Any dividends etf/stocks/bond to purchase for DBS multiplier

[Converged]

In order to satisfy the investment category by receiving dividends every month and there is a potential growth of the investment

I understand SSB is one of the most viable methods, but it does not have potential growth and the interest rate is decreasing - 1.71% av. pa for 10 years according to dec ssb.

Just curious, why people dont purchase other SGX stocks/ s-reit with monthly dividends to hit this category? I must have miss sth out!

Please advise! THANKS

 

[livingcharsiew]

every month you can find good stock to buy?
$10 commission eat into your return also

 

[Converged]

every month you can find good stock to buy?
$10 commission eat into your return also

Maybe buy 3 times if its quarterly dividends payout? I thought receiving dividends in cdp also qualify as a investment category?

Posted from PCWX using kkj

 

[livingcharsiew]

Maybe buy 3 times if its quarterly dividends payout? I thought receiving dividends in cdp also qualify as a investment category?

Posted from PCWX using kkj

then you need to find stocks or reits that pay on those months
what if fundamentals of those stocks change? you need to sell unless you want to lose your capital just to receive dividends every month

 

[limster]

In order to satisfy the investment category by receiving dividends every month and there is a potential growth of the investment

I understand SSB is one of the most viable methods, but it does not have potential growth and the interest rate is decreasing - 1.71% av. pa for 10 years according to dec ssb.

Just curious, why people dont purchase other SGX stocks/ s-reit with monthly dividends to hit this category? I must have miss sth out!

Please advise! THANKS

if you are able to pick good stocks that give positive returns, you would not be worrying about DBS multiplier interest because the returns from stocks can easily be 10x more than multiplier interest

 

[maple96]

In order to satisfy the investment category by receiving dividends every month and there is a potential growth of the investment

I understand SSB is one of the most viable methods, but it does not have potential growth and the interest rate is decreasing - 1.71% av. pa for 10 years according to dec ssb.

Just curious, why people dont purchase other SGX stocks/ s-reit with monthly dividends to hit this category? I must have miss sth out!

Please advise! THANKS

I prefer RSP into UT at $100 per mth, cost less than $1 per mth, after 12mths terminate and buy another RSP UT. This helps me earn up to 3.65% pa, many times more than the $12 I pay pa for the UT. I also get quarterly dividends from the UT, todate, still +ve after 7-8mths.

Only need capital of 1200 vs 3k for SSB.

 

[Converged]

I prefer RSP into UT at $100 per mth, cost less than $1 per mth, after 12mths terminate and buy another RSP UT. This helps me earn up to 3.65% pa, many times more than the $12 I pay pa for the UT. I also get quarterly dividends from the UT, todate, still +ve after 7-8mths.

Only need capital of 1200 vs 3k for SSB.

It only works for first 12 consecutive months? What do u mean by terminate?

 

[hwmook]

It only works for first 12 consecutive months? What do u mean by terminate?

RSP only count for 12 months, after which you need to buy another UT. I have almost completed my 2nd 12 months of RSP, need to terminate and buy another one again.

 

[Converged]

RSP only count for 12 months, after which you need to buy another UT. I have almost completed my 2nd 12 months of RSP, need to terminate and buy another one again.

Do i need to sell off the stocks i bought?

Posted from PCWX using kkj

 

[maple96]

If thats the case then logically i can do counter A 12 months, then counter A & B for 2nd 12 months, then counter A & C for 3rd 12 months right?

This is if I'm planning to dca counter A for long term.

Posted from PCWX using kkj

If u want to keep RSP A (ETF or UT) for long term, u can continue RSP. On the 13th mth just start a new RSP with a different fund (ETF or UT), only this one will be eligible for multiplier interest.

Do i need to sell off the stocks i bought?

Posted from PCWX using kkj

If u terminate RSP A, do not need to sell the fund if u want to hold. However if u want to buy the RSP A again in the 3rd 12th mth cycle, u must sell it at least 6mths before u buy to qualify.

(terminate means stop the RSP ie stop mthly deduction without selling. u can then redeem/sell anytime later, or reactivate it ie continue mthly deduction if u want)

 

[polyglob]

I prefer RSP into UT at $100 per mth, cost less than $1 per mth, after 12mths terminate and buy another RSP UT. This helps me earn up to 3.65% pa, many times more than the $12 I pay pa for the UT. I also get quarterly dividends from the UT, todate, still +ve after 7-8mths.

Only need capital of 1200 vs 3k for SSB.

How is the annual total return of RSP into UT versus buying say every 3 months $300 into one of the index ETFs always recommended here?

 

[maple96]

How is the annual total return of RSP into UT versus buying say every 3 months $300 into one of the index ETFs always recommended here?

Someone else has to answer your question.

