Following up on my previous post, we are targeting to bring our portolio to 30%. We have chosen SYARIKAT TAKAFUL MALAYSIA BHD. We are still on defensive mode and this stock fits the bill as the dividend yield is at 6.9%. We like the industry (insurance) and it adds variety into our portfolio. There are stocks giving higher dividend yield at the moment, but this stock is preferred for the following reasons:
- Insurance/finance is a stable industry with growth potential
- Revenue / Profit / Dividend increasing over the past 5 years
- PE still attractive at 12.8
With the addition, our portfolio is as follows:
we are quite close to recovering from the correction already!