To The Moon

August 2024 recorded 2% profits.

A verified long-standing idea: as long as you are prepared, seize a few opportunities in life, take appropriate actions quickly, and do simple and logical things, your wealth in this life will be greatly increased.

The opportunities mentioned above are rare, and they usually fall on the heads of people who are constantly looking and waiting, full of curiosity and keen to analyze various possibilities.

When such an opportunity comes, if the chance of winning is extremely high, then use the resources gained from past caution and patience and place a heavy bet.

I think US Fed rate cut is great opportunity for investors.

There are only maximum two times such opportunities in a normal person life, too young no money, too old no time to wait.

The model is simple, choose steady dividend stocks, the company stocks performance almost solely affected by interest rates. Then the stock prices was negatively reacted by interest rates hiking. The interest rates high, dividend stocks price low; interest low, dividend stocks price high.

I utilised this theory from beginning year 2022, all the time I gradually added position following US FOMC meeting pace. Strong strategy will and patience are required.

The waiting time is boring, but dividend income can calm my paper loss. I estimated dividends income would be 20k for year 2024.

I really didn't expect US Federal rate higher and longer. So my problem is buying too early, but Dollars Cost Averaging keep my cost reasonable price.

It's Eve of Fed rate cutting. If you like to choose dividend stocks, you can beat my portfolio performance by building position now.

I got a little profits from dividend. If excluding dividend, I just breakeven for my portfolio.

For example, exclusive dividend, I still got paper loss on $NikkoAM-STC Asia REIT(CFA.SI)$  , $Wilmar Intl(F34.SI)$  , $Daiwa Hse Log Tr(DHLU.SI)$  , $Genting Sing(G13.SI)$  . $TRACKER FUND(02800)$   just is less than 3% profits.

Daiwa House Logistics was interesting, it was double hit, not only by interest rates but also by foreign exchange rate, it would be double lift later.

Market always response earlier, up to 6 months earlier. Some stocks started moving up. But nobody really knows, what's the neutral interest rate, it could be 2-3%. Market has priced in 0.25 interest cut. There's another 2-3% in coming 12 months, I guessed.

The attached excel sheet is free to takeaway. All dividends stocks in the list were examined by long history dividends payments record in the highest interest rate environment, solid healthy company. They are definitely not naked.

@TigerStars