Earlier than I begin doing different stuff as we speak, I made a decision that I’d shortly discuss to myself about my 2Q 2023 passive earnings, and in addition what I plan on doing for the remainder of the 12 months within the funding area.

After I talked to myself about my 2Q 2022 passive earnings, I titled it “Stronger with modifications.” 

In 2Q 2022, whole passive earnings obtained was about S$63,980.

It was a powerful 42% 12 months on 12 months enhance.

Since then, I’ve continued to re-allocate sources though on a smaller scale.

This train has confirmed to be fruitful as 2Q 2023 passive earnings got here in at $79,774.61.

That is an virtually 25% 12 months on 12 months enhance.

Therefore, the unimaginative title for this weblog.

“Stronger once more!”

Larger dividends from the next entities did many of the heavy lifting:

1. DBS

2. OCBC

3. UOB

4. Wilmar

5. ComfortDelgro

6. AIMS APAC REIT

These are a few of my largest investments. 

So, the upper dividends from them have an outsized impression which greater than compensated for the decreased dividends from a few of my smaller investments for earnings resembling Ho Bee Land and VICOM.

To be honest, not all of my smaller investments for earnings decreased dividends.

Raffles Medical Group and Hock Lian Seng paid greater dividends, for examples.

Passive earnings in 2Q 2023 additionally benefitted from contributions by Singapore Financial savings Bonds and T-bills.

These have been lacking in 2Q 2022.

I’ll proceed to re-allocate sources in my funding portfolio for the remainder of the 12 months.

This implies transferring funds into investments which I really feel would generate significant earnings for me whereas sustaining comparatively robust steadiness sheets.

I’d additionally inject contemporary funds into my portfolio each time circumstances allow.

Whereas re-allocation of funds is for rising my investments in companies like OCBC and UOB, the injection of contemporary funds might be going to the strengthening of my T-bill ladder.

This technique will assist to make sure that I keep a extra significant publicity to high quality mounted earnings which is related to an individual with circumstances like mine.

I’m extra fascinated with having a stronger base for my funding portfolio which ensures stability.

If I’ve ought to have extra extra funds to deploy, I’d enhance publicity to Wilmar if its frequent inventory ought to decline to $3.50 and even $3.00 a share.

The identical goes for ComfortDelgro if it ought to ever decline to $1 a share or decrease, all else being equal.

As I didn’t take part in AIMS APAC REIT’s latest rights situation, I have to anticipate a discount of roughly 10% in my passive earnings from the REIT in future.

Even when I did take part within the rights situation, I’d nonetheless expertise a discount in my passive earnings from the REIT except I utilized for extra extra rights in order that the whole variety of rights items was 3x that of my entitlement.

After all, I must achieve success in getting these extra rights as effectively.

I’ve as a substitute determined to channel extra funds to IREIT World’s rights situation to use for extra extra rights which might generate extra passive earnings for me.

To be practical, I’m unlikely to get all that I’ve utilized for.

Even when I needs to be unsuccessful in getting any extra rights, as IREIT World’s fund elevating train doesn’t have a non-public placement part which I’m not invited to, I’d not see any dilution which might result in a decrease DPU.

If I needs to be profitable in getting even some extra rights, it could imply having an even bigger share in some engaging properties that are already producing earnings.

Having mentioned this, any injection of contemporary funds is prone to be a sluggish trickle as I’ve restricted extra funds after bearing in mind my commitments.

I believe that’s all for now.

Till the following time I discuss to myself, keep in mind this.

If we’re fascinated with attaining monetary freedom, investing in bona fide earnings producing property can solely be factor.

If AK can do it, so are you able to!