I will be aiming to buy stocks with strong fundamentals and respectable yields once I have some idle cash in bank. This will be the long-term plan as I will be accumulating these stocks to earn dividends to counter against imminent inflation and low bank interest rates.
Below are some of the criteria I am preferably looking out for.
1. Yield on cost >5% and with consistent dividend track record
2. At least 10% discount on NAV
3. Gearing ratio <30%
4. PE ratio <20
Nevertheless, I am also looking at fundamentally strong companies S-reits would probably best suit the above criteria. However, I am constantly aware that one should not be overly vested in reits. Furthermore, most reits are quite overpriced now. There are not many stocks out there which are under-valued.
I will be looking to build up my portfolio on income stocks first before diversifying when i have more funds.
Fortune favors the brave
SGBoy94
No comments:
Post a Comment