Singapore Stock Market – October 1st, 2011
Nallakaruppan.S
1. History
Formally started on 21 March 1960, 10 Stockbroking firms from S’pore & 7 from Malaysia
In 1973 S’pore & Malaysian Stock Exchanges split
2. Trading Hours
:8.30 a.m. to 5:5
3. Trading System
Shares traded on a scripless basis
Highest Buyer’s Price & Lowest Seller’s Price will be matched
Ready , Odd-Lot & Buy-In Markets
4. Instruments Traded on the Stock Market
Shares
Warrants
Bonds / Loan stocks
Exchange Traded Funds
Single Stock Futures
Index Futures
5. Transaction Costs
Varies from Broker to Broker but generally as follows :
0.5 % Brokerage fees for trades below S$ 50,000 (Lower fees for higher amounts)
0.04 % Clearing fees
Trading access Fees 0.0075%
7 % GST on Brokerage & Clearing Fees and Trading access Fees
6. Investment Methods
Dealer
Remisier
Internet Trading : Some Internet Trading Sites : www.dbsvickers.com, www.uobkayhian.com
7. Sources of Information
Shares Investment Facts & Figures – S$ 6 cost, Bi-Monthly Issue The Straits Times, Business Times, Annual ReportsInternet Websites – www.shareinvestor.com , www.wallstraits.com, www.commerceasia.com
8. Companies Traded on the Market
Mainboard Multi Industry, Manufacturing, Commerce, Transport/Storage/Communications, Finance, Construction, Property, Hotels/Restaurants, ServicesSesdaq Manufacturing, Commerce, Constuction, Hotels/Restaurants,Services, AgricultureXtranet Exchange Traded FundsBonds, Loanstocks & Warrants
9. Modes of Payment
Cash – Shares will be held in your Central Depository A/C
CPF – Shares will be held in your Investment Bank Account
10. Settlement Period
Purchases & Sales : Trade Day + 3 Days
Contra : Within 4 Market Days
11. Market Barometer
Straits Times Index – component of 30 stocks
12.Stock Picking
Fundamental Analysis
Earnings Per Share – Group Net Profit After Tax / Number of Shares Issued
Price Earnings Ratio – Market Price / Earnings Per Share
Net Book Value- Net Tangible Assets of the Company / Number of Shares Issued
Gross Dividend Yield – Gross Dividend / Market Price of Share
Technical Analysis Charts – Bar Chart, Line Chart, Candle Stick etc.
Moving Averages, MACD Indicators, RSI Index etc.
13. Investment Suggestions
Invest within your means
Don’t Invest more than you can afford to lose
14. Happy Investing
Fixed Deposits – Low Risk & Low Return
Bonds & Unit Trusts – Medium Risk & ReturnStocks – Higher Risks & Return