Q1 2025 Reflections and the Impact of Trump Tariffs

As Q1 2025 comes to a close, I’d like to take this opportunity to sum up my investment results and share some thoughts on recent market developments.

For the first quarter, my total dividends amounted to SGD 12,000. While this figure is somewhat disappointing, I believe it is reasonable considering that most of my portfolio’s dividends are expected in Q2. I remain optimistic that the upcoming quarter, especially with the boost from my bank stocks—particularly DBS—will deliver stronger returns.

In April, President Trump implemented new high tariffs on multiple countries, sending ripples across the global stock markets. The Singapore Exchange (SGX) was no exception. My portfolio, being heavily invested in SGX-listed stocks, has been significantly affected, with valuations turning sharply negative.

In response, I made the decision to sell several of my REIT holdings, which had already been under pressure due to prolonged high interest rates. I saw an opportunity to redeploy some capital into the banking sector, which I view as a more resilient and investor-friendly space. For example, OCBC announced a dividend payout ratio of 60% of their profits, and DBS Bank unveiled plans to pay an additional 15 cents per share as part of their capital management program. These moves, in my view, signal a strong commitment to rewarding shareholders and enhancing dividend certainty.

As part of this portfolio adjustment:

• I completely exited my position in First REIT.
• I significantly reduced my holdings in Mapletree Industrial Trust and Mapletree Logistics Trust.

One decision I do regret is not trimming my position in ESR-LOGOS REIT. Although I considered selling, I ultimately did not have the stomach to realize a substantial loss at the time, with the stock already down about 40% due to high interest rates. Unfortunately, it has since declined a further 20% following the tariff announcements. For now, I plan to hold and ride through this difficult season, hoping the REIT continues to provide reasonable dividends and stabilizes over time.

This is just another chapter in my investing journey—marked by learning, adapting, and managing emotions through market turbulence.

As Warren Buffett famously said, "The stock market is designed to transfer money from the impatient to the patient."
It’s normal to face tough periods, but staying focused on long-term goals and adapting with resilience will pay off in time. Markets will always move in cycles, but disciplined investing and patience are what turn temporary setbacks into future gains.

Thanks for following along my journey. Let’s stay the course and keep building towards financial freedom, one step at a time.