The woes of the global market continue to drag down performance of the STI and investors are seeing the warning signs to be more selective in stock picking. Here are five stocks that UOBKH thinks will be better positioned. Investors Takeaway: 5 Stocks To Make Your Portfolio More Robust Valuetronics Valuetronics continue to enjoy healthy demand for the industrial and commercial electronics (ICE) segment. While it has not yet transpired to strong earnings this time round, UOBKH foresees a better earnings report for Valuetronics in the upcoming quarter. UOBKH highlights that recovery in the smart lighting segment is progressing smoothly. Valuetronics has also been focusing on more product innovation, which will help its consumer electronics division to continue driving stable growth in th

A year ago, Phillip Capital Management, along with Lion Global Investors, launched the Lion-Phillip S-REIT ETF. The ETF aimed to give investors a way to invest in a diversified basket of Singapore REITs (S-REITs) which paid a steady stream of distributions. (At the moment, the average distribution yield for S-REITs is 6.8%.) The ETF was met with a largely positive response from the market – Lion Global Investors and Phillip Capital Management initially aimed to raise S$40-50 million but exceeded their target when the fund raised over S$100 million last October. Capitalizing on the Singapore market’s appetite for yield, Phillip Capital Management has now launched the Phillip SING Income ETF. The initial offer period for the ETF will close at 11:00 a.m. on 19 October 2018 before its list

There are many ways to find investment ideas. Some useful methods are to screen for stocks or to look at a list of stocks near their 52-week lows to sieve out potential bargains. Studying what institutional investors have been buying or selling is another avenue. Institutional investors are typically large investment organisations, such as hedge funds, mutual funds, unit trust companies, sovereign wealth funds, insurance companies and so on. These investors tend to possess vastly greater resources than individual investors like you and me when researching stocks. Hence, it may be useful to keep a close eye on what they are doing, as a way to generate ideas. In this article, I will look at three Singapore stocks that were among the top 10 shares that saw the highest net purchases in dollar

Top 30 in my portfolio: No. STOCK NAME No.of SHARES PORTFOLIO% MARKET $ 1SGX5,00011.387.372SATS4,0006.455.223UOB7476.2527.084CapitaLand Mall Tr9,0006.172.225SPH6,0005.322.876OCBC Bank1,4385.0811.447AIMSAMPI Cap Ind R10,0004.321.408Starhub7,0004.041.879Suntec Reit5,8003.461.9310Keppel Corp1,6003.446.9611CDL HTrust6,8003.361.6012FCT4,7003.302.2713SingTel3,1903.193.2414Keppel DC Reit7,4003.131.3715ParkwayLife Reit3,6003.002.7016SPH Reit8,5002.631.0017Starhill Global Reit12,0002.580.69518Mapletree Com Tr4,8002.391.6119Frasers Com Tr4,9872.251.4620CapitaLand2,0002.083.3721Frasers L&I Tr6,0001.981.0722Bukit Sembawang1,0001.785.7723Sembcorp Indust1,8001.723.0924Ascendas Reit2,0001.632.6425Keppel InfraTr9,0001.380.49526SIA Engg1,5001.372.9527Frasers Property1,8000.941.6928Cache Log T

After a few months of retracting, equity market finally turned around this month. When the market closed on 28 September, STI rose 43.57 points, or 1.37% compared to last month, in line with the recovery of global equity market.My portfolio performed very well this month. Its value increased by 3.71% this month, out performing the ST Index.I did not make any trade this month, but received some shares from Mapletree Industrial Trust via scrip dividend scheme. I bought some CommerzBank bond during its IPO. This is in line with my current investment strategy to shift my investment focus towards fixed income investment.Total dividend received this month was S$7,145, 2/3 from UT/Bond and 1/3 from shares dividend.Below are my top 30 share holdings as at 28 September 2018.1.   &nbs

Performance of Straits Times Index (STI) Constituents in September 2018 The Straits Times Index (STI) ended 43.57 points or 1.36% higher to 3257.05 in September 2018.(compared to 3213.48 on 31-Aug-2018) Top Performers: Yangzijiang Shipbuilding, Sembcorp Industries, Thai Beverage, ST Engineering, Keppel Corp. Least Performers: Golden Agri-Resources, HongKong Land, Ascendas REIT, Dairy Farm, Venture Corp. Most Volatile: Golden Agri-Resources, Yangzijiang Shipbuilding, Thai Beverage, Sembcorp Industries, Keppel Corp. Advertisement Continue Reading »

Despite Singapore’s healthy economic fundamentals and strong corporate earnings performance in 2Q18, analysts are striking a more cautious tone. Analysts are touting that earnings momentum is expected to decelerate, bringing an end to 18 months of earnings upgrades. For 2018, consensus has slashed earnings per share (EPS) forecasts for the MSCI Singapore by 0.7 percentage point during August. The telecommunication sector, in particular, saw the greatest earnings downgrade. Management commentary during the 2Q18 earnings season also turned less positive as compared to three months ago. Corporations cited the growing trade tensions and recent property cooling measures as the reasons behind their gloomy outlook. Only a few companies experienced a material impact from trade war but the situat

