2Q 2017 passive income from S-REITs.

Once every quarter, I would spend half a day or so going through my dividend vouchers and checking my bank accounts. It is that time again.

2Q 2017 was a pretty quiet quarter for me as I maintained the status quo for my portfolio of S-REITs.

The portfolio received contributions from a couple of new investments made in 1Q 2017:

1. Starhill Global REIT
2. Frasers L&I Trust


Industrial Real Estate Market Update Q4 2016 | JLL Australia

Total income distributions received from S-REITs in 2Q 2017: 

$21,069.52

This is about a 2% reduction from 1Q 2017 which saw $21,477.10 received.

What happened?

We are missing contributions from IREIT and CRCT this quarter as they distribute income half yearly.

Keeping the status quo should see more income collected from my portfolio of S-REITs in 3Q 2017.

How much more? 

We will have to wait and see.

For now, $7,000 a month in "salary" is pretty comfortable for me.

Related post:
1Q 2017 passive income from S-REITs.

Frasers Hospitality Trust (FHT).

Reader:
Frasers Hospitality Trust. I like this and invested in it last year and applied for excess rights.

I find FHT attractive because mostly freehold and spread across many countries. Yield is 7%+. Plus strong sponsor and brand name.

I am not good in analysing. Hope you will talk to yourself. :)


AK:
I don't like it when a REIT purchases properties and DPU goes down.

And the rights issue was in part to strengthen balance sheet which did nothing to improve DPU.

"The issue would also reduce FHT's debt levels and strengthen its balance sheet."
http://www.straitstimes.com/business/companies-markets/frasers-hospitality-trust-to-raise-266m-in-rights-issue

I don't like it when total distributable income goes up but DPU goes down.

"Distribution income for the quarter was up 3.1 per cent year-on-year... DPS in the three months as at end December 2016 was down 18.9 per cent year-on-year..."
http://www.businesstimes.com.sg/companies-markets/frasers-hospitality-trusts-dps-down-on-enlarged-stapled-security-base

As a shareholder, I should be very interested in what happens to the DPU. I feel that the shareholders could have been better off without the rights issue.

There are probably things to consider beyond that but my plate is full. ;)

Related post:
REITs and rights issue. 

AK is speaking at InvestX Congress 2017.

Quite a few readers have been asking me whether I am going to have another session (or two) of "Evening with AK and friends" this year. 

Yes, I know. AK has been so lazy this year. Lazier than last year.

Bad AK! Bad AK!

Well, I am not sure if I want to do it this year but I did promise my friends at The Fifth Person to make an appearance at InvestX Congress 2017.

Yes! So exciting, right? 

So, if you really want to take a photo with me badly, here are the details:

Date: 19th August 2017.

Time: 9am to 6pm.

Venue: NTUC Auditorium Level 7.

Address: 1 Marina Boulevard.


At the last InvestX Congress a couple of years ago, some readers complained that I had to share the stage and I had too little air time. 

Alamak, what air time? AK is just full of hot air lah but the organisers have taken the feedback seriously.

I will be alone on stage for a full hour this time and I will also be on the panel at the end of the event.

I wonder how many songs would I have to sing to fill up that one hour? Hmmm.

If you decide to go, you will find out on that day.

How much will the ticket cost?

Get it by 19th July: 

$127.00.

Get it later: 

$147.00.

For those who drag their feet:

$197.00 at the door.

But I doubt anyone will have the chance to buy a ticket at the door. The last InvestX Congress sold out 3 weeks before the event!

Still, who wouldn't want to pay less? So, do you want to get a cheaper ticket? What is the lobang?

Come in pairs! 

Then, you get the second ticket at $97.00.

On a serious note, go to InvestX Congress not because you want to hear me sing or take photos with me. I am just the event mascot lah. ;)

Get more information and also to purchase tickets: HERE.

Downsizing flat and upsizing parents' retirement adequacy!

Reader:
Thank you for sharing your financial journey and thoughts on your readers’ queries with us.

My husband and I bought a BTO 4 room HDB flat 4 years ago.

We are thinking of changing our HDB from a 4-room to a 3-room flat some time after the MOP (5 years).




We are thinking of transferring the monthly CPF-OA contributions, excess of our monthly repayments, to SA for the 4% interest.

My father is 63 years old and my mother is 57 years old. 

If I am not wrong, topping up $60K to my father’s RA means he can apply for CPF LIFE. 

The monthly CPF LIFE payouts will be about $360.




AK:
If you have no other use for your CPF-OA savings after the move, transferring the money to the SA is always a good idea if you are thinking about a more secure retirement. 

Let the magic of compounding do its work. Your savings will amount to much more 20 years later.

With more cash in hand, you are planning to top up your parents' CPF accounts? I like that too. 

If you have only $60K to spare, you might want to consider splitting it so that both parents get $30K in their RAs. 

This is because the first $30K will get 6% interest. The next $30K gets 5%. Of course, above $60K, it is 4%.




If you have $120K to spare instead of only $60K, of course, topping up both parents' CPF-RA with $60K each is a good idea. 

Make the government do some work in supporting your parents financially. ;)




Related post:
Mom is stunned by her CPF-RA.