*Official* General Market Chit Chat Thread - Part 2

[Dividends Warrior]

As a shareholder of banks, savers are our customers, so feel bad when they getting too little interests. When interest rates go up, banks can command a higher margin and pass some gains to savers, make them happy a bit, win win.

C'mon, nowadays the focus is on grabbing as many HNW fee-paying clients to join their private wealth units.

 

[Dividends Warrior]

No love for ST ENG here?

Its expansion into China turned out to be quite a disaster.

 

[Average]

No love for ST ENG here?

too expensive... i wanna buy below $3

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[Sinkie]

As a shareholder of banks, savers are our customers, so feel bad when they getting too little interests. When interest rates go up, banks can command a higher margin and pass some gains to savers, make them happy a bit, win win.

Savers is not the banks real customer lah. Lenders and investors are their real customers. Savers are only seeds that banks harvest. After harvest but nobody buy also no use

 

[limster]

Returns after regularly Investing in STI ETF in 2016

When STI ETF dropped from $3.00 to $2.98, got people in the forums think that STI is crashing. If you continued regular DCA of STI ETF in 2016, you will be happy if STI ends at $2.98 at the end of 2016.

What is interesting is that 2016 performance of STI ETF will be influenced by whether you benchmark it against the 30 Dec closing price or the 04 Jan closing price due to window dressing

30 Dec 2015 closing price $2.95
04 Jan 2016 closing price $2.90
(Source Yahoo Finance - hopefully it's accurate)

But whether you look at 04 Jan or 30 Dec closing price, regular investment in STI ETF in the course of the year should bring a positive return (unless STI crashes in the last few weeks of December which is rare because that's the window-dressing period).

Furthermore, STI ETF went ex-Div:

29 Jan - $0.056
29 Jul - $0.073
(from dividend.sg, hopefully I copied it correctly)


2016 STI ETF purchases
Jan $2.76
Mar $2.85
Apr $2.82
May $2.84
Jun $2.85
Jul Didn't buy - all money into BREXIT stocks
Aug Didn't buy - continuing post BREXIT purchases
Sep Didn't buy - rebuilding warchest after BREXIT
Oct $2.85
Nov $2.83
Dec Not buying -- too close to $3.00

 

[Average]

new low... not simpur

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[Average]

1.905 gg liao, more sellers...

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[Sinkie]

How banks maximize profit:

When there is rate hike, hike loan rate immediately but keep deposit rate at low.

Deposit rank is influenced by how risky the bank profile is la

I rather put in a bank that give me 0.05% la.

U can deposit in Greece bank also, I think is got 10% interest rate

The day dbs give u 10% interest rate for their normal bank account is the day u won't want la haha

 

[Average]

1.900 support jin scary... dk real anot?

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[Sinkie]

Actually I meant the timeframe different.

I think when it is the third or fourth hike, there will be a relax of cooling measure.

Loan rate is mainly determined by the sibor la. If they hike lending rate, many will default their loan or new lender may not even loan at all and economy will crash

 

[Kinetic88]

Deposit rank is influenced by how risky the bank profile is la

I rather put in a bank that give me 0.05% la.

U can deposit in Greece bank also, I think is got 10% interest rate

The day dbs give u 10% interest rate for their normal bank account is the day u won't want la haha

iirc some 20 yrs ago, New Zealand give 24% interest and many sinkies park their money there but subsequently, the NZ dollar devalue and wipe out all the gain and incur loses.

 

[Daimon]

What do you all think of the conjecture that Singapore property market will never collapse because

government is in control of the prices,

who doesn't pay their mortgages in Singapore,

demand from overseas buyers always there?

 

[akwl88]

What do you all think of the conjecture that Singapore property market will never collapse because

government is in control of the prices,

who doesn't pay their mortgages in Singapore,

demand from overseas buyers always there?

if moi no property, will affect me?

 

[Sinkie]

What do you all think of the conjecture that Singapore property market will never collapse because

government is in control of the prices,

who doesn't pay their mortgages in Singapore,

demand from overseas buyers always there?

Always think that property price is determined by the government by means of bto launch where the Govt set the price and also when government sell land for private in auction and then bid up by oversea developer

Price won't crash unless mortgage default rate start shooting up

 

[Daimon]

Always think that property price is determined by the government by means of bto launch where the Govt set the price and also when government sell land for private in auction and then bid up by oversea developer

Price won't crash unless mortgage default rate start shooting up

Who doesn't pay for their mortgages in Singapore?

 

[Takodoro]

Who doesn't pay for their mortgages in Singapore?

There are lots of societal problems in Singapore. Just that these are not surfaced out only.

 

[lockks]

Always think that property price is determined by the government by means of bto launch where the Govt set the price and also when government sell land for private in auction and then bid up by oversea developer

Price won't crash unless mortgage default rate start shooting up

For that to happen economy must be very bad. So far we haven't reach the stage yet.

 

[mcsane]

When STI ETF dropped from $3.00 to $2.98, got people in the forums think that STI is crashing. If you continued regular DCA of STI ETF in 2016, you will be happy if STI ends at $2.98 at the end of 2016.

What is interesting is that 2016 performance of STI ETF will be influenced by whether you benchmark it against the 30 Dec closing price or the 04 Jan closing price due to window dressing

30 Dec 2015 closing price $2.95
04 Jan 2016 closing price $2.90
(Source Yahoo Finance - hopefully it's accurate)

But whether you look at 04 Jan or 30 Dec closing price, regular investment in STI ETF in the course of the year should bring a positive return (unless STI crashes in the last few weeks of December which is rare because that's the window-dressing period).

Furthermore, STI ETF went ex-Div:

29 Jan - $0.056
29 Jul - $0.073
(from dividend.sg, hopefully I copied it correctly)


2016 STI ETF purchases
Jan $2.76
Mar $2.85
Apr $2.82
May $2.84
Jun $2.85
Jul Didn't buy - all money into BREXIT stocks
Aug Didn't buy - continuing post BREXIT purchases
Sep Didn't buy - rebuilding warchest after BREXIT
Oct $2.85
Nov $2.83
Dec Not buying -- too close to $3.00

i actually got lucky.. have been doing DCA STI decided to do additional stock-picking early in FEB 2016.. only reason was my ETF was down by 15% if i could recall..

Sti was 2.5k.. selected a few stocks like ocbc, dbs, st eng and a few reits.. super lucky.. now all of them riding on 20-30% gain.

dunno how to add further unless theres another major crash

 

[Sinkie]

Who doesn't pay for their mortgages in Singapore?

Who pay mortgage in full cash without using cpf?

 

[mcsane]

Who pay mortgage in full cash without using cpf?

people like ASSI, whos advising ppl to repay their fully paid ppty funded by cpf using cash.

actually its a pretty awesome idea.