Singapore Technologies Engineering Ltd (SGX: S63) is a conglomerate specialising in the aerospace, electronics, land systems and marine sectors. The group serves customers in the defence, government and commercial segments in over 100 countries. ST Engineering shares closed at S$3.57 apiece yesterday. At that price, the company had a dividend yield of 4.2%. In contrast, the SPDR STI ETF (SGX: ES3), an exchange-traded fund which can be taken as a proxy for the local stock market, had a yield of less than 4% on the same day. With a dividend yield that is higher than that of the stock market in general, a question naturally arises: Is ST Engineering’s dividend sustainable going forward? To find out if ST Engineering’s dividend is sustainable, we have to look at its free cash flow and div

Hi, everyone. Here are three things about the local stock market that you might be interested in today. 1. The Straits Times Index (SGX: ^STI) ended the day up 0.5%, or 16.9 points, to 3,236.08. Singapore Technologies Engineering Ltd (SGX: S63) shares rose the most today at 2.6% to close at S$3.57 each. Around two weeks ago, the conglomerate made public that it is expanding its business by acquiring MRA Systems, a firm that makes aircraft engine parts. This would allow ST Engineering to scale up its aerospace capabilities. On the other end of the winner-loser spectrum, the company that lost the most ground was Thai Beverage Public Company Limited (SGX: Y92); its shares went south by 1.4% to S$0.685 apiece. 2. Nico Steel Holdings Limited (SGX: 5GF) revealed that based on an initial assessm

NetLink NBN Trust Price – $0.78 Target – $0.95 NetLink NBN Trust (NetLink) has dominant market share of 90% for residential and 35% for non-residential fibre connections. The group added 24,600 residential connections in 1Q19 representing a 2.1% q-o-q increase, and there is still an untapped market of 300,000 residential homes not on fibre broadband. Meanwhile, NetLink also added 900 non-residential connections over the same period rising 2.1% having a competitive advantage in areas outside of CBD and business parks due to its extensive nationwide coverage. Entry of the fourth mobile operator causes no concern as TPG Telecom would be a customer of NetLink relying on its NBAP connections for backhaul transmission. We see NetLink as the most defensive stock listed on the SGX because of i

Singapore Technologies Engineering Ltd (SGX: S63), part of the Straits Times Index (SGX: ^STI), is a global technology, defence and engineering conglomerate specialising in the aerospace, electronics, land systems and marine sectors. The aerospace business segment is the largest for the group, and competes against the likes of SIA Engineering Company Ltd (SGX: S59). Last week, ST Engineering shares closed at S$3.53 apiece, up 6.3% for the week. On Friday (14 September) itself, its shares climbed 7.3%. In comparison, over the past week, the Straits Times Index added just 0.9%. With the massive rise in ST Engineering’s share price, many investors might be wondering: What is the reason behind the excitement? The most probable cause for ST Engineering’s shares to soar is its positive anno

The consensus is becoming wary of weaker-than-expected GDP growth and slower EPS growth. RHB thinks that investors should readjust their portfolio to seek shelter in plays that will do well in a weaker economic environment. Using a top-down strategy, RHB identified two investment themes to help investors identify which stocks to look at. Investors Takeaway: 2 Top Down Investment Themes To Position For 2H18 Investment Theme 1: Riding On The Macro Trend Of Rising Interest Rates With an expectation of four rate hikes this year, RHB thinks that SIBOR will continue to be pushed higher by US Federal Funds Rate. This bodes well for Singapore banks and should drive net interest margins up in banks. Thus, RHB highlights banks as one of its top-down investment themes. UOB Prior to the cooling mea

KGI recently released its investment strategy for the Singapore market in the next one year. Over the next 12 months, KGI recommends investors to sell into strength and start rebuilding into a defensive portfolio. Investors Takeaway: 3 Blue Chips To Make Your Portfolio Go On The Defensive Singapore Telecommunications Singtel has a well-diversified portfolio with 50 percent of pre-tax profits coming from regional associates. Its indicative dividend yield also looks attractive at 5.5 percent. Furthermore, consensus expects earnings to rebound by FY20 driven by potential earnings recovery of its Indian associate Bharti Airtel. Singtel has been showing significant recovery since hitting its low of $3.02. As such, KGI continues to recommend Singtel to be a part of the defensive portfolio.

