Keeping the Focus - Good to Read

With the markets having gone through major gyrations over the last couple of weeks, it is easy to panic and lose the initial focus that we had for our portfolios.

Stepping back from all the noise in the market, I asked myself again what was my initial rationale both for starting this blog and for that matter, having a stock portfolio? The answer came surprisingly easily.

I wanted to transit to being a full-time investor with a high quality and good yielding investment portfolio that could generate income and returns and gradually replace my active income from work. This would mean that my portfolio should only consist of quality and slightly larger cap biased companies that show an ability to be able to generate solid earnings over time and are well governed. It IS as simple as that, really.

I was tempted at certain points to cut some of the positions in my portfolio and especially at the heights of the crisis whereby the loss on my portfolio escalated. And I have to share that the recent rebounds seen may be signs of a bear trap, something that I am increasingly hearing from many fellow industry professionals.

However, something inside of me has changed. Somehow or rather my gut keeps on telling me this: If your investment aint broken, why sell it? I also remember the wise words of Warren Buffet when asked when is a good time to sell a stock and he replied: "Never".

I am now instead increasing my focus on higher dividend yield stocks within my portfolio to add on, in order to increase the yield stability + further solidify my new found investment maturity. Where I used to flight easily, everything feels much more controlled now and I now recall again why I started my portfolio in the first place: To be a full-time investor. And to be that, it takes both a strong mind and solid paradigm, traits which I am determined to reinforce.

And I sincerely hope that this recent market turmoil has similarly helped unveil something positive for you too.

Sharing some of my stock ideas at the moment:

Stock ideas within my portfolio:
Buy: Singtel, Jardine Matheson Hlgs, Sembcorp Ind.
Sell: None.

Nothing too fanciful, but I'm starting to have an increased focus on slightly overall higher dividend yields on the portfolio. The recent rise in oil prices which is something that I have been projecting for quite some time will also help influence some of my stock picking decisions: cue Sembcorp.

Signing Off
Transitioning Stock Investor