I have been an active trader in the Singapore market, trying to make money from price movements. Like most people, I have gained trading experience the hard way losing money. I also took courses in Technical Analysis (though I did not follow the rules strictly). Now I am still learning.
Recently, I read a blog by "Dividend Warrior" (http://dividendsrichwarrior.blogspot.sg/) and was greatly inspired by his strategy in dividend investing. I have thought of similar ideas before, but have never seriously implemented them until now. I have always prefer to make stable passive income, rather than a huge sum of money inconsistenly.
The idea is simple. Search for stable dividend-giving companies with high and consistent yield to build a portfolio that will generate paasive income every month. My goal is to achieve a monthly passive income of $2.5-3K for retirement I project that I will require a invested capital of about $500K.(assuming a constant yield of 6%)
The counters for consideration include telcos (StarHub, SingTel, M1), SPH, REITs and Trust funds. After some strategizing and fine tuning, I finally settled for 4 counters for my 1st investment: Sabana REIT, CitySpring, Global Premium Hotels and UMS Holdings. What prevented me from choosing the telco counters was the low yield based on the current price which is quite high.
With quarterly dividend payouts, I will be getting dividends in most months in 2013:
Feb: Sabana REIT
Apr: GP Hotels
May: Sabana REIT, CitySpring, UMS
Aug: Sabana REIT, CitySpring
Nov: Sabana REIT, CitySpring
SABANA SHARI'AH COMPLIANT REIT
CITYSPRING INFRASTRUCT TRUST
GLOBAL PREMIUM HOTELS LIMITED
UMS HOLDINGS LIMITED