"This is getting embarrassing."

Some readers might find this shirt which I have just washed and put out to dry familiar:

If you are one of those readers, you must have been following my blog since 2011! (See related post at the end of this blog.)

Back then, I blogged about the t-shirt and how it was at least 26 years old.

By now, it is 33 years old.






I wore the shirt out recently when I bumped into someone I had not seen in years.

We chatted a bit and I could tell that he kept looking at my shirt.

Finally, he said something which surprised me:

"I really cannot hold it back anymore but that shirt is so old and it looks old too."

He said something else.






He was pretty diplomatic but it was obvious that he thought it was embarrassing.

To be fair, he was not the first person to say something like that about the shirt.

The shirt has turned yellowish in places and its collar is out of shape.






OK, actually, if I were to be totally impartial (or brutally honest), the shirt looks like a sack that has seen better days.

I think it is time I give the shirt away to the rag and bone man.

Some might say I should have done it years ago but the shirt is so comfortable.






This reminds me of why Warren Buffett got a new car.

He got a new car because his daughter told him:

"This is getting embarrassing — time for a new car!"






Some of us are not very good with things like that and we should listen to people who are better at these things.

Live and learn, I guess.

Related posts:
1. Evolution: "lobster taller than small girl , ak's t shirt older than evo!"
2. Ak says good bye to another old friend.

Sound approach to investing for income?

Reader says...

I am a Singaporean student who is interested in building up a dividend portfolio.

I like to seek your advise whether it is viable to reinvest dividends into shares of the same counter, as the commission seems too expensive to do so.





Is there any way which companies can give out share in place of dividends?

Will this be a sound approach to building a dividend portfolio?






AK says...

If we are investing for income, we want our investments to be able to pay dividends in cash. 

Sometimes, companies might ask if shareholders would like to receive their dividends in cash or scrip (which means new shares)?

If there is an opportunity for arbitrage, then, for the income investor, taking the dividends in scrip might make sense.






And I mentioned it before:

"Many S-REITs have DRPs (or DRIPs), Distribution Re-investment Plan. Some readers asked me if I would take part in these plans.

"My answer is that I invest in S-REITs for income. So, I would usually take the cash distributions unless there is a chance to benefit from arbitrage which happened once before for AIMS AMP Capital Industrial REIT and some might remember that I blogged about it."

For those who are interested in this:
http://singaporeanstocksinvestor.blogspot.sg/2013/05/aims-amp-capital-industrial-reit.html






Always question how is the company generating cash and ask if the dividend being paid is sustainable.

Otherwise, we could be investing for growth or it might be a value trap or it could even be a scam (or maybe I am just talking nonsense here).





As you are new to my blog, you want to read this blog:

http://singaporeanstocksinvestor.blogspot.sg/2015/10/invest-for-income-and-ignore-two-ms.html

If we would like to invest the dividends we receive from our investments, there is no hurry to do so unless Mr. Market is in a big depression.

If we don't need the money, save the money.

Build up our war chest.

And pounce when opportunity knocks.





I know that patience is sometimes the hardest thing. 

I know because I am human too.

http://singaporeanstocksinvestor.blogspot.sg/2013/02/little-book-of-value-investing.html

Related post:
Sit with all that cash and do nothing?