O&G stocks like Keppel Corp have been hated and avoided by most retail investors even its Rig biz will be exited in 3 yrs! Right?
But ..
Early, Late or FOMO comers into the Party will make world of big Differences!
That is why long-term investing is always personal investing! One man's freehold dividend is another man's Panadol!
Read? The sun rose for Keppel - in a sunset industry!
Read? Just a few multi-baggers may be enough for your kid's university fund - Updated
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Hi Uncle8888,
ReplyDeleteLife is like a sine wave lol.
How things unfold depends on where you start on the wave ... and your reactions to the changing circumstances. ;)
Looks like now is the revenge of the Gen X 2000s ... banks, oil, commodities, gold(eventually? lol).
CW,
ReplyDeletePrecisely.
Those who bought Keppel at $10 a few years back, when O&G was flavour of the decade, got a ugly -50% haircut... The dividends are panadols to ease the pain while they wait to breakeven one day...
But for those who bought Keppel at $5 recently because they believed in Keppel's 2030 vision, then the dividends are merely getting paid to wait while you wait to get a 2 bagger 10 years later ;)
Not really sexy, but hey! Still beats CPF!
And if you bought Keppel when police wear still wore shorts at $1 long long ago, then Keppel when it returns back to $10 one day... Or 10 years later, whichever comes first, you just got a sweet 10 bagger!!!
Its all about entries and exits.
Nothing so complicated ;)
Yes, at certain age, risky to put all assets in stock market. Based on personal experience (1980 - to date), both "when" & "what" are important. "Luck" is most important of all, but this not within our control. When the late LKY made the "sunset industry" statement in 1986/87 in the midst of Singapore first recession after independence, everything was tanked, stock & property. Any "stock novice" who invested in most "blue chips" then & hold till today would have 10s multi-bagger (DBS was at around $2) - the "When" element. Any "property novice" who invested in a freehold property & hold till today would have even larger 10s, if not 100, multi-bagger (with leverage) - the "What" element. Being "novice", there is no skill ("market timing") or foresight involved. Pure luck.
ReplyDeleteUnlikely to have such multi-bagger "luck" now, economy-wise, Singapore is now a "matured adult", will be rare to find multi-bagger in either stock or property. Stock wise, have to be in other markets with large domestic economy (US, China) & scout for game changing technology or innovative business model (there are still 100s multi-bagger Singaporean control companies such as SEA, but these are listed in US!). Property wise, have to be in developing countries with transparent property rights, with growth trajectory as Singapore in the 1970~2000.
Stomach no longer strong. Contented to dribble with counters with reliable dividends or those with slow but steady & consistent growth.