Recommendations for investment first timer

[KnobKnob]

Have around 200k cash ready to be set aside for investment.

How should I go about investing? Which ETFs? Which companies shares have good value now?

 

[fade_white]

All in dbs

 

[articland05]

DBS won't go wrong

 

[s-ghost]

以过来人的经验跟你说，

别过来

 

[d3n]

i am also very new, but i doing the DCA method cos i don't have lump sum like you..

below is my current investments:

- DBS (via OCBC blue chip investment)
- UOB Cash+ Extra (note that UOB AM acquired by Allianze Global liao...)
- UOB Gold+ (note that UOB AM acquired by Allianze Global liao...)
- Amova SG STI ETF (I invest this for my DBS multiplier to get more interest lol...)

 

[wutawa]

cspx

(vested in cspx)

 

[106gunner]

 

[limster]

If you want to invest your hard-earned money based on what people say in an anonymous internet forum, then DBS.

 

[KnobKnob]

Why you all like dbs

 

[d3n]

Why you all like dbs

Ok lah singapore top bank for the time being… will not closed down. Even if stocks went down still got dividends to collect…

 

[Andrew833]

Have around 200k cash ready to be set aside for investment.

How should I go about investing? Which ETFs? Which companies shares have good value now?

Invest in learning first.

 

[Lao_Tiko]

That's 200K of dry powder.

But if you must deploy then $10K in VWRD,$10k in VDPX and $10k in MBH.

Leave $130k for when the global market spews.

That which has been is what will be, That which is done is what will be done, And there is nothing new under the sun.

 

[lousylah]

whatever you do, DO NOT buy any bond funds. even the "safest" government bonds are bleeding.

and yes, DBS for the win!

 

[trave1er]

It's fine to ask for ideas (even on any anonymous internet board), but It's very important to understand what you're investing in first.

Because if you don't understand, you're much more likely to panic sell when the market has a bad day or days.

 

[BBCWatcher]

Have around 200k cash ready to be set aside for investment.
How should I go about investing? Which ETFs? Which companies shares have good value now?

I'm making these assumptions:

• you are investing for the long term (for retirement);
• you plan to retire in Singapore;
• you are not a U.S. person;
• any insurance necessities are already secured;
• you have already paid off high interest rate debt;
• you have already set aside at least 6 months of emergency reserve funds in some combination of an ordinary bank account, Singapore Savings Bonds, and/or (to the extent you're paying a mortgage) CPF Ordinary Account savings;
• you'll take advantage of CPF and SRS optimization opportunities, often with tax relief. (You might use CPF OA and SRS dollars for some investing.);
• you'll continue dollar cost averaging additional savings into long-term investments over the next many years/decades.

Lesson #1: Do NOT invest in single stocks, with one exception: buying your employer's stock via an Employee Stock Purchase Program (ESPP) that provides a discount. You should periodically sell your ESPP shares so that they never represent a significant portion of your net worth, to keep single stock risks until control.

Now let's look at some examples of what not to do....

i am also very new, but i doing the DCA method cos i don't have lump sum like you..
below is my current investments:
- DBS (via OCBC blue chip investment)
- UOB Cash+ Extra (note that UOB AM acquired by Allianze Global liao...)
- UOB Gold+ (note that UOB AM acquired by Allianze Global liao...)
- Amova SG STI ETF (I invest this for my DBS multiplier to get more interest lol...)

This post is an example of an extremely poorly diversified investment portfolio. It's extremely vulnerable to single stock/asset risks and to single country/currency risks.

cspx
(vested in cspx)

This post is a little better, but it's still less diversified than a global stock index fund would be, and it lists no bond component (even for periodic rebalancing). Some years U.S.-listed stocks performed better than the global average, some years not. Last year was a "not": stocks that happened to be listed/traded in the U.S. fared less well than the total global stock index.

That's 200K of dry powder.
But if you must deploy then $10K in VWRD,$10k in VDPX and $10k in MBH.
Leave $130k for when the global market spews.
That which has been is what will be, That which is done is what will be done, And there is nothing new under the sun.

