Excellent news from UOB and OCBC!
When DBS declared a particular dividend, I questioned if UOB and OCBC would do the identical.
Sadly, there isn’t a particular dividend from UOB and OCBC.
Nonetheless, they did declare greater remaining dividends!
UOB elevated their remaining dividend by 15c or 25%.
This is not too shabby since it is vitally near a 50% payout ratio.
We are able to most likely anticipate this to be the norm in future because it is not a particular dividend and, thus, unlikely to be a one off occasion.
As for OCBC, they hiked their remaining dividend by 12c!
Whereas it’s decrease than UOB’s 15c hike in absolute phrases, it’s a lot greater in proportion phrases.
A rise of 12c from 28c to 40c is an virtually 43% hike!
I’m so shocked like vegetable!
OCBC is just not solely one among my largest investments.
OCBC is my largest funding in equities.
My funding in OCBC is far bigger than my funding in UOB.
So, my passive earnings within the type of a remaining dividend from OCBC goes to be very a lot bigger this yr in comparison with final yr.
That is particularly once I elevated the scale of my funding in OCBC many instances in 2H 2022.
Though my conflict chest was fairly depleted, I used to be in a position to do that by decreasing my investments in Centurion Corp. and ComfortDelgro which had been each underperforming.
In my weblog on Wilmar’s document dividend, I mentioned I used to be feeling a bit giddy.
I believe it simply received worse.
See the brand new picture of AK beneath.
I slapped myself onerous and reminded myself that the upper dividends from our native lenders will go some option to filling shortfalls from Sabana REIT, CapitaLand China Belief and IREIT World this yr.
Nonetheless early days, to keep away from doable disappointment, I’m protecting expectations low close to full yr passive earnings for 2023.
In spite of everything, I can not dictate how a lot my investments ought to pay me.
I’ll proceed to train prudence in the case of bills as, typically, that is one thing I’ve appreciable management over.
Nonetheless, to be sincere, I’m feeling extra sanguine about this yr’s passive earnings now.
Whether or not the yr would finish on a excessive be aware for me as an investor for earnings ought to grow to be clearer in one other 6 months or so from now.
Until then, I simply must be affected person and wait.
“Wall Avenue makes its cash on exercise. You make your cash on inactivity.”