Debt of Margin account

 My IG account is getting bigger.

But I only have around S$5k invested in the account.

Current profits is around $12k.

Total portfolio value is around $60k.

I was thinking more about the interest that I pay daily.

I pay around US$5 daily.

To be conservative, I use interest rate of 1.4.

So in SGD, it will be S$7 daily.

Interest rate for a year will be S$2.6k.

That is quite substantial if I deduct it from my annual salary from job.

The account has some Singapore shares, which is DBS and Fraser's Centre Point.

Their current Portfolio value is around S$35k.

Lets say they pay 5% dividends, I will receive S$1.8k.

In other words, the interest that I need to come out from my own pocket will be 2.6k-1.8k = S$800.

Which is still not too bad.

Tesla and Salesforce update

 Recently the tech stocks seems to be falling.

Bought another 3 stocks of Tesla, and another 3 at around US$680.

The next target price will be US$560, which is the next moving average support.

Also bought another 10 shares of Salesforce.

I have not yet read why their price fell.

But as a user of their Tableau software, I hope to be holding to more of their shares.

All the above are purchased using CFD, which is borrowed money.

So I have to keep an eye on that, and not lose the profits that was gained from Covid-19 opportunity.

But currently, I felt that the layer of profit is still good enough to take on small risks.

The price of Salesforce now is at a strong support, going back to the point before it broke upwards in 25 Aug 2020.

Small purchase of Tesla

 

Bought 2 shares of Tesla.

Looked at 5 mins chart to see when to enter.

Waited for $813 as it is a nicer number.

2 reason for buying.

Chicken Genius going all in on Tesla

Tesla bought 1.5 billion worth of Bitcoin.

I do not own any bitcoin.

But buying Tesla is in some ways I am buying Bitcoin.

I only bought little, as Adam Khoo says both Tesla and Bitcoin are bubbles.

Also, I only want to put US$1.6k more at the moment, even though it is using debt.

Might nibble again if it goes around $760, using moving averages.

Initiated small China position

I have been wanting to invest in China.

Fearful of them as I live in SEA.

Investing in them helps to alleviate the fear.

When we cannot beat them, join them.
I had an opportunity to buy when they were much cheaper, but did not.

So I initiate a small position today.

Their ETF dipped 3%, and is at a support zone and also fell to 20 SMA.

Their PE ratio is still good at 17%.

The recent for the dip should be due to the news that the government is monitor their big techs now, as they have too much influence in its citizens.

Next level to accumulate will be at $70.

CFD interest rate

 I am unsure how much is the interest rate of CFD, as it is not very clear.

Share financing is around 3%, which is quite clearly stated.

So I did a rough estimation.

From the daily emails they send, I pay around S$3.70 a day including currency conversion fee.

Multiply that by 365, I pay $1,351 a year.

My total position is around S$49,000.

So interest rate is around 2.7%.

Bought Salesforce

 Salesforce dipped around 8% today.

Might be due to the news that Britain has approved the use of vaccine, and it can be used to treat people next week.

I always use Tableau, and it is a important skill to me.

My work efficiency increased many times, and also people in the company values people with that skill.

I used to own Tableau shares, and when Salesforce bought over it, I sold it.

Because of the valuation.

But my mind set has changed regarding valuation, especially for disrupting companies.

I bought it at $222, and will buy again if it dips to $200.

At least I am buying a company that I am familiar with the product.

And I believe it can take over Microsoft Excel, in terms of market share.

Excel is still useful, but more people will find Tableau more useful. But I still need Excel in my current work.

And recently Salesforce released the news that they bought Slack.

Not very sure about that software, though I have heard of it.

And few months ago, they bought Zoom, which I use it at work too.

For this purchase, it is not close to any support line.

So I used moving average to understand entry points.

Current price is at 150 MA.

Next Entry price will be at 200 MA, which is $200.

Last chance to buy Tesla?

Recently stock market has been raging upwards.

It is the moment I have been waiting for, for so long..

Trump was actually quite spot on.

He mentioned around early November we could get a vaccine.

And that was a mental timeline I had.

Even though there is still no distribution of vaccine, there were great announcements.

2 USA vaccines announced their products are 90% effective.

Anyway, back to Tesla.

It was just included in SNP500.

It might be the last chance I can buy it around this level.

Even though Chicken Genius video has given me a desire to purchase now, I should stick to my methods.

Maybe wait for it to go close to the lower trendline.

I hope to get another 10 more, so that I have a total of 80, a nice number.

But if I don't manage to add anymore, I am also contented with the shares that I have.

Not committing is also good for me to have buffer, even though my funds are up by quite a lot.

But I have already risked quite a lot, and I am happy with the shares that I have now.