In the current risk-off environment, we continue to highlight 4 blue chip dividend plays that OCBC recommends. Investors Takeaway: 4 Blue Chip Dividend Plays Yangzijiang Shipbuilding Holdings Yangzijiang Shipbuilding delivered a 110 percent increase in revenue and a 38 percent increase in net profit year-on-year. As such, 1H18 net profit accounted for about 65 percent of OCBC’s full year estimates, which is higher than expectations. The strong showing in revenue was due to the delivery of 20 vessels in 2Q18, compared to just four in 2Q17. The delivery of larger- sized vessels this quarter also helped Yangzijiang Shipbuilding in its earnings. Looking ahead, management sees a gradual recovery in the shipbuilding market, with the potential for higher margins in the bulker segment. Acc

Out of the universe of Singapore-listed companies that reported 2Q18 earnings, 29 percent bested UOBKH’s expectations. This is almost double of last quarter’s 15 percent, which makes 2Q18 one of the highest level of beats since 4Q16. In this article, we dive into the sector analysis of some of the top performing and underperforming sectors in 2Q18. UOBKH SG Report Card: How Did Each Sector Fare? Banks: Solid Performance But Outlook Affected By Uncertainty The banks managed to deliver solid earnings result in 2Q18. However, OCBC came out on top of DBS in this quarter by beating expectations. DBS uncharacteristically fell marginally below expectations but still managed to deliver on net interest margin (NIM) expansion. In that aspect, OCBC was still lagging behind with some catching u

Once again, earnings fell short in the recent quarterly results announcement. Moving forward, nearly every sectors’ earnings forecasts for FY19 were cut during the quarter as analysts continue to take a more conservative stance. With a more muted quarter expected going forward, CIMB recommends investors to focus on large caps that are either cheap, less bad or offer firm dividends. Investors Takeaway: 5 Blue Chips To Avoid Market Adversity ST Engineering According to CIMB, ST Engineering is riding on a few structural tailwinds. These tailwinds include heightened demand for cybersecurity and IOT solutions, upcycle engine maintenance and repair operations (MRO). This will continue to sustain strong order wins for the aerospace and electronics divisions. In terms of valuation, ST Engin

Top 30 in my portfolio: No. STOCK NAME No.of SHARES PORTFOLIO% MARKET $ 1SGX5,00011.717.412SATS4,0006.415.073UOB7476.3927.064SPH6,0005.312.805CapitaLand Mall Tr7,8005.272.146OCBC Bank1,4385.1311.307AIMSAMPI Cap Ind R10,0004.421.408Starhub7,0003.581.629Suntec Reit5,8003.431.8710FCT4,8003.422.3011CDL HTrust6,8003.351.5612Keppel Corp1,6003.306.5313SingTel3,1903.263.2314Keppel DC Reit7,4003.161.3515ParkwayLife Reit3,6003.052.6816SPH Reit8,5002.691.0017Starhill Global Reit12,0002.640.69518Mapletree Com Tr4,8002.471.6319Frasers Com Tr4,9872.241.4220CapitaLand2,0002.173.4321Frasers L&I Tr6,0002.091.1022Bukit Sembawang1,0001.926.0823Ascendas Reit2,0001.732.7424Sembcorp Indust1,8001.552.7325Keppel InfraTr9,0001.480.5226SIA Engg1,5001.402.9527Frasers Property1,8000.951.6728Cache Log Tr

STI continues its downward trend in August, as there wasn't any positive catalyst to stimulate the index. When market closed today, STI stood at 3,213.48, dropped 79.17 points or 2.4% from a month ago. My portfolio dropped with the index. Its value decreased 2.04% from last month.I did not make any trade this month, but received some Fraser Commercial Trust shares through scrip dividend scheme.Total passive income received this month was a stellar S$39,000! Dividend from two corporate bonds invested early this year boosted the dividend income and made it surpassed the dividend income from May.Below are my top 30 holdings as at 31 August 2018.1.         ComfortDelGro2.         M13.     &

Asia is set to lead the development of the Internet of Things (IoT) and Artificial Intelligence (AI) in the forthcoming decade. The Asia Pacific region excluding Japan is expected to account for about 40 percent of global IoT spending in 2018. According to DBS, IoT is at an inflexion point where adoption rate is starting to accelerate. 4 Ways IoT Will Redefine Businesses DBS believes that the advent of the IoT has the potential to redefine the way businesses and industries operate. There are four key ways in which the IoT will make a big difference for businesses. Level Playing Field For Tech Giants And Non-Digital Players For starters, IoT will level playing field on the data front between tech giants and non-digital players. It will allow players in non-digital domains to collect and

Following our coverage on REITs with emerging value, we move on to 5 other REITs that are becoming appealing to investors owing to a turnaround in industry tailwinds. Investors Takeaway: 5 REITs That Are Appealing Again Suntec REIT Suntec REIT has been on a slew of asset enhancement activities and acquisitions to grow revenue and is firming up plans to further enhance the value proposition of Suntec office. Part of its plan includes upgrading exercise to refresh lobbies, washrooms and visitor management systems over the next 3 years. Development of 9 Penang Road and 477 Collins Street are still ongoing. On top of that, it recently acquired an additional 25-percent stake in Southgate Complex. When these properties are completed, it will add steam to its income stream. BUY, TP $2.30; Curr