Wednesday, January 29, 2014

Time to buy Equities?

STI has dropped from a high of 3174 on 2 Jan 2014 to 3039 as of writing (on 29 Jan 2014). This represents a 4.25% dropped in a matter of 1 month. Although its not yet a bear market, the drop is deeper than a normal correction. Those who have been eyeing to buy some shares can consider nibbling into the market bit by bit. Value is starting to emerge if this drop continues.


Some blue chips have emerged with good yields. With their stable business nature, they can be a good long term investment. Among those with current yield of more than 4% are Singtel,SPH and Keppel Corp. Beside providing the possibility of capital appreciation, they have been distribution regular dividends to share holders and these easily beats the low interest that banks are giving at the moment.

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