05 February 2014

Singapore Stock Market - Which Direction to Go? 5 Feb 2014

STI Index tumbled 9% in 1 year performance and remained rather flat in 2 year performance. 

However, if we look at longer period, say 26 years ++ (Since Yr 1987), STI recorded positive performance of 260%, or annual compound return rate of around 4.8%. 

To summarize, as long as we could invest in long term (e.g. 20 years and above), the result could be better compared with putting it in bank deposit. What we need to do is to always have a good asset allocation strategy, so that we could allocate more fund in equities when the market is tumbled and reduce the percentage in equities when the market is very hot. 




STI 1 Year Performance. Source: Finance Yahoo

STI 2 Year Performance. Source: Finance Yahoo


STI 5 Year Performance (+72.90%). Source: Finance Yahoo


STI Performance Since Dec 1987. Source: Finance Yahoo

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