facebookFor US stocks, should I go for dividend or growth stocks since there are 30% taxes for dividends? I intend to go for at least 3 months to 2 years. Any advice? - Seedly

Advertisement

Anonymous

23 Jul 2020

βˆ™

General Investing

For US stocks, should I go for dividend or growth stocks since there are 30% taxes for dividends? I intend to go for at least 3 months to 2 years. Any advice?

Discussion (10)

What are your thoughts?

Chris Susanto

Chris Susanto

21 Jul 2020

Level 5Β·Founder at Re-ThinkWealth.com

For US stocks, you should go for growth via capital appreciation. That is exactly what I am doing.

The majority of my portfolio is in US stocks.

Sg stocks are generally great for dividend-paying stocks or REITs - given one bought it at the right price. Due to no tax for dividends paid.

Most of the monthly stock case studies I did for my members are also US stocks. It's a pretty exciting market, to be honest as there are more global companies in the US stock exchanges.

In terms of your time horizon, 3 months to 2 years, I think that could be dangerously short. Read about the basics of investments here in my intelligent investor summary.

Hope this helps!

View 1 replies

Billy Ko

Billy Ko

21 Jul 2020

Level 11Β·Financial Analyst at REPE Firm

You need to consider (aside from the 30% dividend tax), how much handling fees do brokerage firms charge.

Take for e.g. a company that offers 5% dividend yield. Post tax = 3.5%. FSM charges a $2 handling fee.

So if you were to work backwards, your dividends would minimally have to be $2 / 3.5%. Therefore it really depends on how much capital you put in for dividend yielding stocks.

But personally, US growth stocks has not disappointed me.

View 2 replies

Marcus

Marcus

21 Jul 2020

Level 5Β·Founder at manualmode

Generally, I go for growth stocks for the US market and dividend stocks for Singapore market (and if...

Read 8 other comments with a Seedly account

You will also enjoy exclusive benefits and get access to members only features.

Continue with Facebook
Sign in with Apple

Sign up or login with an email here

Write your thoughts

Advertisement