Portfolio 13-Jan-2007

Finally, this is my first portfolio update of year 2007. Compare to my previous portfolio which is about a month ago, there has been some major changes.

First, I have disposed all the non "core" investment counters, such as MTD and KASSET. I would like to start off my new year portfolio which is more streamlined and focus on only few selected counters. MTD was disposed at RM2.10 per share while KASSET was sold at RM2.55 averagely. From the trade of MTD, I roughly made a profit of 16% (or RM550) while for KASSET, all the 266 units were essentially obtained for free, deriving from the share distribution of IGB held previously. I am quite satisfied with these trades.

Secondly, I have topped up my investment in AXREIT while added STAREIT into my stock selection. For the latter, I strongly think that market has under valued it at current price of ~83 sen. Although there are few drawbacks on STAREIT which I have posted here previously, with its recent asset acquisition of The Residences (story here), its outlook has changed to be more positive. Furthermore, I also believe the Malaysian REIT investment scene will be much improved in this year, while I am still expecting the stock market to have a sharp correction (hopefully not a hard crash) in very near future. With the potentially brighter future of REIT (related story here), I reckon shifting from common equity to REIT is a safer bet.

On Magnum, there is a very good perspective of view that I strongly recommend it to every Magnum investors (link is here). My personal take is to hold onto it as long as I can, hopefully until the day that all the retail investors are rewarded accordingly (by capital repayment...etc) but not until the worst when bull has finally died and bear is ruling. I have confidence that the best is in making rapidly in view of recent high volume surge of the counter.

As for Tanjong, I start losing patience with it. Time is running out and it doesn't seem to move along with the major market. Moreover, the overdue IPA issue with Tenaga is still hanging. There is no announcement and the fact that Tanjong is heavily rely on this income stream makes me feel very uneasy. I think I will very soon make some moves on Tanjong.