Wednesday, June 11, 2008

Dark Times

I have been quite unlucky recently. First DBS announced a new round of preference shares issuance of 6%, followed by OCBC announcing their issuance of a new tranche of preference shares at 5.1% per annum. The issuance of these new shares at a higher yield made the old ones, which I just bought less than 3 months ago, a lot less attractive. Who would trade a 5.1% yield stock with a 4.5% yield stock? On these two counters alone, I lost more than S$1000+. Now I am kind of stuck with these two stocks. The only comfort is that if I hold them long enough, the yield over the years should make up the capital loss, but the return on investment is going to be pathetic.

The sell-down of stocks this week dragged me deeper into the red. The 'growth' stocks that I am holding simply became very vulnerable in the face of the onslaught. That cost me another S$1000+.

In total, more than S$2k vaporised over a couple of weeks. I would be much better off if I spent them on myself. Should be enough for one year's membership fee to a reputable gym.

Lacking of luck these days, hopefully can be more lucky next month when the OCBC preference shares are available for application through ATM.


  1. Louis the ocbc counter i also have, is there any placement preference scheme for share holders? I am not following closely these days.

  2. Stanley, no placement for existing share holders leh... now can only apply through ATM starting on 16 July