Portfolio as at end Dec 2009

This is a post on my portfolio holdings as at end Dec 2009.

My portfolio, as at end Dec 2009, contains the following stocks:

Broadway
Fabchem
Fujian Zhenyun (FZ) Plastics
Guocoleisure
Metro
Techcomp
Tuan Sing
UOA

Sold: China Eratat, Valutronics, UOA (sell a little proportion of my total holdings)

China Eratat is sold to realise the declining profit, as price is falling from a mini-peak. In addition, China Eratat is bought as a short-term play in the first place.

Valutronics and UOA are sold to raise cash so as to buy other stocks.

Bought and sold: Hongfok

Bought Hong Fok. After some evaluation, I sold Hong Fok to raise cash for other stock (i.e. Tuan Sing and Broadway)

Bought: Tuan Sing, Broadway, Guocoleisure, Techcomp, Metro

Tuan Sing is bought at a P/NTA of around 0.5, with the additional consideration that its debt will be significantly reduced after its Katong mall sale.

Broadway is bought at slightly lower price when I sold it earlier. Broadway is cheap at 4.x PER and it is in a near-oligopoly industry. There isn't many HDD makers (e.g. Seagate, Hitachi etc) left. Broadway owns Compart which is a big supplier of HDD parts. Hence, this may be a low-risk stock with some upside. The upside, however, is capped if Broadway is unable to increase earnings significantly in 2010/11.

Guocoleisure is bought at slightly lower price when I sold it earlier. I just buy back a tiny proportion of what I own earlier, so as to diversify risk. In addition, I think that Guocoleisure is another low risk stock (with low price-book ratio) that has capped upside.

Bought more of Techcomp. This purchase increase my stake in the bet that Techcomp will recover from the 2008's falling yen incident, and that 2009 2H will be much better than 2007 2H. It is a risky and potentially more rewarding idea.

Bought more of Meto. Metro is another low risk stock (with low price-book ratio) with capped upside.

Returns. Using Excel's IRR (internal rate of return), my average annual returns is 20.5% from 2005-9. The real return should be somewhat higher, as IRR assumes that I puts into the new cash in my portfolio on 1 Jan every year and this is not the case.

IRR also does not display the volatility of portfolio returns. My returns are very volatile:
2007: +46%
2008: -70%
2009: +147%

Nonetheless, my portfolio returns seems to be better than STI. This means that I should probablly continue to practice self-investing (a self-flattering statement).

My returns for 2010 is likely to be lower. And hopefully my future portfolio returns will be much less volatile.

Comments

Popular posts from this blog

China Banks, Trimming down Position