UOB announced its Q3 results this morning which gives a big hint of what is to come for the other two banks.The drop in NIM and increase in NPA is worst than expected, and if not for the loan growth segment in the Singapore that helps, it might look like a worsen Q3.OCBC is scheduled to announced its results on the 5th Nov (Tuesday morning) before the start of market trading.This is 5 reasons why I think OCBC Q3 FY19 profit results are going to fall double-digit in terms of percentage year on year.1.) Net Interest Margin Compressed QoQ and YoYIn FY18, OCBC's Net Interest Income contributes 60% to their total revenue while Non-Interest Income contributes the rest of the other 40%, so we'll approximately use that as a gauge.Q2FY19 Net Interest Income came in at $1,588m while Q3FY18 Net Inter

With a history of 130 years, Hongkong Land is certainly one of the most venerable listed companies in Singapore. Possibly, only Boustead, OCBC’s Great Eastern and UOB’s Haw Par Corp can match Hongkong Land in terms of pedigree and history. If you are talking about prestige, Hongkong Land is even more impressive as its parent company is none other than the famous Jardine Matheson Holdings. Together with Dairy Farm, Jardine C&C, Jardine Matheson Holdings and Jardine Strategic Holdings, Hongkong Land forms the “Hong Kong Five Tigers” that ruled Straits Times Index (STI) for many years. The Hong Kong Five Tigers are all part of the Jardine Matheson Group and this network of companies established an impenetrable fortress in the SGX mainboard. Nonetheless, what can float a boat can a

Investors who buy banks as part of their portfolios may not fully comprehend how they make money, as financial institutions are complex businesses with many moving parts. I always find it easier, when analysing a company, to split up a business into its component parts or divisions. In this article, I will be looking into how Oversea-Chinese Banking Corporation Limited (SGX: O39), or OCBC Bank, makes its money. The best way to do this will be to break the group up into separate components: its core banking division, the non-interest income division, the wealth management division, and the insurance division. Net interest income (NII) The core business of a bank is to make loans, and the net interest income (NII) represents the difference between the interest rates charged by OCBC on loans

Without any doubt, AXS is one of the most widely-used bill payment platforms in Singapore. Starting with introduction of the standalone AXS Station kiosks in 2001, AXS has now expanded its offerings with both online and mobile app (m-Station) payment. With the AXS m-Station app, Singaporeans can now pay their bills or fines, including those from government agencies or public institutions, right at the convenience of their smartphones anytime and anywhere. Unlike the kiosk which accepts only bank ATM cards, AXS m-Station provides multiple payment modes, such as PayLah, eNETS and credit cards. While the credit card option seems to be attractive, it comes with its own limitations. For instance, only credit cards from Citibank, DBS/POSB, UOB, OCBC banks and Diners Club, as well as MasterCard

Banks in Singapore are regarded as some of the best dividend shares in Singapore. The trio of Singapore-listed banks, DBS Group Holdings Ltd (SGX: D05), United Overseas Bank Ltd (SGX: U11) and Oversea-Chinese Banking Corp. Limited (SGX: O39) have shown remarkable consistency in dividend payments and growing their book value per share. They each generate a decent average return on equity of slightly more than 10% while maintaining solid financial standings. But how do our local banks compare against their overseas peers? With that in mind, I did a quick comparison between Hong Kong-listed China banks and Singapore banks. Here are the results. Valuation Some of the important metrics to consider are the dividend yield, price-to-earnings, and the price-to-book ratios. I used Industrial And Co