2022 Portfolio Review

 1) Performance of Individual Stocks Portfolio

2022 Returns was negative at -13.7%, poorer than STI returns of +7.6%. This is because my portfolio comprises mainly HK-based China Stocks and US Stocks.

Year	% Returns	STI (incl Dividends)
2020	3.6%	-7.5%
2021	14.7%	12.5%
2022	-13.7%	7.6%

I raised my cash position in 1Q 2022 to have a more prudent allocation and increase the cash available to take advantage of price declines. In 2Q-3Q 2022, I had used some cash to buy US stocks such as Alpabet, Booking, and HK stocks such as CNOOC and CSPC Pharma. In Oct, I bought HK stocks such as HK Tracker Fund (2800), Fu Shou Yuan and added more to Ping An.

There were also stocks bought and sold in same year, mostly at loss or breakdown e.g. Meta, WBD, OXY, CMGE

2) Position Sizing

In 2021 year-end review, I aimed to have fewer positions this year. But it seems that the no. of positions remain similar.

	Number of Stocks	Top 10 position size
At end 2016	21
At end 2020	39	46%
At end 2021	19	71%
At end 2022	18	72%

 In 2Q 2022, I felt that it is risky to have position that are too large. As such, I strived to cap new positions small

3) 10-year IRR

I look at my 10-year IRR across time. My IRR is lower compared to earlier years, where I run more concentrated and risky positions (i.e less than 10 positions in 2004-11) and had smaller portfolio. In 2012, I changed strategy to be more diversified. In addition, the low returns of SG stocks from mid 2010s onwards probably lead to lower returns in late 2010s

4) Stock – Non-stock Allocation

The above are on my cash equity portfolio.

 I have other stuff such as SRS, ETFs, Bonds, Cash and CPFB accounts.

 Looking at total allocation, I have around 55% stock – 45 non-stock allocation. The bonds allocation rose this year, as I allocated more cash to buy SSB and T-bill when the interest is higher in 3Q 2022 onwards. 

5) Net Asset Growth

I started keeping track on my net asset since 2014. This year’s return is -1%, mainly due to stock losses.