Plans for May and Portfoilo Update

Cancellation of My American Express Krisflyer Card

For the mile chasers out there, many of you are aware Grabpay topup is no longer considered for miles accumulation on AMEX Krisflyer Card. Owing to the card's hefty annual fees that are due soon and the lack of efficient mile accumulation, I will be cancelling my card come mid-May. Readers who have signed up for the AMEX krisflyer card in October last year can consider cancelling the card because it is now beyond the 6 months period - it’s always best to cancel the card before annual fee is charged on your credit card, which is about 11 months into your card membership. Terms and Conditons for sign up mile accumulation has also changed since then

Portfolio Updates

Now that the Covid Outbreak has stabilized, I am on the look out companies which has a strong cashflow earning and at low valuation. One company that fits the criteria is Silverlake Axis. This is a company which I have covered in past articles, so there is nothing much I can write about it. My analysis on Silverlake Axis can be found here and here. To me most of silverlake revenue is now on a recurrent basis which means it is stable and not adversely affected by the Covid Issue. I expect Silverlake will be conservative this year and will only be giving out a dividends of 1.2 cents. At 5% dividends and payout ratio of about 60%, the current price of 24 cents seems like a good deal to me.

Besides Silverlake, I have also purchased shares in Jardine Cycle and Carriage. This is due to my thoughts that countries with a large domestic market will be a better investment opportunity. I am expecting a prolonged closure of international borders. Jardine C&C is conglomerate who has stakes in multiple companies in Indonesia (Listed and Unlisted), stake in Vinamilk, Refrigeration Electrical Engineering Corporation & Truong Hai Auto (Vietnam) and Siam Construction (Thailand). Hopefully these countries, especially Indonesia, will rebound. I personally believe these countries with a large domestic market on its own and a growing middle class is good and Jardine C&C is in a position to benefit.

That’s all for now. Given the rising stock market, I doubt I will be adding more exposure.