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Update on TKL's investment strategy and results - 18 Oct 2021
19 Oct 2021 (819 views)  

Dear Mr. Tan
I congratulate you on the gain of $887,000 that you made on your investment portfolio as at 18 Oct 2021.

Can you compute the rate of return, and also tell us when you will realize the gain, as the global stock market is very high.

Is it better to sell the stocks now and reinvest when the market has corrected?

REPLY
I put a total of $2,680,000 into the portfolio. The gain of $887,000 represents 33%. My investment is for an average period of 2 years (or thereabouts), so the annual gain is about 17%.

I sell the stocks that have gone above my estimate of its fair value and realized the gains. I reinvested the proceeds into other stocks that are undervalued.

This evaluation and reinvesting goes on all the time. As there are still many stocks that are undervalued (according to my evaluation), I am able to get my portfolio over 90% invested all the time.

Within my portfolio, there are stocks that show a loss. As they are undervalued, I keep them and wait for the prices to move to the correct value. Most of these stocks give a dividend yield above 3%. 

I share my views of individual stocks that I have invested in in the FISCA website.
My evaluation is available for FISCA members.

 


Update on TKL's investment strategy and results - 18 Oct 2021
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Dear Mr. Tan
I congratulate you on the gain of $887,000 that you made on your investment portfolio as at 18 Oct 2021.

Can you compute the rate of return, and also tell us when you will realize the gain, as the global stock market is very high.

Is it better to sell the stocks now and reinvest when the market has corrected?

REPLY
I put a total of $2,680,000 into the portfolio. The gain of $887,000 represents 33%. My investment is for an average period of 2 years (or thereabouts), so the annual gain is about 17%.

I sell the stocks that have gone above my estimate of its fair value and realized the gains. I reinvested the proceeds into other stocks that are undervalued.

This evaluation and reinvesting goes on all the time. As there are still many stocks that are undervalued (according to my evaluation), I am able to get my portfolio over 90% invested all the time.

Within my portfolio, there are stocks that show a loss. As they are undervalued, I keep them and wait for the prices to move to the correct value. Most of these stocks give a dividend yield above 3%. 

I share my views of individual stocks that I have invested in in the FISCA website.
My evaluation is available for FISCA members.