After the Chinese New Year holiday, I present a gift to my loyal blog readers~ this essay.
I feel I am qualified to write this essay because I am the original IPO shareholder, unlike majority bloggers, they purchased it after listing but seldom of them purchase it at IPO and hold up to the present.
The annual dividend of The LINK REITs from 2006 final to 2019 interim summarized in the above table.
I purchased it on 24 Nov,2005 at HKD$9,878.98 with 1,000 shares, sometimes, I received share scripts, now grow to HKD$102,794.2 (with 15/2/2919 market close price HKD$86.60). The principal grows 10.40 times, the amount grows 12.68 times, the average annual return is 95.7% (13.25 years).
I purchased the LINK REITs IPO on Nov,2005 based on the following reasons:-
The LINK REITs monopolise the purchase power of residents living in the public estates in Hong Kong.
The rental value and efficiency can be significant improved when it transforms from public owned to private owned shopping malls.
Since being the small shareholder of it can enjoy the above benefits, i decided to buy 1,000 IPO shares at that time.
1. Investors need to buy high quality shares that with high quality assets brings continuous positive cash inflows to them.
2. After buying the high quality shares, investors need to "buy and hold", resist the temptation of getting profit when the share price goes up.
I personally believe majority of the LINK IPO shareholders cannot keep this as their ten bagger stock because they are unwilling to buy and hold it.