Next 3 years (2023 - 2025) Investment Plan

2022 has become a year of upheaval. First the euphoria of post COVID-19 when countries started re-opening and economy starts picking up. Then came the Russia-Ukraine war where it drove up the prices of almost everything, sending inflation rates sky rocketing and countries on the heels of raising interest rates to tame inflation. Now, investors are in jitters that interest rates are increasing at too fast a pace that will send economies into recession and in the process sending equities on a downhill slippery slope!

Again, it is unlikely I will reach my 2022 goal set back in 2019. My portfolio dividend yield this year will probably be in the 3.2% to 3.5% range, way off the ambitious target of 4.8%. Re-balancing a portfolio with some dead weight stocks is not easy after all, while waiting for Noble Group, KrisEnergy and Eagle H Trust to officially delist from SGX. At least I managed to increase my dividend yield from 2.44% from 3 years ago.

Now, back to my main objective of investment - earning passive income. Again, I will be using the insurance projected returns as a guide, which typically ranges from 3.25% to 4.75% currently. For the next 3 year, I will set a target to get a better yield than the insurance projected returns (Example: 4.8%). I think this will be a very challenging target as I have never achieve it before. Well, here you are, the next 3 years (2023 - 2025) Plan:

1. 50% Equity, 50% Reits/Trusts
2. Portfolio Dividend Yield to be 3.80% in 2023, 4.30% in 2024, 4.80% in 2025.

I will likely to continue load up on high dividend yield REITS (Looking at US Reits listed on SGX) and Singtel (if price is below $3.00) till I reached at least 10k shares each counter, so that these counters can participate in the Securities Borrowing and Lending (SBL) Program. Other potential target also include DBS if it fall below $35.00, MIT and FCT.