This post combines two bad ideas for long-term investors: overweighting stocks traded in one geography's stock markets and trying to time markets.

whatever you do, DO NOT buy any bond funds. even the "safest" government bonds are bleeding.
and yes, DBS for the win!

This post combines three bad ideas: completely excluding bonds from your long-term investment portfolio, trying to time (bond) markets, and investing in a single stock.

My suggestion is to decide what your risk tolerance is based primarily on your investment time horizon — how many more years until you retire, and then how many years of retirement you'll need to support — and then invest in a couple low-cost index funds in percentages that align with your risk tolerance. If you want a "2 fund strategy" it would be a low cost global stock index fund and an investment grade corporate bond index fund. If you want a "3 fund strategy" you'd likely add a relatively small allocation to the Straits Times Index (STI) stocks. My current favorite low-cost long-term investment funds are listed here.

While you could slam the whole S$200K sum into long-term investments on one go, if you feel more comfortable you could split that into 10 monthly installments of $20K each. But I wouldn't take any longer than that to reposition.

 

[d3n]

This post is an example of an extremely poorly diversified investment portfolio. It's extremely vulnerable to single stock/asset risks and to single country/currency risks.

boh bian... me no confidence in foreign stock and i just building a small investment portfolio for my retirement to earn dividends only

 

[BBCWatcher]

boh bian... me no confidence in foreign stock and i just building a small investment portfolio for my retirement to earn dividends only

You're basically scr*wed if something "bad" happens to the Singapore dollar, to a single stock, to a single precious metal, or to a single country. (For example, did you know that DBS's stock price fell "only" 71% in Singapore dollar terms during the Global Financial Crisis, peak to trough? That 71% easily exceeded the drop in the overall global stock index over the same period.) You've got a lot of portfolio risk. Which you're free to do, of course. But portfolio diversification makes a huge amount of sense to manage investment risks. It's a general best practice, especially for non-billionaire long-term investors.

 

[d3n]

You're basically scr*wed if something "bad" happens to the Singapore dollar, to a single stock, to a single precious metal, or to a single country. (For example, did you know that DBS's stock price fell "only" 71% in Singapore dollar terms during the Global Financial Crisis, peak to trough? That 71% easily exceeded the drop in the overall global stock index over the same period.) You've got a lot of portfolio risk. Which you're free to do, of course. But portfolio diversification makes a huge amount of sense to manage investment risks. It's a general best practice, especially for non-billionaire long-term investors.

still learning.

 

[limster]

boh bian... me no confidence in foreign stock and i just building a small investment portfolio for my retirement to earn dividends only

There have been some people who have been hating on Singapore stocks for the last 10+ years. To them, DBS can go to $0 any time.

When I buy a good dividend stock like OCBC, UOB, and DBS at a good price, it doesn't matter to me whether the stock price go up or down as long as the bank fundamentals are sound. If the bank has sound fundamentals, I expect it to remain profitable and pay dividend. I will happily collect the dividend whatever the share price.

On the other hand, haters will say dividend can go to $0, but please look at the 20+ year dividend history of the 3 banks and DYODD....

Myself, I initially targeted a 50/50 split between foreign and local stocks, mostly those that pay good dividend. But I think currently the majority of my portfolio is foreign stock.

 

[d3n]

There have been some people who have been hating on Singapore stocks for the last 10+ years. To them, DBS can go to $0 any time.

When I buy a good dividend stock like OCBC, UOB, and DBS at a good price, it doesn't matter to me whether the stock price go up or down as long as the bank fundamentals are sound. If the bank has sound fundamentals, I expect it to remain profitable and pay dividend. I will happily collect the dividend whatever the share price.

Please DYODD and make your decision.

Myself, I initially targeted a 50/50 split between foreign and local stocks, mostly those that pay good dividend. But I think currently the majority of my portfolio is foreign stock.

i think buying DBS is still generally safe, i doubt they will close down and cease operation. so for starter i think not that bad.... me is DCA method since I don't have a lump sum to whack.

initially i thought of buying all 3 banks but cos my monthly DCA amount is low, so decided to just focus on DBS first.