components being made up of 500 great US companies unlike individual stock picking which can lead to total loss of your investment capital. 

Well, the above were actually summarised points that I gathered from a local You-Tube investment channel. I have great respect for the man and subscribed to his channel. In spite of that, I only agree with 50% of the points being made. The main contention which I have is that the income focused investing is vastly different from a capital growth focused approach. It is like trying to compare apples and oranges. Let me elaborate a few points on the main differences.

1.  It is a fallacy to assume that one can always sell the S&P500 at an optimum price whenever one needs cash hence this is nothing similar to the income focused approach.
I hope I can simplify this to try to articulate out the essence of what I am trying to express here. Basically, the dividends focused strategy allows one to have access to consistent cash distribution from the business which is more related to business fundamentals rather than the vagaries of market pricing like the S&P500. The stock market is a weighing machine in the long run no doubt but during short-term period, it can lead to grave mispricing depending on market sentiment of the day. For example, the S&P500 dropped more than 20% this year while income distribution this year from SGX banks and REITs held steady if not increased more. So if one sold off some units in his/her S&P500 to raise much needed cash at this juncture, he/she automatically gets a 20% cut in "distribution".  Also, who the hell knows when is the best time during the year to time the market to sell off his/her S&P 500 units?

(Note: The only times so far that I encountered a massive breakdown in the income thesis is during the 2008 global financial crisis and the recent COVID-19 lock down. For the latter instance, Hospitality REITs and retail REITs were severely affected. But industrial REITs were relatively still holding up well albeit some decrease in distributions which were being held as reserve for working capital.) 

2. Some people need regular cash distribution for retirement, critical illnesses or when one is facing retrenchment- disposing S&P 500 units to raise such cash is not ideal.
It is easier and more convenient to get cash distributions automatically rather than having to manually trigger off the process to sell part off one's S&P500 units frequently. Again, I have to point out that the needs of every individuals are different from one another. The "forced distribution" from income focused approach is thus more practical for myself personally. It also allows oneself to choose what to do with the money from the dividends such as keeping it for future investment during market crashes, re-investing it into other stocks, re-investing it into same stock, paying off living expenses, repaying margin loan, or repaying housing mortgages etc. 

3. Most income focused investors practise diversification of their investments.
The S&P500 is praised widely for its vast diversification into 500 great US companies. While such level of diversification typically can never be achieved by retail investors on an individual basis, the big question is why would anyone need to have 500 US companies in one's portfolio just for safety? Let there be no mistake that even with a basket of 500 stocks in S&P500, it is still an index fund that is equity in nature and does not guarantee 100% capital protection at any juncture when one choose to exit this index investment.

For many income focused investors, holding on to 15-20 or even more companies already ensures sufficient diversification to recover from total bankruptcy or forced liquidation of some of their individual investment. 

Personally, I do not think that the S&P500 ticks every investor's checklist for their own needs. I also do not think that it is comparable between an income focused strategy and capital growth focused approach. It is like the Lord Of the Rings whereby the S&P500 became the One Ring to rule all. Saying that, I have personally invested part of my CPF Ordinary funds (S$25K in different tranches) into the S&P 500 when it was hovering in the 3700-3900 range after the recent US stock market crash of 20%. I will also be adding cash into the S&P 500 as part of my capital growth investing. However, the bulk of my portfolio is still geared towards the income investing strategy which had worked well for me over the years. 

Saturday 3 September 2022

Investment Portfolios Updates- S$613k (2 Sep'22)-Added Additional Alibaba, Capitaland China Trust and Fu Yu Corp.

With the US Federal Reserve still combating inflation, global stock markets remain in doldrum with the ever increasing borrowing rates. The "Big Short legend" Michael Burry holds the view that the S&P 500 will crash below 2,000 points (50% plus decline) but of course, he has been predicting a major crash since 2019. Recent rallies are nothing but fake bear market rallies according to this group of pessimistic investors. Other investors held the contrarian view that the stock market will rebound soon in another 2-3months once inflation is under control and whereby US Federal Reserve start to reverse monetary policy to fight global recession after keeping severe inflation in check. Commodity prices, oil prices and lower employment rate seem to suggest that the red-hot global economies are gradually slowing down. 

1. Portfolio 1- Stocks held in SGX Central Depository 
(Note: This portfolio is designed to provide immediate dividends for use (if required) as it is under my own CDP account and the dividends credited goes directly to my bank account.)
I sold off some of my Ascendas REIT in early July 22 and purchased DigiCore REIT ("DC REIT") which I held on for 1 month. In view of the sudden August 2022 surge in DC REIT market prices which resulted in the extremely low distribution yield of less than 5% for DC REIT as well as the issue of major tenant facing bankruptcy, I have exited all my positions in DC REIT at US$0.865 per unit and took an immediate profit of US$2,440 (S$3,318). 16% realized return within a month is equivalent to waiting on capital deployed for 3 years to get the equivalent income distributions. I have since re-deployed the sales proceed back to United Hampshire US REIT and Ascendas REIT. 

2. Portfolio 2- Margin purchased securities
(Note: My margin purchased securities has grown to a sufficient scale to sustain itself and also to repay annual financing charges as well as to gradually pay down the margin loan through dividends generated.) 
The slight change made here was the additional investments into 5,000 units of Capitaland China Trust at average price of S$1.11 per unit in late August 2022. 

US Office REITs in my holdings continue to perform badly. Manulife US REIT held the worst performance REIT in my entire portfolio with losses of <19.35%>. The fortunate thing is that the high distribution yield of the 3 US office REITs helped to reduce the overall unrealised capital losses. 

Overall, for my margin portfolio, the dividends received since 1 Jan 2021 outweigh my slight unrealised capital losses by +S$40,059. The income focus investment approach is still holding up well despite the economic storm that has been raging relentlessly for the past 3 years.

3. Portfolio 3 (with Tiger Brokers)- Venture into higher risk as well as capital growth stocks here
Major change here is the disposal of all my Dasin Retail Trust due to the heighten probability of the Trust defaulting on its existing bank loans which it has been struggling to renew. Latest red flags is the huge loss of S$56.4Mil for 1st half of 2022 as well as the declaration that no distribution will be paid out to conserve working capital. Please see "Dasin Retail Trust And Investors In Trouble- Loss of S$56.4 Mil for 1st Half of 2022 And No Distribution Being Paid Out Red Flag".  

I have also added additional investments into Alibaba (800 shares), Fu Yu Corp, SingMedical as well as Lion-OCBC Sec HSTECH.

I have unpaid S$21K of dividends upcoming for this month of September 2022. Most likely will be using the bulk of it to pay down on my margin loan in view of the stock market turbulence as well as the higher financing cost these days.