Portfolio Update - 2Q2019 (16 July 2019)

In the blink of an eye, 2Q2019 is done and over with. A bit of a late update to the portfolio and to be honest, there is little to see - facing a bit of a chilly winter here.

	Income Portfolio
	Counters	Units	Market Price (SGD)	Overall Value based on market price (SGD)	Allocation
1	Cromwell European REIT*	3000	0.7497	2249.1	26.26%
	Growth Portfolio
	Counters	Units	Market Price (SGD)	Overall Value based on market price (SGD)	Allocation
2	Alliance Mineral Assets (AMAL)	50000	0.123	6150	71.81%
	Cash and other Assets
	Counters	Units	Market Price (SGD)	Overall Value based on market price (SGD)	Allocation
3	Warchest	1	165	165	1.93%
	Total SGD			8564.1	100.00%

* - Conversion of EUR:SGD of 1.53.

Alliance Minerals (SGX: 40F)
Despite trying to keep it short and sweet, this is relatively lengthy for a portfolio update. I guess maybe I have a lot on my mind for Alliance Minerals (AMAL). I will write more in a separate post



It has not been a good past 2 year for holders of AMAL. After all the saga and then the Lithium bear, stock price took a nosedive over the past year. AUD is facing weakness as well, with AUD:SGD of 1:0.95. This probably contributed to balancing out the stock price of SGD 0.123 as of today - on ASX, Alliance Minerals (ASX:A40) closed at AUD 0.130.

While AMAL is currently indeed facing some company-specific challenges, the price drop is not just company-specific - the phenomenon is consistent sector-wide, with junior miners taking a bigger hit.

Despite all this, I still am a firm believer that Alliance Minerals will make it in the longer term, . Some positives can at least be taken away from the recent capital raising and the MOU for Alliance to go downstream. Based on the Managing Director (Mark Calderwood)'s update, he expects this equity capital raising to be the last AMAL will do.

Link: Alliance is done with capital raising for now (Investor-One)

Cromwell European REIT (SGX: CNNU)
I suppose this is a (tiny) silver lining - while capital appreciation is not something I am too focused about for Cromwell European REIT (CEREIT), it is still nice to see. I believe the capital flow into defensive stocks have played a part on this.



For the period 1 Jan 2019 - 1 Jul 2019, CEREIT declared distribution of 0.0205 EUR per unit. This equates to 61.5 EUR. Based on EUR:SGD conversion of 1.53, I got about 94 SGD.

As with my previous update, this goes into my tiny warchest as I find my way back into investing bit by bit (added in advance of receiving the payment, expected end-July).

My last update on CEREIT regarding its private placement.
Previous update: Portfolio Update 1Q2019

Plan going forward
I am fond of REITs and defensive stocks but as things stand now, most REITs and defensive stocks are overpriced IMO as hot money continues to pours into defensive assets and compressing their yield.

Additionally, my options to get back to investing is limited without larger capital and barring certain exceptions, I am simply not keen on paying minimum brokerage commission fee on a sum of low-thousands. My best bet is probably to keep focused on building back my savings first.

For now, I have applied for small number of shares in Prime US REIT. Hope I am successful for this.