It has become a yearly habit for me to study the patterns of investment from STI ETF fund managers. Last year, all 3 funds didn’t do well, SPDR only suffered 6 months of negative returns, Nikko was negative for a year and iShares fared the worst having negative average annual return for 5 consecutive years. If you looked at the way these fund managers allocate their portfolio, you will notice that SPDR is the most focused among the lot. iShares and Nikko seemed more diversified but is all over the place when adding stocks to their portfolio. Makes me ponder whether focused is more important vs diversification.
Their top 3 sectors remained as Bank & Financial Services, Real Estate Investments and Mobile Telecommunications.
My top 3 sectors remained the same as well but my portfolio is cleaner now as compared to mine in 2014. I have since removed some weeds from the real estate investments, reduced my positions in travel & leisure and added some positions in the bank & financial services and oil equipment services & distribution sectors. I have also shifted my focus to the US market in 2015 for diversification purposes.
Did you managed to pick up some patterns for yourself ? I would loved to hear from you.
Check out my other 2014 Passive Income Playbook series :