(Click on image to view in full size)
Total cash injection and dividend reinvested: S$17,000.00
I have been doing stock investment for more than 10 years. Since end of last year, I realised that I need more systematic way of investment to achieve the goal of “Financial Independence, Retire Early” (F.I.R.E.).
I have been long time reader of Christopher Ng Wai Chung’s blog treeofprosperity. I am quite agree with his quantitative investment approach.
I attended his free Early Retirement Workshop and Early Retirement Masterclass organised by Dr Wealth end of last year and this year respectively.
I applied a new Margin Account in Maybank last December, it took more than one month to get everything ready.
For this margin account, I strictly follow one of Chris’ REIT Strategy (Chris provides several strategies based on different asset class and personal preference). I can not reveal too much because it is paid content, but some principles are openly published in Chris’ blog:
– Equal share (In my case, S$10,000 for each REIT)
– Low gearing
– High dividend
– Leverage ratio less than 2
It has been 6 months, here is a quick summary: total S$44,000 fund injected, generated net profit of S$7,600 including dividend. That is 7600 / 44000 = 17% returns in 6 months.
The stellar return is due to exceptional bull run of SREIT, I don’t expect this to happen again. For long term, I believe 8% annual return is more sustainable. I intent to share the progress in this blog on monthly basis.
Below is screenshot from Maybank Portal (click to see original full-sized image):
Profit & Lost
Since maybank will increase margin financing cost from 3.28% to 3.5%, and REIT price are too much elevated, I intent to deleverage by temporarily stop buying and only inject fund to reducing margin debt.
In review, Chris’ Early Retirement Masterclass is suitable for both newbies and seasoned investors. The training material can save students thousands of hours to read and digest from sea of investment materials. There is no much jargons, easy for student to follow.
For me, the best parts I like is the various investment strategies that backtested by Chris, and the facebook group where Chris share the latest lecture materials, stocks selected by each batch of students and portfolio reviews.
For last several weeks I did some academic research on Chris’ invest strategy, may share later.