My REITs Investment Performance as at 31-July-2010

Refer to my previous post on REITs Investment Performance as at 31-May-2010, my REITs portfolio has grown another 0.8% in annualized return, from 21.1% to 21.9%, within 2 months.  This impressive return are main contributed by outstanding yield from HEKTAR and AXREIT which are generating 32.7% and 44.1% annual compounding rate.

Accept the fact that other good counters in Bursa were actually performing much better than REITs.  For example, my MAYBANK's holding was giving me a annual return of 67.3% as of 31-July-2010 for a holding period of a year and four months.

No matter you are buying REITs or other counters, there is, of course, another important factor that contributes terrific gain.  That is buy them when they are really cheap.  Majority of my current holdings were bought in early 2009 when market was so pessimistic.

As of my opinion, REITs is a good vehicle to generate stable and impressive income with relatively stable pricing. I might treat it as one of my income source during retirement.  If you have extra fund (after consideration of emergency buffer requirement) and have no idea where to invest, instead of putting it in low risk low return FD, do consider REITs.  Of course, some homework before any investment need to be done beforehand.

Good luck.

Infinite Wealth

This is my first very own stock investment book to share my years of experience on countering unpredictable stock market movement.

As stock market is so unpredictable, I have designed a system that works well and enable me to receive an average 15~20% annual return, no matter how the market moves.

In my book, I will reveal my very own company evaluation system to identify fundamentally sound companies.  With these shortlisted established financially sound companies in your list, I will also show my technique on spotting the right timing on entering and exiting for profit maximization.

The processes indicate in my book have been proven through years of pilot testing by using my hard-earned money.  As get out the rat-race by my early 40s is my major financial target, sustainable passive income is a must.  I must have a solid system to ensure that and here I have developed one.  It works and I will like to share it with my fellow readers.

Do grab a copy at any major bookstore.  Your inquiry, testimonial and/or comments are most welcome.

Happy investing.

How Much do You Worth? (Part 3)

Do you have any idea how much of your income has been used for loan repayment? You will be able to by calculating debt servicing ratio by dividing your loan repayment with your net take home income. You should keep your debt servicing ratio below 35% of your net take home income so that you have enough cash to meet other end needs.

How Much do You Worth? (Part 2)

In my previous post, I have shared a simple formula on calculating your net worth. By having positive worth does not translate into good financial health. Just imagine, remaining healthy, it will be better to have regular medical check up so that any abnormal symptom can be taken care of at no time.

How Much do You Worth? (Part 1)

We able to know a company's financial condition based on its income statement, cash flow statement and balance sheet.  A number of financial ratios can be generated from different items listed among these reports to identify a company's financial strengths and weaknesses.  For individual perspective, the same can be applied as well.  Now, ask yourself a question, do you know how much you worth?  If you able to tell immediately, congratulation, you are on the right track towards or already achieve financial freedom.  If you are not, it will be better to have one ASAP.  Sometime, you will be surprise what your personal balance sheet will tell you.

What & How to Do

If you attended any seminars, courses or workshops before, you may have a number of questions on how exactly to carry out what you have learned afterwards. Don’t worry, this is normal.

A Bee Or A Fly

One day, a man laid the bottom part of an opened glass bottle in front of a window. He carefully put a bee into the bottle and started his observation. The bee kept hitting the bottom part inside the bottle where it could see the light. After a while, it gave up and rest in the bottle.

Is Your Insurance Coverage Enough?

Recently, one of my cousins asked my opinion on whether she should cancel her life policy or not? She is married with 2 young children. This is really a one-million-dollar question. If she asks her insurance agent, I guarantee her agent will advise her not to cancel but top up some more because her life is invaluable. My experience tells me that her agent might not help her on calculating insurance need because her agent might not know how to or don’t want to help as, in her agent’s mind, commission earning come first. So, the only way she can do is to learn how to calculate her insurance need and act accordingly.