Year 2020 marks a decade in holding MapletreeInd Trust in my Investment Portfolio. This is the 7th stocks after Genting Singapore, First Reit, SingPost, CapitaMall Trust, SIA and Kep Corp that I've held for at least 10 years now. The distinct between MapletreeInd Trust and the rest of the 6 is I'm actually a Day-1 investor in this.
Subscribed to the IPO in Oct 2010 at a price of $0.93, divided the allocated quantity to 2 portfolio -- Investment Portfolio and Kid's Portfolio. Further added some at $1.07 in Jan 2011 to the Investment Portfolio. Then around Jul or Aug 2011 added some more through the rights issue at $1.06 to both the Investment and Kid's Portfolio. At the moment the holding price for this investment stands at $0.8143/unit. Based on closing price of $2.88 on 4th Dec 2020, this translates to an unrealized profit of +252.23% and a dividend return of +94.90%. In annualized term, it is +13.42% excluding dividend and +16.16% inclusive of dividend. This probably the best performance among the 7 stocks that reached the 10-year milestone. Lucky 7 ???
IPO price was $0.93, rights issue in 2011 was $1.06, how come my holding price is $0.8143/unit ? Failed my elementary math ? Well I'm qualified to take Mathematics S-Paper for my GCE 'A' Level so my mathematics is not that bad lah. Well the key to achieving such a low holding price is the scrip dividend scheme. MapletreeInd Trust implemented the scrip dividend scheme (distribution reinvestment plan) in Jan 2013. However, it is only in the Jul 2015 distribution that I started to get the scrip dividend instead of cash distribution. This probably has to credit to the implementation of 孙子兵法 to my investment. That scheme eventually stopped in Apr 2016 distribution. Should I opt for the scrip dividend when it was implemented in Jan 2013, the holding price now will be even lower than $0.8143/unit. So if a Day-1 investor who went through the rights issue in 2011 and opting for the scrip dividend in 2013 is having a holding price of $0.50/unit now is very much possible.
Like any other Reits investment, the primary objective is to collect dividend and for my case, achieving a 100% dividend return (with reference to the invested capital) is my prime objective and major milestone. It is only then, the investment is considered as "mathematically impossible to lose money". I've achieved that for First Reit in 10 years duration and CapitaMall Trust in 11 years duration. Presently, standing at 94.90% dividend return, I should be able to achieve that major milestone next year, following CapitaMall Trust's footstep in achieving that target in 11 years period. This is definitely something am looking forward to for MapletreeInd Trust investment now.
MapletreeInd Trust first started off with assets focusing on industrial purposes and only last year (or maybe in 2018) that it started to diversify into data center assets. Perhaps it is due to that its share price soared since then. Data Center is not something new to me as I'm also a Day-1 investor in Kep DC Reit, the first data centers focused Reit to be listed in SGX. Thus, now I have like 1.5 or 2 stocks that are focusing on Data Centers in my Investment Portfolio.
For the record of archiving purpose :-
Investment Portfolio
Holding Price : $0.8143/unit
Dividend Return : +94.90%
Kids' Portfolio
Holding Price : $0.702/unit
Dividend Return : +108.40% (mathematically impossible to lose money status)
Kids' Portfolio was not involved in the $1.07 purchase in Jan 2011.
