1H 2026 (Up to 26 June) Portfolio Returns - 32.50%

 

Since the returns are good i'm gonna put idols picture in front first.

(Since 26 June was a down day, it was a good day to talk about returns because there is every chance its gonna go lower)

Q1 was 5.02%. So Q2 (Up till 26 June) was around 27.48%.

Q2 Review 

Positives

-32.50% is higher than HSI Returns and STI Returns

-Engro starting to show some positive single digit gains. I still think 2027 might be the supernormal returns.

-Chuan Holdings AGM is positive. I feel positive holding it despite it being down 20%. Although any additions will depend on future contract wins and the overall portfolio allocations. My AGM Writeup can be found here. If 1H 2026 Results does not result in a dividend declared as oil prices has retraced in recent 2 months, i hope next year would finally see its maiden dividends declared. My current view is that 1H 26 will be better than 1H 25 but lower than 2H 25.

-XMH Results is alright. 37.5% increase in dividend as profit increased 24.9%. I think eyes will be on the orderbook that it will reveal in the annual report as well as the AGM.

Negatives

-SG Stock Returns Still Languishing and lack STI and Banks

-Infinity Development Results Below Expectations , Nam Lee Acceptable but not great

-New Positions going nowhere (Hong Leong Asia down 17%, XMH and Serial System headless chicken)

-Certain Positions remain Illiquid e.g Hor Kew and Chuan Holdings

-Hor Kew 1H 26 likely remains muted due to 1H 25 being high watermark in terms of gross profit margin

-Despite 1H 2026 is likely a record result for Solis Holding, i have cut all position after a very poor agm where i was the only retail shareholder present and i was told that i was asking too much qns and taking too much time when its only 25 minutes into the agm.

Takeaways

Basically most of the returns came from AV Concept and within the span of 19 days. 

I was reading up on news of japan semiconductor distributor Tomen Devices raising their guidance. It made me remember about AV Concept which operates in a similar field but in a different region. I pulled up my previous notes, updated it and decided to buy after doing my homework again.

I feel much better after this gain, its a huge stone off my back really.

I don't know if i mentioned this before but i feel like i lucked out last year with Dream International. 

So for me to get in with another multi bagger this year makes me feel good mentally.

In its recently announced results on 26 June, the margins are strong and the outlook mentioned is good. I still think that the following quarters are strong but whether the market likes the result (due to the low dividend) would remain to be seen.

I have rechanneled the positions into Yeebo , Smart-Core and Sas Dragon. The former 2 i have mentioned before in my post on the volatile semiconductor distributors.

(Current Holdings which may change at any time)

Yeebo (Hkex: 259) remains a value stock (or value trap) trading at 0.3 of its 'true' book value. As it holds shares of Meta X and Nantong Jianghai. Nantong Jianghai engages in the production of capacitators and has seen a share price rally of 268% YTD.

On the contrary, Yeebo has seen a YTD share price appreciation of 13%

The interesting thing is that it has 100,431,932 shares of Nantong Jianghai. 

Current Market cap is 3921 million HKD. 100,431,932 shares of Nantong Jianghai is worth 12630 million HKD. Or about $13.20 per share.

Of course, Nantong Jianghai can be 'overpriced' due to the AI supply chain hype but it would need Nantong Jianghai to drop more than 60% to be of equal value as current share price of Yeebo.

Any upside in share price will be the management's decision to divest shares. Having divested earlier this year at $30, i am not sure why they would not think about it again at $100.

It is worth nothing that all along there is a discount that exist for this company. Just that this year the discount has widened and is now at 0.3 book value.

Apart from that, its main business of doing Token As A Service and GPU Racks / Algorithm related AI Service remains to be monitored. I believe more details will be revealed when they announce results on 30 June 2026.

The results this time around should reflect the valuation increase in Meta-X but not Nantong Jianghai as the share price increase came after March 2026.

If Jianghai Share Price continues to hold while Yeebo's share price continues to fall, i will be keen to add more. That is assuming that there is no major negatives from its results release on 30 June 2026.

I am not going to talk about the investing prowess of Yeebo in getting into Nantong Jianghai and Meta-X very early or their ability to spot such companies and how this should be valued because they literally sold shares of the company at $30 this year and in HKEX no one really cares about giving valuations to such ability.

As for Singapore Market, i still think short term Serial System and Hong Leong Asia should be alright. Lets see if i am correct when results release in August.

In terms of overall portfolio planning this year, i think there is a lot of things to think about after the enlarged capital base moving into this year. Both mentally and also on a portfolio construction level.

But at the end of the day, i believe these are hurdles that i have to get through to be able to improve.

Time for a k-pop photo spam from my recent trips

At the start of the year i was thinking 10% returns would have been decent enough already because thats already more than 2 years of my annual salary.

Naturally my allocations would be different from last year which is a 'yea i think this is my highest conviction so it deserves a 60-70% allocation since the base isn't high'

Even though my conviction level is decent , it has never crossed my mind i should put 60-70% in any position this year and go for the 'Generational Wealth Thinking Mindset'

1 Reason is because other positions are also companies that are undervalued by my research, and some being illquid would mean i have to divest at maybe another 5-10% loss in exchange to enlarge a stake in a current conviction just to attain 'Generational Wealth'. Idk if it makes sense at current levels especially when it would leave me tough to average down further.

But of course if a position drop too much while fundamentally still attractive, i might have to average and it might result in a similar situation as last year where 1 position is 60-70% of the portfolio, just that as of current point i am not doing it yet.

I think this is mental part of allocation and investing that i have to get through and hopefully i can master it and strive for better returns.

If you read till here, currently these 3 stocks are stocks i have took a glance recently.

Value Partners (Hkex: 806) - 1H 2026 should see a profit warning as last year 1H 25 earnings is boosted by gold etf holdings but gold returns this year is muted. Operationally, AUM growth is seen and their flagship funds are performing well, if they continue to perform well, likely to see record management fee and also a boost in performance fees. One to keep an eye on after 1H 26.

EVA Precision Industrial Holdings (Hkex 838) - Precision Industry Company. Well below book value, company that is seeing increased orders in the data centre field and also robotic parts field. Has a vietnam plant up ramp incoming. Negatives is that its current fields of Office Printing and Automobile is not performing well this year in China.

Apex Ace (Hkex: 6036) - Storage Distribution Company. Largely Improved Revenue / Gross Profit in 2H 25 should see a higher improvement in 1H 26 . Related to Gigadevice, Kingston and CXMT Memory Products Distribution. Problem is that i was unable to find the company on Kingston Authorised Distributors List. On the flipside, the non controlling interest of one of the companies they owned used to work in Kingston.