Automatic Investment on ABC H Share
$ABC (01288.HK)$ I have been continuously buying ABC H share on monthly basis over the past few months, by investing a small portion (~15%) of my salaries as a deposit. My evaluation of ABC H share by DDM model is ~hk$ 3.65 under conservative assumption and ~hk$ 3.95 under neutral assumption with current fx rate. The target investment horizon is mid-to-long term. Current high dividend rate plays as a good shield against the uncertainties. The auto-investment will pause if the dividend rate is no longer attractive for me (like less than 7%) and will gradually start to exit when it reaches the target prices.
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Walk the Snail : nice, 8% dividend yield easily beat inflation.
凤凰崛起 : Are u still adding?
SIYIINVEST OP 凤凰崛起 : Yeah, this month will be my 7th purchase. Planned to add more if the price dip but it was nearly unchanged over past months
凤凰崛起 : Are you adding any of the other 3 China bank?
SIYIINVEST OP 凤凰崛起 : No, their market performance are basically the same on 1~2 yr horizon. I dont think diversity on the big 4 banks is a must