Investing in Singapore Stock Market in 2013

We have another three weeks to the end of 2013. The Straits Times Index (STI) was down 1.67% from the start of the year (3,114 points at 6 December). So how is the performance of my portfolio, which was invested in stocks, REITs, retail bonds, and preference shares?

Through the year, I received dividends, coupons (interests) and profits made on sale of stocks. Between end of 2012 and this year, my portfolio was increased by further purchases than sales of stocks. Have I done the right thing by actively managing my portfolio?

I add up all cash received resulting from income and realised capital gains (sum denoted as X). I then deduct the paper loss (between current valuation and cost of purchase) from that sum X. With this net amount, the rate of return was 2.41% on average total portfolio costs.

Had I stayed passive and did not invest in Singapore stock market and place the portfolio in bank fixed deposits, I would only get about 1.0% per annum. This is lower return from active investing.

Singapore stock market was a difficult market this year. It was really challenging to make good return.

Copyright © 2013, limkimtong for Living Investment

The material presented is intended to be general and written in layman’s language as much as it is possible. The author shall not be liable for any direct or consequential loss arising from any use of material written. Please seek professional advice from your financial advisor or financial institutions on material written covering financial matters.

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One Response to Investing in Singapore Stock Market in 2013

  1. limkimtong says:

    If you want to compare with passive investing in ETF, consider the cost price you purchased your ETF and the current value of that ETF. The difference can be added to dividends received in the one year period. Then calculate return against cost of investing in the ETF. It will be more meaningful if the ETF is held for at least one year.

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