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How To Buy And Invest In Singapore Stock Market

For every newbie out there, looking or planning for investment in Singapore Stock Market. Multi-Management and Future Solutions is there to help you out and make you reach your targeted goal of making a remarkable profit out of your hard earned money.

Know for the reason Why do want to invest?

It’s a prerequisite from investor’s side to be clear for the reason why did he want to invest? It may be for:

1. To make your stagnant placed fixed deposits in banks flow in the market as you wish, just in order to get a higher percentage of returns in comparisons to that of banks.

2.To support your family and parents in order to provide them a secure future and a safe and independent retirement to your parents.

3.To grow at a much faster pace than any of your peer or colleague can grow or can make money within the same time span.

4.Or just you are a risk taker and you love adventurous styles of making money and therefore, you keep on trying new things and ready to take risks for whatever it may cost.

Once you are clear about your reason for investment, it would be easy for you to select an option for your investment, out of the various lucrative and confusing ways available out there.

After this, it’s now time to ask you yourself another crucial question.

How much can I invest in Singapore Stock Market?

As you are new to the market and you are hardly aware of the various factors affecting the market or more particularly your stock movement. Don’t start with a bulk amount. you can start with stocks like STI ETF whose current share price is around $2.80 and therefore you only need $280 to start.

Here, all I mean to say is initially play with safety and security only with Blue Chips that can reduce your risk and enhance your initial profit which will help you to boost your confidence and encourage you to diversify your profile.

Am I going too fast, as hard I own remarkable savings?

Once you are aware of the least amount of investment you require to enter the market. It would be easy for you to find an answer for this. As the lot size now got reduced from 1000 to 100 to encourage more and more investors. It’s the right time to start investing in Singapore Stock Market with a minimum amount of $300 to $400.

How can I start with Singapore Stock Market?

Only you need to be 18 yrs and more to start with along with a CDP a/c for your shares and a Brokerage a/c for buying and selling of shares.

To open with the above two accounts is free of cost and doesn’t require any deposit in general.

How to start with buying stocks?

There’s no rocket science behind. Once you are opened with the above mentioned two accounts you can go with the online platform or you can get it done by your broker. Later one is costly as you need to pay commission for the every step you want to make by your broker on your behalf and therefore is avoided by the majority of investors out there.

How is much brokerage fee for per trade liable? 

This fee varies from broker to broker as it’s their matter of profit making and service availing to their customers. But a few common points which you can consider are:

1.  An average fee liable for per trade by almost every broker out there is in between $18 to $25.

2. SGX fee for per trade 0.04% of the stock price.

What is Contra and Cash Upfront?

The above two are trading accounts out of which Contra is the standard trading account aka margin account. Whereas, the Cash Upfront aka cash trading account is not as standard as that of the Contra.

Contra follows a 3 day period for payment after the stocks are brought up. Within this tenure of 3 days, you can also sell the share and can compensate the difference on the due date.

For example:

You bought a stock on Monday than for Contra-

Monday will be your t0

Tuesday as t1

Wednesday as t2

And Thursday would be your t3 –àPayment Due Date

How can I make Payment on Contra account?

To make payment again there are two options available to you –

  • Via interbank GIRO and
  • Via Electronic Payment of Shares (EPS)

If are going with interbank GIRO you only need to select the destination bank account and rest of all is automatic. Whereas, for EPS you need to initiate the payment either via online banking or through an ATM.

How would I know about my bought shares?

To make you aware with the shares you bought your broker will either drop an Email to you or he may let you know through an SMS.

Also you will get an alert SMS from CDP about your transaction and the number of shares brought up.

How can I get free stock Information?

A large number of options are available out there for you to get free advice regarding your stock performance and upcoming trends. Some of them are discussed below:

1.  To get a glance of everyday stock prices, investors usually prefer sites like yahoo finance or shareinvestors to get a quick review of their share prices.

2. Collect fundamental data, valuation ratio, related data, and payout record and portfolio tracker from sites like SGXCafe.com or either you can hire one advisor to guide you for the best possible move.

How to use SGX.com and avail Corporate Actions?

For whatever you want to make your investment strategy more full proof and efficient, it’s all available on SGX.com. It is the most reliable site for the investors who are trading in Singapore stock market and therefore it’s mandatorily required for every newbie to get master in operating SGX.com

To avail corporate actions follow the following steps:

A. Go to the company information option which is available on the toolbar of SGX.com home page.

B. Select the stock and date for the announcement and enjoy the results.

What to do to enhance your Singapore Stock Market Knowledge?

It’s not a single man task to be aware of every single drop of information for the market out there. It requires a lot of efforts and a teamwork to be aware and conscious of every single data and its effect on the stock.

We at Multi Management and Future Solutions strive to make you available with the every single data which are important to you and also make you aware of “how this can create an impact on the stock movement”. We not only provide you the advice whereas, we provide with the reason for our advice.

Apart from us, we suggest you follow big stock market players like Warren Buffet in order to reach more closely to them for wherever they are standing now. Read good books on investment, case studies and live examples to groom your investment skills more and more.

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