That was my first RSP UT just to earn more multiplier interest, not with investment objective. I chose RSP UT which has less volatility to minimise potential capital loss at end of 12mths, to make my additional multiplier interest worthwhile.

It is similar in objective used by those who buy "the cheapest insurance" just to earn additional multiplier interest for 12mths, then terminate and buy again.

(note: I get cashback for fee paid on the RSP UT due to promo )

 

[weng0202]

I prefer RSP into UT at $100 per mth, cost less than $1 per mth, after 12mths terminate and buy another RSP UT. This helps me earn up to 3.65% pa, many times more than the $12 I pay pa for the UT. I also get quarterly dividends from the UT, todate, still +ve after 7-8mths.

Only need capital of 1200 vs 3k for SSB.

Another way to look at it is once you have the ssb ladder set up, you do not need to do this investment thing for the next 10 years. So it is "easier" then buying and changing the UT every year.

 

[maple96]

Another way to look at it is once you have the ssb ladder set up, you do not need to do this investment thing for the next 10 years. So it is "easier" then buying and changing the UT every year.

U are going back to square one

TS already knows and asking for alternative, I shared my alternative which I only use 1200 vs your SSB of 3k. I earn bonus interest immediately, u have to wait 6 mths. I dun mind doing it every 12mths, like what other people have to do for insurance. I have short term view as multiplier criteria can change just like OCBC 360 have been changing. My 1800 (3k SSB less 1200 RSP) can earn more "interest", I just do 50x6 (300) I get $20 every 6mths

 

[weng0202]

U are going back to square one

TS already knows and asking for alternative, I shared my alternative which I only use 1200 vs your SSB of 3k. I earn bonus interest immediately, u have to wait 6 mths. I dun mind doing it every 12mths, like what other people have to do for insurance. I have short term view as multiplier criteria can change just like OCBC 360 have been changing. My 1800 (3k SSB less 1200 RSP) can earn more "interest", I just do 50x6 (300) I get $20 every 6mths

I see what you mean. Which UT are you buying? I saw on dbs website there are quite a few.

 

[endlssorrow]

If buy monthly STI also not counted right?
Coz dividend not deposit into monthly lei

 

[Converged]

If u want to keep RSP A (ETF or UT) for long term, u can continue RSP. On the 13th mth just start a new RSP with a different fund (ETF or UT), only this one will be eligible for multiplier interest.



If u terminate RSP A, do not need to sell the fund if u want to hold. However if u want to buy the RSP A again in the 3rd 12th mth cycle, u must sell it at least 6mths before u buy to qualify.

(terminate means stop the RSP ie stop mthly deduction without selling. u can then redeem/sell anytime later, or reactivate it ie continue mthly deduction if u want)

Thanks! Just curious - how did you get this info? Is this what you're currently doing or did u dig this information from their website? Tried finding this piece of info but to no avail - not in the dbs multiplier FAQ as well

 

[maple96]

Thanks! Just curious - how did you get this info? Is this what you're currently doing or did u dig this information from their website? Tried finding this piece of info but to no avail - not in the dbs multiplier FAQ as well

I always dig for information to confirm my understanding before I play with anything. ie always do my own due diligence, I only believe in myself and my own work. As I mentioned, this is my first RSP UT and into 8th mth deduction tomorrow.

U can find some info in multiplier FAQ, the rest u need to read up FAQ on POSB Investsaver = https://www.posb.com.sg/personal/investments/other-investments/invest-saver

ok there is one error in my previous post, ie u can only start the RSP on the same fund after 6mths from the termination of the previous RSP on the same fund and must have sold/redeemed it (this sell/redeem need not be 6mths before u can start the next RSP if u had terminated more than 6mths).

 

[5408854088]

I always dig for information to confirm my understanding before I play with anything. ie always do my own due diligence, I only believe in myself and my own work. As I mentioned, this is my first RSP UT and into 8th mth deduction tomorrow.

U can find some info in multiplier FAQ, the rest u need to read up FAQ on POSB Investsaver = https://www.posb.com.sg/personal/investments/other-investments/invest-saver

ok there is one error in my previous post, ie u can only start the RSP on the same fund after 6mths from the termination of the previous RSP on the same fund and must have sold/redeemed it (this sell/redeem need not be 6mths before u can start the next RSP if u had terminated more than 6mths).

some unit trust have minimum initial investment amount like $1k to $5k, will this be applicable if subscribed under the RSP?

 

[maple96]

some unit trust have minimum initial investment amount like $1k to $5k, will this be applicable if subscribed under the RSP?

From DBS website RSP UT FAQ page https://www.dbs.com.sg/personal/ibanking/faq/rsp.page

"Is there a minimum/maximum amount to invest monthly?

Yes. There is a minimum investment amount of $100 monthly."

My comments:
If the UT is eligible for RSP, min is $100 per mth.