STI ETF

[audiovideo]

Why would people still want to invest in STI ETF if it is a bad investment? Sounds like those who bought it have made a big mistake.

 

[NewInvestor]

Why would people still want to invest in STI ETF if it is a bad investment? Sounds like those who bought it have made a big mistake.

Reddevil seems to suggest that we must buy STI ETF because it is the patriotic thing to do. By our buying that, our local companies will do better leading to more jobs for locals.

 

[d5dude]

Guess you aren't seeing it still. Firstly I said "in addition to many many other reasons".

Secondly...

have you asked yourself why we have low taxes? If the economy is not doing well, which resulted in lower tax revenue, and because the economy isn't doing well, the government have to step up aid to the people but they don't have as much tax revenue for them to do so, what do you think they will do next?

Same goes why why do you think Singapore has good rule of law, good infrastructure and cheap/good workforce?

If Singtel or other similar firms can't earn enough to invest in infrastructure, do you think we will still have good infrastructure?

Singtel doing poorly might not have a direct impact on like Apple or Google, but you don't see the greater downstream repercussion? Those big local companies employ a large chunk of the local work force. If they don't do well, and have to retrench people, and Singapore has high unemployment, which resulted in depressed consumer spending, which in turn have much greater repercussions.

I think you are way off base but I dun want to write a WOT to rebutt you because as I said earlier, all these is irrelevant, investing in a bad company isn't going to turn it into a good company.

As I said, in terms of investment, those people who are more well read might find way better investments out there as compared to STI ETF, but one shouldn't talk down (curse) the STI ETF just because they aren't getting the the returns they want from it, unless one, or friends and family doesn't work in Singapore. That's my point

Well on a theoretical basis, you are right, why not invest in something else that is better.

But the world doesn't always operates on theory. There could be many other reasons, so hence "different strokes for different folks"? People want to invest in STI ETF because it is a "bad investment" is their problem no? Why you so angst for them?

This is really funny, you speak as if talking down a good investment is going to make it bad (and vice versa).

I think you are vested and is just worried that people will not put money into ES3 as more people say bad things about it. We are all small investors here, nobody has the power to move STI so dun worry about it.

 

[reddevil0728]

Why would people still want to invest in STI ETF if it is a bad investment? Sounds like those who bought it have made a big mistake.

Because there are people might not see it as a bad investment? Not sure if that answers your question.

It’s like why some people like to eat durian and some don’t.

Reddevil seems to suggest that we must buy STI ETF because it is the patriotic thing to do. By our buying that, our local companies will do better leading to more jobs for locals.

nope, your interpretation is wrong.

I’m just suggesting. If you think it’s a bad investment, just don’t invest. Others who don’t think is a bad investment just invest.

Don’t have to curse STI ETF. Cursing STI ETF is akin to asking oneself or friends and family to be retrenched.

 

[d5dude]

Why would people still want to invest in STI ETF if it is a bad investment? Sounds like those who bought it have made a big mistake.

Sunk cost fallacy.

 

[reddevil0728]

I think you are way off base but I dun want to write a WOT to rebutt you because as I said earlier, all these is irrelevant, investing in a bad company isn't going to turn it into a good company.



This is really funny, you speak as if talking down a good investment is going to make it bad (and vice versa).

I think you are vested and is just worried that people will not put money into ES3 as more people say bad things about it. We are all small investors here, nobody has the power to move STI so dun worry about it.

Nope. In fact I’m not suggesting one should or should not invest in a “bad” company unlike you. I’m suggesting, what people want to do with their money is their own prerogative, so you can keep asking yourself why people want to throw their money away, the answer is the same. You see it as throwing it away, but people don’t. So just let them be?

So you are saying you are not vested in the Singapore economy and you are more than happy to be retrenched?

 

[d5dude]

Nope. In fact I’m not suggesting one should or should not invest in a “bad” company unlike you. I’m suggesting, what people want to do with their money is their own prerogative, so you can keep asking yourself why people want to throw their money away, the answer is the same. You see it as throwing it away, but people don’t. So just let them be?

So you are saying you are not vested in the Singapore economy and you are more than happy to be retrenched?

I'm not stopping anyone from doing anything, what they want to do with their money is their business. You need to understand that this is forum dedicated to discussing stocks, so there will be people who will say positive or negative things about the stocks or ETFs that you own.

