Monday 5 August 2024

Portfolio Update August 2024: $2,000 Monthly Dividend and Growing

With the run up in US Office REITs, I took some profits on PRIME US and KORE REIT. I bought shares in Asia Pay TV Trust (APTT) and United Hampshire REIT.

Expected Annual Dividend is $24,000

APTT and Utd Hampshire are among the top 10 highest dividend yielder on SGX. Utd Hampshire has an added advantage that with the potential Fed interest cuts, the REIT's interest expense will reduce and net profits will increase. Utd Hampshire has a dividend policy of distributing 90% of its earnings. I am expecting a DPU of US 3.8 cents for 2024, and US 4.0 cents from 2025.Give it is in the resilient retail essentials side in USA, I am valuing it at 6% dividend yield on forward 2025 dividend. My target price is 67 US Cents. 

Currently, I am on track for $24,000 dividends per year. With the expected Fed Rate cuts, interest expense on many of these companies will fall; and with it potentially higher dividends. 

I am expecting LINK REIT, Utd Hampshire & Alibaba to report higher dividend as the years pass. APTT will be a consistent 1.05 cents yielder and a cornerstone of my portfolio. To me, it is currently the best dividend provider among all asset classes (including properties) based on risk-reward profiling, do hope the 1H2024 results validate my view.

5 comments:

  1. Hi, I am holding Prime US reits at avg 53¢! Just curious what is your avg price?

    Do you see any possibility that Prime may go zero? If not, what price you are targeting to sell (if any) when there are profits?

    ReplyDelete
    Replies
    1. PRIME may go to zero if the last lender does not agree, simply because there will be force selling and we wont know how it goes. If the refinancing is successful, I have price target of 30-33 US cents for the REIT

      Delete
    2. You are holding 430k share of Prime US reits! Even at 17¢, it is not small amount!

      Do you think it can relive to pre-covid price? And may i know why you invested in Prime?
      I noticed you sold KORE recently. Why KORE?

      Thanks.

      Delete
  2. This comment has been removed by the author.

    ReplyDelete