A couple of blog posts on selling winning investments.

Reader:

"Hi AK,

just curious about your strategy on handling rises in a share price. E.g if you had bought StarHub/ sph/ accordia etc for income, at what level would you consider it worthwhile to sell? Thanks!"

Assi AK

You might want to read this: http://singaporeanstocksinvestor.blogspot.sg/2013/08/when-to-buy-hold-or-sell-part-1.html

When to BUY, HOLD or SELL? (Part 1) | A Singaporean Stocks Investor (ASSI)

Assi AK

and this: http://singaporeanstocksinvestor.blogspot.sg/2015/05/should-i-sell-my-investment-to-lock-in.html

Should I sell my investment to lock in gains? A perspective. | A Singaporean Stocks Investor (ASSI)

"If we are investing for income, if the investment is still doing the job we expect it to do, generating attractive income for us, then, there is really no reason to sell unless we feel that there is another investment out there that can do a better job." - AK

Cutting or holding Marco Polo Marine?

Dear AK

Good day to you!

MPM has been on serious "diarrhoea" mode for a long time.  Friends have advised that I should cut-loss and forget about this counter.

I would appreciate it if you could talk to yourself on MPM.

Thank you.

Regards

AK says:
"MPM has survived previous down cycles before. I am hopeful that they will survive this time too.

"The elder Lee now holds 62% of MPM's stocks. He wouldn't want MPM to go under.

"I am holding on to my investment, understanding that, for a while now and for a while more, this position is rather speculative."

Related post:
Marco Polo Marine: Termination of rig contract.

Which types of stocks and REITs to invest in?

Good morning AK,

How are you today?  Hope you are doing well =)

Firstly- THANK YOU for sharing the post on CPF interest accrual on funds used for housing! I was wondering why my accrued interest portion kept growing- almost S$6K per year! I am considering some voluntary refund on principal amount to reduce the funds owing to CPF.

I have a new query to get your views- do you plan specifically which categories of stocks and reits to invest in?

As you may recall- I am trying to re-balance my portfolio to release some stocks at the right time and buy some new ones- aim is to increase my income yield from 4% to slightly higher. Look forward to any thoughts that you have...

L

Hi L,

Glad to know you found the blog post useful. Yup. People are usually very surprised when they find out how much they are losing by using their CPF money to fund the purchase of their homes.

Doing voluntary refund since you can afford to will help you to build wealth in a meaningful and risk free manner.

I do not tell myself I must have so many % in stocks and so many % in REITs although I have been trying to build up my non-REIT portfolio due to future interest rates risk.

I invest when offers make sense to me.

When it comes to investing for income, in today's environment, if I can get 8% or higher from well run REITs and business trusts, that's not bad.

For stocks, if it is cash rich, a 3% yield based on a 50% payout or less is not bad but I would prefer 4% or higher.

Each of us will have to find out what is acceptable for us. :)

Best wishes,
AK
 

Related posts:

1. Have peace of mind as an investor.

2. AK anyhow picks 5 stocks for income investors.

3. Unemployed, almost 55 and worried about CPF.