I'm saying investing in STI isn't going to change anything... what will be will be. I dun hope that it turns out to be bad, but the reality is things have been bad for many years now and it doesn't seem to be getting any better.

 

[NewInvestor]

Because there are people might not see it as a bad investment? Not sure if that answers your question.

It’s like why some people like to eat durian and some don’t.

nope, your interpretation is wrong.

I’m just suggesting. If you think it’s a bad investment, just don’t invest. Others who don’t think is a bad investment just invest.

Don’t have to curse STI ETF. Cursing STI ETF is akin to asking oneself or friends and family to be retrenched.

1. Expressing one's opinion that there are better investments than STI ETF is not cursing the STI ETF

2. Cursing the STI ETF will not cause it to do worse n neither will it cause people to be entrenched.

 

[Mr. Wood]

actually there are pple out there cursing STI waiting to fail. and the irony is dat the same person keep on singing pap praises.
not saying is anyone here, but personally came across such pple in real live.

 

[NewInvestor]

actually there are pple out there cursing STI waiting to fail. and the irony is dat the same person keep on singing pap praises.
not saying is anyone here, but personally came across such pple in real live.

I rather people leave politics out of SSI.

 

[P R N D]

Raising Stock market doesn't mean Jobs will be saved.

You see before companies share price surged after retrenching staffs, cutting cost.

Another example: US stock market.

Market Chiong up but many people on the streets are jobless.

Sent from Mercedes-Benz E250 using GAGT

 

[Iyarash11]

I'm happy to claim usd600 weekly

 

[Leehom]

I am learning alot from the various lively comments here.

STI ETF does seem to be lagging (alot!) when compared to bigger index like S&P 500. If so, does one put money on S&P 500?

I suppose different market segments cater to different folks. There are some who would put their cash in fixed deposits. Some who favour bonds. Some who prefer equities. Some who trust cryptocurrencies. Some who do FX, Some who dabble with gold. Some believe in real estate. There would be no end to the comparisons, and that is the beauty of investment - the sheer variety that either amazes you or deters you.

We usually invest in what know of, what we believe in and are comfortable with. No doubt overseas markets do give greater returns, albeit with greater risk.

I personally am vested in ES3 as I like the diversification, stability (low volatility) and predictable dividends (of about 4.5%) it offers. I do stay vested in some Reits too. I am not familiar with the US or HK markets (a pity that some would exclaim!).

I reckon the constituents in STI would be reviewed regularly. Just as MSCI Singapore did a review recently : https://www.businesstimes.com.sg/stocks/msci-singapore-exclusions-shave-s863m-off-market-value

Crisis like now should provide clearer evidence for companies that should be added or deleted from the STI constituents. I definitely look forward to it!

I do appreciate the frank and open suggestions here. It does make me reconsider how I should deploy my money. However, I still place my faith in Singapore. Coz this home? Haha

 

[weng0202]

Finally going up, hope can break above resistance.

 

[MikeL09]

Raising Stock market doesn't mean Jobs will be saved.

You see before companies share price surged after retrenching staffs, cutting cost.

Another example: US stock market.

Market Chiong up but many people on the streets are jobless.

Sent from Mercedes-Benz E250 using GAGT

There's a big disconnect between US markets and reality on the ground. Over 30 million jobless, and akan datang...unemployment data cld be nearing 20%, and all 3 indices hv chionged /r chionging up?

I liquidated all my US counters last wk except Disney, which didn't quite hit my exit price. Will wait for the next big dip.

Storm clouds r building. Eyes r now being trained on US-listed China cos. w potential delisting. Scary thing is these eyes hv bipartisan support. Granted, it will take 2-3 yrs w Wall St n vested parties' fight back, but for China counters, it means clipped wings. China fired its preemptive salvo today w suspension of US farm goods imports. Phase 1 trade deal cld be on the line. Meanwhile, protests hv spread, Trump is hiding in his hole from angry mobs just outside the White Hse.

Humpty Dumpty is gonna hv a great fall.
Sti etf may be dull and languishing, but the flipside is that it is safer.LOL

 

[NewInvestor]

There's a big disconnect between US markets and reality on the ground. Over 30 million jobless, and akan datang...unemployment data cld be nearing 20%, and all 3 indices hv chionged /r chionging up?

