$Lion-phillip S-Reit(CLR.SG)Context:I was looking at my existing S-REIT position and noticed that prices had declined fr…

$Lion-phillip S-Reit(CLR.SG)

Context:

I was looking at my existing S-REIT position and noticed that prices had declined from my previous entry levels. Although the price weakness had reduced the value of my existing position in the short term, I viewed the decline as an opportunity to lower my average cost rather than immediately changing my long-term investment thesis. I still believed that S-REITs could provide relatively stable distribution income and exposure to quality real estate assets over the longer term. Since I was already comfortable with the sector and wanted to build my position gradually, I decided that the lower prices could be a reasonable opportunity to DCA rather than trying to time the exact bottom.

My trade:

I added to my S-REIT position as the price had fallen and I wanted to take advantage of the lower valuation to reduce my average entry price. I did not deploy all of my available capital at once because I recognised that prices could continue to decline, especially given the sensitivity of REITs to interest rates, financing costs and overall market sentiment. By adding a smaller amount, I was able to increase my exposure while still keeping some capital available for future opportunities if prices fell further. My main reason for the trade was to strengthen my existing position at a more attractive price while continuing to target long-term distribution income and potential capital appreciation.

Takeaway:

Next time, I would set clearer DCA levels and position limits beforehand so that I can add systematically based on valuation and fundamentals rather than simply buying because the price has fallen.