At the last annual general meeting, DBS Group CEO Piyush Gupta predicted that interest rates would remain stable throughout 2023 and decrease starting in 2024. While the rate cut hasn’t materialised yet, recent developments seem to align with his forecast, suggesting a high possibility of it happening in 2024. Investors are anticipating a potential interest rate cut this year and are concerned about the impact on bank stocks, particularly a decline in their net interest margin (NIM). This year, I attended the DBS Group AGM to gain insight into the management’s perspective on interest rates and ..read more

Ray Dalio, an iconic figure in the financial world, is widely acclaimed for his extraordinary success as an investor and for founding Bridgewater Associates, a globally renowned hedge fund. With a career spanning multiple decades, Dalio has accumulated substantial wealth and garnered profound insights, solidifying his stature as a leading figure in the international financial arena. Dalio’s trajectory toward becoming an investment titan commenced with an early fascination for financial markets. Over the years, his acute insights, analytical acumen, and unwavering commitment to understanding ec ..read more

The word ‘bubble’ in investing carries heavy weight. It can bring great profits for some but devastating losses for others. A stock market bubble lures investors with promises of huge gains, but underneath this appealing surface, prices become disconnected from reality. Think back to the dot-com craze of the late 1990s when internet stock prices skyrocketed to unrealistic levels before crashing down spectacularly. Or recall the more recent housing bubble that burst with catastrophic consequences during the 2008 global financial crisis. This is a stark warning about the dangers of irrational ex ..read more

Imagine working hard to save and invest money for your future financial freedom. With each penny saved, you’re one step closer to your dream. However, there’s one factor that often gets overlooked by most people – investment fees. These fees may seem small, but over many years, they can really add up and eat away at your investment returns. Investment fees come in different forms – management fees paid to fund managers, operating expenses for mutual funds and ETFs, and transaction costs for buying and selling. While these fees don’t seem like much on their own, they steadily chip away at your ..read more

In the world of investing, consistency is a golden trait, especially when it comes to dividends. For income-focused investors, few strategies are as rewarding as finding stocks with a track record of not just paying dividends but growing them consistently – even during difficult economic circumstances (like the COVID-19 pandemic). The ability of companies to not only continue but, in some cases, increase their dividend during difficult times underscores their operational performance and financial resilience. This aspect becomes particularly significant for investors seeking dependable income s ..read more

There were high hopes for China’s economy to spearhead a significant comeback in 2023, yet the anticipated revival turned out to be brief and below expectations. A resurgence of issues in the real estate sector added further complications, leading foreign investors to pull out of Chinese stock investments. In fact, since the protests in 2019, investing in Hong Kong’s stock market has proven challenging. Hong Kong Real Estate Investment Trusts (HK-REITs) have suffered in particular and the sector has been on a downward trend since. However, those who invested in these REITs from their initial p ..read more

In the volatile world of stock investing, navigating a bear market can be particularly daunting for some investors. Amid such uncertainty, dividend investing emerges as a strategic approach to secure a steady stream of income, while preparing for future market rebounds (i.e. being ‘paid to wait’). While the allure of dividends is clear in any market condition, their value becomes even more pronounced during bear markets. Dividend investing offers a twofold advantage, especially during bear markets. First, it provides investors with a regular income stream through the dividends paid by companie ..read more

Last week, I updated an article about the top 10 Singapore REITs that would have made you money if you invested from their IPOs. Out of the 24 S-REITs that have been listed for at least 10 years, 19 of them gave a positive overall return for investors. In this article we are going to measure the performance of REITs that are listed in Malaysia. Since the pandemic in 2020, Malaysian REITs have performed poorly. Currently, the sector is still more than 20% below pre-pandemic price levels.  The underperformance is mainly due to the fact that the majority of Malaysian REITs are made up of ret ..read more

Warren Buffett, widely regarded as one of the greatest investors of all time, has been sharing his wisdom, insights, and investment philosophy through his annual letters to shareholders of Berkshire Hathaway since 1977. These letters have become legendary in the world of finance and investing, eagerly anticipated by investors, analysts, and enthusiasts alike. Buffett’s letters are renowned for their clarity, wit, and straightforwardness. In them, he not only discusses Berkshire Hathaway’s performance and financial results, but also his views on various aspects of investing, including his princ ..read more

Driven by rapid interest rate hikes starting in the second half of 2022, Singapore REITs (S-REITs) saw a significant sell-off that peaked in late 2022. Despite a brief recovery in early 2023, a fresh wave of selling pressure sent the sector tumbling back into negative territory by October 2023. This was due to many S-REITs reporting lower distribution per units (DPUs) after renewing their maturing loans at higher interest rates. The sector has recently rebounded again, but there are concerns once again about more negative impact when lower rate loans mature in 2024. S-REITs that were par ..read more