SG Banks Slips! What’s Your Time Span for Holding Banks?
Singapore’s three banking giants — $DBS(D05.SI)$ , $OCBC Bank(O39.SI)$ , and $UOB(U11.SI)$ — have all retreated recently, as investors brace for an expected Fed rate cut cycle. The question now is: where’s the focus when growth slows but dividends stay strong?
DBS: The Dividend Anchor
DBS just delivered another solid quarter — total revenue up 6% YoY to S$5.9B and net profit at S$2.9B, slightly lower due to global minimum tax adjustments.
Still, the bank rewarded shareholders with a S$0.75 per-share dividend, up nearly 39% YoY, including a special S$0.15 capital return.At current levels (~S$54.8), that’s a ~5.5% yield — one of the highest in the region.
Why Dividends Matter Now
As rates begin to normalize, net interest margins (NIMs) may soften, but banks like DBS remain supported by:
Record fee income from wealth management and cards
Strong balance sheets and stable credit quality
Continued buybacks and payout growth signaling confidence
With yield curves flattening, investors are shifting from rate-driven earnings toward cash flow visibility and sustainable dividends.
Other dividend plays are attracting renewed attention:
$Singtel(Z74.SI)$ offers ~7% yield, boosted by a value-unlock payout.
$ST Engineering(S63.SI)$ and $SATS(S58.SI)$ show steady recovery but lower yields.
💬 Your Turn
Rate cuts are coming — but dividends remain strong. So, investors, what’s your move?
1. Prefer holding for income (dividend play)?
2. Rotating into growth or cyclical?
3. Or just waiting for a better entry after the pullback?
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儘管如此，該銀行仍以每股0.75新元的股息獎勵股東，同比增長近39%，其中包括0.15新元的特別資本回報。按照目前的水平（約54.8新元），收益率約爲5.5%，是該地區最高的收益率之一。
All 3 Singapore banks have a phenomenal track record of capital growth - and at the same time maintaining consistent dividends.
I am a long term investor of all 3 banks and they have rewarded me with great dividends and fantastic capital growth. Despite the recent pullbacks I am not selling as it is hard to find such great Singapore stocks to buy and hold long term.
@Tiger_SG @Tiger_comments @TigerStars @CaptainTiger @TigerClub
At the same time, I keep a separate growth portfolio targeting sectors like technology and AI, where structural trends continue to drive earnings expansion. This helps balance the slower but steadier returns from dividend stocks, giving me exposure to both stability and long-term upside.
Rather than rotating fully into one side, I stay flexible — adding selectively during market pullbacks. If bank valuations dip further, I’ll top up for yield; and if growth names correct, I’ll accumulate for capital appreciation. This dual approach lets me capture both income stability and future growth potential.
@Tiger_SG @Tiger_comments @TigerStars
必须有利率必须下降的预期，并有现实的预期（尽管普遍认为新加坡银行是稳定和安全的选择）。
如上所述，等待降息生效，滞后消除，然后以更好的价格进入，因为新加坡银行是相当安全的投资。
Check them in the history - “community distribution“
Rotating from banks into growth sectors is a tactical move that prioritizes capital gains over income, aiming to benefit from rate cuts but with higher volatility。。。
Waiting on sidelines avoids near-term downside and aims for re-entry at lower valuations, trading short-term yield for long-term upside
A balanced strategy that keeps a core dividend position while adjusting tactically offers both steady income and flexibility to respond to market shifts
Tag :
@Huat99
@Snowwhite
对我来说，银行现在更像是一种“现金流资产”，而不是纯粹的增长股。当收益率曲线趋平、市场波动加剧时，稳定的分红反而成了我愿意长期持有的理由。毕竟，股息不是纸面上的浮盈，而是真正能落袋的现金。尤其在星展、华侨银行这种派息率高、管理层还不断回购股份的情况下，那种信心传递是实打实的。
当然，我也注意到，除了银行，一些传统“防守型”高息股又重新回到视野。像新电信约7%的股息率，加上出售资产释放价值的潜力，确实挺吸引。ST工程和SATS虽然股息略低，但业务逐步复苏、现金流改善，也值得关注。
如果要选，我会偏向“以收息为主，等待机会”的策略。短期不追涨，但会在市场回调时慢慢布局，把这些高息稳健股当成未来降息周期里的安全垫。说到底，在这个不确定的市场里，能持续给你现金回报的公司，比讲故事的成长股更让人安心。
Dividend plays remain attractive as yields stay higher than risk-free rates for now, offering steady income and downside cushioning. However, as rates fall, capital tends to rotate toward growth and cyclicals, which benefit from cheaper borrowing and renewed demand.
If your portfolio already leans defensive, gradually adding quality growth names — especially in tech, industrials, or consumer recovery themes — could position you ahead of the cycle.
For more risk-averse investors, holding dividend stalwarts with strong cash flow (banks, telcos, REITs) still makes sense through the transition.
Personally, I’d accumulate selectively on pullbacks, rather than chase rallies — focusing on companies that can sustain dividends and benefit from lower funding costs.
Balanced stance: income now, growth later.
降息將降低SReits的借貸成本，增加可分配收入並提高股息可持續性。
由於新加坡銀行面臨降息帶來的利潤壓力，現在是轉向SReits的好時機，尤其是那些擁有彈性投資組合的銀行，例如 $凱德商用新加坡信託(C38U.SI)$ 和 $豐樹工業信託(ME8U.SI)$.
SReits又到了大放異彩的時候了。
@Tiger_SG @TigerStars @Tiger_comments @TigerClub @CaptainTiger
1. Prefer holding for growth with average dividend payment
2. Growth and cyclical investments depend on state of the economy
3. There will always be opportunities to increase positions in times of market stress
The key to investing in banks is to see growth in growing banks
记录手续费收入来自财富管理和卡
强劲的资产负债表和稳定的信用质量
续回购和派息增长信号置信度
随着收益率曲线趋平，投资者正在从利率驱动的收益转向现金流可见性和可持续股息.