Strategy Plus a Little Update

Hi Everyone,

First for the update of my passive/side income this month which is over $200++!!, $280 to be exact. The main portion comes from the profit after I sold my DBS shares and also the money that I have received from OCBC 360 interest. For OCBC 360, next month will be the final month for me to get the 3.05% interest, which is quite a pity since 3.05% is quite a good interest rate for us to get. But what over is over, we can only look forward to what I can do with the 2.05% or probably more depending on the two additional criteria that OCBC will be announcing in May 2015. Up to date, I have successfully achieve my target of having $120 passive/side income per month which is quite a good achievement for me. Will continue to monitor my own progress to ensure that I will it the target for the next 8 months.

OK! After a mini update on my status, now I will talk about my strategy, my strategy in investment and savings. The reason why I talked about this topic because I have heard from many people in the forum talking about their strategy in terms of investing. Some people want fast cash, which is why they bet on pennies while the others might have other strategy. Although newbies might have the urge of getting fast cash, thus, betting their money on pennies. But for me, I am going for blue chips and reits partly because of dividends and partly because of stability. However, I am still learning on investment, thus, I only put less than 30% of my cash to investment while rest of my cash sits in the bank to collect fat interest (one more month to go). 

So I believe slow and steady wins the race, so lets get down deeper, am I a long term investor or a trader? I believe my style is more towards a hybrid because my main goal is still dividends however, whenever a share or a counter (depending on what you used to say), hits my target point (one year worth of dividends + a bit of profits), I will let it go, which is what I did to DBS. The reason I do that is because firstly is to get my realized gain and secondly, I want to get the additional money to reinvest to gain more interest early. For example, lets say 2.05% for OCBC bank and I put $180 (profit from DBS) in it, with the compound interest, I believe I can get extra few dollars in a few months time. (I am measuring based on the time where I gain the yearly dividend from DBS. Although is just few dollars, but money is money. Certainly, reinvesting is also good but one more point I will take into consideration is the dividend rate as well as the volatility of the shares. DBS is too volatile for me so I prefer to shift to OCBC instead, a rather stable and less volatile than DBS.

Each people have their own way of investment, for me, I think betting on blue chips and REITs will be the best for me to start with :D How about you?