Anticipating the market volatility on the upcoming rate cuts. Many S-Reits are already bullish and the S-Reits or related ETF are close to or at their one year high. However, even if this coming rate cut is 50 bps, the rate is still rather high. Financing that are locked previously may still be at the high rate. A better outlook is a more definitive “rate cut” package for the upcoming months or year. However, with the global uncertainties in middle east and eastern Europe, the inflation may shoot up and the potential rate cuts may stop short. $NikkoAM-STC Asia REIT(CFA.SI)$ $LION-PHILLIP S-REIT(CLR.SI)$
$SEMBCORP INDUSTRIES LTD(U96.SI)$ Sembcorp Industries is set for a dynamic Q4 2024, bolstered by its recent strategic move. Sembcorp Utilities has signed an agreement to acquire a 30% stake in Senoko Energy from Engie Global Developments. This acquisition (expected to be completed in Q4 2024) will be funded through Sembcorp’s internal cash resources or external borrowings. With the upcoming Fed rate cuts, the borrowing will be more profitable. The higher the rate cut, the better the potential earnings. Moreover, Engie is also collaborating with ComfortDelGro on EV charging stations and Singapore is expanding on her EV number. This should give both local stocks some potential improvement in earnings.
The following are some effects: Loans especially home loans: Lower interest rates will lead to better loan deals or possibilities of refinancing. Most will have more spare cash. Investment opportunities: The bank account rates/ fixed deposit rates/ bonds/ bills will drop ( they have already dropped in anticipation of the rate cut). Investors will start to look for better returns. Reits, emerging companies and companies that relies on heavy leverage: These stocks may have good potential growth and may give better dividends especially S reits. Market volatility: The market will tend to adjust to the new interest rate environment. This volatility may lead to GOLDEN opportunities for buying stocks at a good price. Really looking forward 😆 to this. Economy: For those that are no
Singapore will have largest share of passenger electric vehicles in Southeast Asia by 2040. 80% of the passenger vehicles is projected to be electric by 2040. The first seven months of 2024, 23% of new car registration are electric type. This will give a boost in automotive companies like Tesla, BYD; battery companies like Panasonic; raw materials suppliers; charging infrastructure and energy sector. There will be a demand for more charging stations. Currently as of Dec 2023, there are nearly 6000 charging points in public and private spaces. The providers are Tesla (11 locations), BYD (122 stations at 11 locations), SP group(1000+ stations at 300+ locations), Shell Recharge (22+ stations), Charge+(1000+ stations), Bluecharge (1500+ stations), Keppel Volt (89+ stations), ComfortDelgro(CDG)
$Tiger Brokers(TIGR)$ I am not pro and equip with skills to do technical analysis etc. So I adopt the following strategy for individual stocks. For ETFs, it is no brainer DCA😬. Step 1: Read various reviews, news and recommendations. This step is rather random as I am not sure which stocks to start with. Step 2: Add potential stocks to watchlist. Step 3: Search for as many analysis that give a buy recommendation with target prices. Step 4: Ask the question: how far the current price is from the target price (average/median)? If it is quite close or the profit is not much (due to limit budget), drop the stock. Pick only the stocks that are worth the price increase. Step 5: For the select stock, read up on the company and decide whether you are okay
$Seatrium Ltd(5E2.SI)$ Seatrium outlook “appears” promising and has seen a significant surge in its share price in the past week. It is attributed to a combination of short covering, institutional buying, and a robust share buyback program. However, I feel uneasy, about the share buyback. It entails the company has nowhere or alternatives to utilize their resources. Analysts have changed their ratings, noting Seatrium’s strong order book, which now exceeds $26 billion. The company has returned to profitability, reporting a net profit of $115 million for the first half of 2024. Analyst like UOB Kay Hian maintain a “buy” rating, with target prices suggesting substantial upside potential. Other analysis have a
$ComfortDelGro(C52.SI)$ ComfortDelGro’s Australian unit, CDC Victoria, has secured three major bus franchises in Melbourne worth A$1.6 billion (10-year term). This win represents a 30% growth in its public bus business, adding 86 buses to its fleet, with a new total of 369 buses. The contracts start in July 2025 with a 10-year term. Very high chance that this will give consistent earnings over the 10-year period. This transition to zero-emission buses supports ComfortDelGro’s commitment to sustainability. The global outlook on electric bus seems promising. The outlook is positive,[Miser] , with significant growth potential, improving earnings from overseas and a strong focus on
If the company have enough manpower or good planning to ensure continuity of business, then it will be good. If not, the workload can be crazy within the 4 days. Worse case is that your new “free” day does not sync with your client’s new “free” day. Collaborations and meetings between companies can be delayed if key people are not around.
With limited budget, I prefer DCA into STI ETF $Nikko AM STI ETF(G3B.SI)$ as it covers the top 30 stocks. The dividend is decent and it is some sort of diversification🙂. However, it is overweighted in the financial and real estate sectors,😐. Added or planning to add other potential stocks like tech: Valuetronics $Valuetronics(BN2.SI)$ , transport: ComfortDelGro $ComfortDelGro(C52.SI)$ , medical: Raffles Medical Group $Raffles Medical(BSL.SI)$ to increase the “flavour” of portfolio😎.