My stocks portfolio - Dec 2010

The market value of my portfolio was up by 6.15% at the end of December 2010. Total portfolio gain since I started investing adjusted to 15.19% after taking all dividends into account. My holding period return was 3.93% for the month of December 2010. Since the beginning of year 2010, my overall holding period returns translate to 20.38% in annualized return.

There was no transaction done on the month of December 2010. I have always thought of selling some of my losing stocks but decided not to do it again. Keeping discipline with one’s investment plan is the way to go as I learn that frequent transactions may result in negative surprises. This is a lesson that I learn based on some of the recent sales of stocks that I made. In fact, most of the stocks that I sold so far have gained or bounced back substantially from their bottom. Let me make a reflection of the stocks that I have sold. As you can see, only 6 out of my 14 stocks that I sold remain lower than their selling price.

Stocks	Selling Price	Last Done Price	Difference
CDL Hospitality	$2.200	$2.080	-5.45%
Kim Eng	$2.220	$2.450	10.36%
Sing Holdings	$0.425	$0.355	-16.47%
Inter Roller (Pteris)	$0.355	$0.195	-45.07%
China Hongxing	$0.175	$0.160	-8.57%
Pacific Andes	$0.270	$0.360	33.33%
Keppel Corp	$8.140	$11.320	39.07%
Cosco	$1.200	$2.140	78.33%
Swiber	$0.910	$1.010	10.99%
FSL	$0.565	$0.465	-17.70%
FCOT	$0.145	$0.165	13.45%
Capitacomm	$1.340	$1.500	11.94%
Design Studio	$0.650	$0.620	-4.62%
KS Energy	$1.000	$1.080	8.00%

As nobody can really sell at the highest possible price or buy at the lowest possible price, it’s good to hold on to your stocks if you have a long term horizon. If you have the holding power, you can potentially reap good returns. This is because buying a stock is like an option too. The maximum loss you can suffer is the full amount of capital you put in that stock and the maximum gain is unlimited. Of course I am relating to the extreme scenarios. But your overall portfolio can still yield good returns if you happen to pick a basket of good stocks. This is the long term strategy that I am trying to adopt. Unless one can perfectly time or has a very good foresight, I find that letting our winners run and losers rot is a better strategy to adopt.

I received total dividends of $330.35 on the month of December 2010.

Month	Holding Period Return	Annualized Return
Jan-10	-1.75%	20.38%
Feb-10	1.36%
Mar-10	2.98%
Apr-10	4.36%
May-10	-7.12%
Jun-10	4.40%
Jul-10	4.49%
Aug-10	-1.38%
Sep-10	6.76%
Oct-10	3.09%
Nov-10	-1.61%
Dec-10	3.93%

Stock	Mode	Unrealised P/L (SGD)	Stock	Mode	Unrealised P/L (SGD)
ARA	CASH	91.36%	MAPLETREE IND	CASH	16.95%
ARMSTRONG	CASH	244.00%	MERMAID	CASH	-39.09%
ASIATRAVEL	CASH	-10.56%	MUNSIONG	CASH	12.99%
CAPITACOMM	CASH	69.88%	NOBLE GROUP	CASH	37.17%
CAPITALAND	CASH	49.06%	NEPTUNE ORIENT LINES	CASH	65.53%
CAPITAMALLS ASIA	CASH	-8.49%	PLIFE REIT	CASH	111.27%
CHINA MILK	CASH	-67.74%	RAFFLES EDUCATION	CASH	-68.86%
CITYSPRING	CASH	15.38%	RIVERSTONE	CASH	-7.94%
COURAGE MAR	CASH	-26.59%	ROTARY ENGRG	CASH	1.39%
CSE GLOBAL	CASH	234.19%	SABANA REIT	CASH	-7.32%
FIBRECHEM	CASH	-88.71%	SATS	CASH	70.62%
FORTUNE REIT	CASH	48.12%	SGX	CASH	32.22%
FRASERSCT	CASH	39.41%	ST ENGG	CASH	50.13%
GENTING SP	CASH	208.89%	STARHUB	CASH	22.44%
HEALTHWAY	CASH	41.03%	TAI SIN	CASH	-30.60%
HG METAL	CASH	-39.49%	TAT HONG	CASH	22.45%
HOCK LIAN SENG	CASH	0.67%	TECK WAH	CASH	10.93%
JAYA HLDG	CASH	-45.97%	TIONG SENG	CASH	-1.92%
K-GREEN	CASH	NA	UOB-KAY HIAN	CASH	-5.55%
KEPLAND	CASH	285.85%	VICOM	CASH	62.42%
KEPPELCORP	CASH	192.58%	BH GLOBAL	CPF	-32.43%
LEE METAL	CASH	1.42%	COSCOCORP	CPF	-27.50%
MACQ INT INFRA	CASH	-36.49%	SIAENGG	CPF	-10.91%