Posts

Showing posts from January, 2018

Charting Ascendas H Reit

Image
Recent News DIVESTMENT OF ASCENDAS CHINA HOTEL INVESTMENT LIMITED AND ASCENDAS HOSPITALITY CHINA PTE LTD Ascendas Hospitality Reit will be divesting Beijing Novotel Sanyuan and Ibis Beijing Sanyuan  for RMB1,156.4 million (or approximately S$235.9 million). Aggregate valuation of the Properties was RMB574.0 million (or approximately S$117.1 million) (“Independent Valuation”) as at 31 October 2017. Completion is expected to take place in first half of FY2018/19. Reasons for the divestment: Agreed Purchase Price is Attractive To free up capital and provide greater financial flexibility for fund deployment towards potential acquisitions, value enhancement and/or debt repayment. Reference: http://ir.a-htrust.com/newsroom/20180129_174423_Q1P_VBYBLFV4BCKKIEBG.1.pdf The divestment proceed could be used for debt repayment, acquisition or other financing activities. I would be concerned with whether they can find value accretive acquisitions elsewhere to boost their rent

Charting DBS, Keppel Corp

Image
I know this is like looking at the rear-view mirror but I shall see how I can apply past lessons to future trades. I charted periods of both when their stock prices declined and also when they ascended. (I prefer to use stoch 20 as it is smoother instead of 14, one of them I forgot to change.) DBS News:  http://www.straitstimes.com/business/companies-markets/dbs-to-raise-dividends-to-120-a-share I threw this touchstone back into the sea just to watch its price chiong chiong chiong... Keppel Corp Slow and steady like a tortoise... ***

Elder's favourite indicators

I was reading Alexander Elder's book "Entries and Exit" and he mentioned using 5 indicators to help him determine trade actions (there is no need to use more than 5). They are namely - moving averages, channels, MACH-Histogram, Force index (invented by him), and momentum indicator such as Stochastic. Here are a few indicators which I think are relatively easy to use and worth re-visting. I am a believer of using technical analysis to buy fundamentally good stocks. As a reminder to myself when choosing indicators, I have briefly summarized their key features below and if you want to read the full details from calculations to usage please click on the reference links. Elder Force Index = Change in price x volume - Measure of buying and selling pressure.  Only indicator which factors in volume. Reference:  http://stockcharts.com/school/doku.php?id=chart_school:technical_indicators:force_index Envelope (a simple trend channel), Bollinger band (trend channel w

Asset play - GL limited

Instead of sitting on my current holdings and hoping that the bull doesn't lose its energy, I decided to reap some profits from OCBC (after reaping Genting last month) and put the freed capital into other 'down' stocks with potential of rebound. Recent purchases made are M1, Singtel, Comfort Delgro and GL limited. Regretfully, I didn't watch the market closely last year and missed the semi-conductors' crazy price climb. Now I am not sure if it's a good time to jump into the bandwagon or just let it run on without me. Venture Corp has made it into the STI with a sky high price currently (you could check out the climb from year 2015). I shall not start another 'if only I could turn back time' grouse. The latest addition to my portfolio is GL limited [B16], which I happened to chance upon with a stock screener. It is an investment holding company under the Guoco Group . It holds a portfolio of hotels at prime locations in the UK. Part of its income come

Distilled thoughts on business & people management

Image
There are many great articles out there, notably from Harvard Business Review and Inc.com, that talk about leadership and how to manage a business. I would say I am quite an amateur in terms of people and business management (as I only started taking on a managerial role in 2013). Regardless of where our core expertise lies - we can be our 'own shepherd', the entrepreneurs or in the corporate world climbing the career ladder, I would think that designing work processes and managing people are the two most important aspects to master. Within the scope of people and business management, there are of course many sub-skills involved such as communication, marketing, strategic-thinking etc which could be multiple modules under any academic course and possibly years of experience at work to master. Here I share some of my thoughts from articles, as well as personal experiences in context of business operations.

Making sense of Warrants

Image
In my previous post, I mentioned that one of the investment vehicles I want to learn about is Warrant. My intention of buying warrant is to use it as a hedging tool for my existing holdings. I have read about Options and kind of know how they work. SGX has no options for trading, sg's version of options are Structured Warrants. I won't go into the details of its basic as you can go to SGX's website to find out more or simply Google it. One notable draw back of structured warrant here is that it cannot be exercised to purchase or sell the underlying shares. It can only be exercised upon expiry (European style) if it is in-the-money (ITM). If it is out-of-money (OTM), that means you lose all your capital invested in the warrant aka the insurance premium paid for hedging. For illustration, I used Macquarie's search tool to find the warrants and below is what I get. Warrant does NOT have a clear cut relationship with its underlying shares, therefore there ar