I liquidated all my US counters last wk except Disney, which didn't quite hit my exit price. Will wait for the next big dip.

Storm clouds r building. Eyes r now being trained on US-listed China cos. w potential delisting. Scary thing is these eyes hv bipartisan support. Granted, it will take 2-3 yrs w Wall St n vested parties' fight back, but for China counters, it means clipped wings. China fired its preemptive salvo today w suspension of US farm goods imports. Phase 1 trade deal cld be on the line. Meanwhile, protests hv spread, Trump is hiding in his hole from angry mobs just outside the White Hse.

Humpty Dumpty is gonna hv a great fall.
Sti etf may be dull and languishing, but the flipside is that it is safer.LOL

Wah u paint a scary picture.

 

[Mecisteus]

I'm also Singaporean so I want the country to do well too, but the reality is that many things have gone wrong in the last few years, this is why our local companies have done so poorly. Many companies on the STI are in terminal decline because they simply have not caught up with the world, many of them are just poorly run, the only stuff thats worked are reits, but thats just living off the land, it won't work forever.

Developed economies can have high quality companies too, I dun think it has much to do with expected returns.

1) Regions tend to rotate to outperform and underperform in the short and mid term. STI had been underperforming compared to US in the last 10 years. There is no certainty that STI will continue to underperform compared to the other markets.

Look at Japan. Japanese market was underperforming post 1989 but the market had done well in the last 10 years.

2) Conventional wisdom is to invest some money in your own local market and some money in a global market. If STI is not your local market, will you be concentrating your bets on the past hot regions or sectors?

 

[d5dude]

1) Regions tend to rotate to outperform and underperform in the short and mid term. STI had been underperforming compared to US in the last 10 years. There is no certainty that STI will continue to underperform compared to the other markets.

Look at Japan. Japanese market was underperforming post 1989 but the market had done well in the last 10 years.

2) Conventional wisdom is to invest some money in your own local market and some money in a global market. If STI is not your local market, will you be concentrating your bets on the past hot regions or sectors?

I dun invest for short term outperformance, thats what fund managers do. I look at long term, like 20-30 years. Its true that Japan has done very well in the last 10 years, but thats only because 2010 was a low base year, over 20-30 years its actually done quite poorly. That said I do have Japan in my portfolio because its 8% of VTI.

I believe in proper diversification and not making big bets on things that are unpredictable. Singapore is a very small market, its like a penny stock in the world of index tracker funds, its very risky to allocate 50% of one's stock portfolio to it like what some people recommend doing. STI being only 30 stocks with 3 banks and some real estate play making up the bulk of it only makes it more risky.

 

[Mecisteus]

I dun invest for short term outperformance, thats what fund managers do. I look at long term, like 20-30 years. Its true that Japan has done very well in the last 10 years, but thats only because 2010 was a low base year, over 20-30 years its actually done quite poorly. That said I do have Japan in my portfolio because its 8% of VTI.

I believe in proper diversification and not making big bets on things that are unpredictable. Singapore is a very small market, its like a penny stock in the world of index tracker funds, its very risky to allocate 50% of one's stock portfolio to it like what some people recommend doing. STI being only 30 stocks with 3 banks and some real estate play making up the bulk of it only makes it more risky.

VTI and STI are 2 good combinations for the layman investor.

Probably 80-20 allocation is good enough for the equity portion.

 

[InterestingStuff]

I dun invest for short term outperformance, thats what fund managers do. I look at long term, like 20-30 years. Its true that Japan has done very well in the last 10 years, but thats only because 2010 was a low base year, over 20-30 years its actually done quite poorly. That said I do have Japan in my portfolio because its 8% of VTI.

I believe in proper diversification and not making big bets on things that are unpredictable. Singapore is a very small market, its like a penny stock in the world of index tracker funds, its very risky to allocate 50% of one's stock portfolio to it like what some people recommend doing. STI being only 30 stocks with 3 banks and some real estate play making up the bulk of it only makes it more risky.

3 banks 1 utilities and reit

i agree sti is shiat when it tracks the emerging markets, where you can buy better emerging markets etf or stocks