As a newbie in investment, what's the difference for the STI ETF and Phillip Sing Income ETF? Which is recommended or should I invest in both? - Seedly
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Anonymous

Asked on 13 May 2020

As a newbie in investment, what's the difference for the STI ETF and Phillip Sing Income ETF? Which is recommended or should I invest in both?

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Frankie Rappaport
Frankie Rappaport
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Top Contributor (Jun)

Level 9. God of Wisdom
Updated on 13 May 2020

The technical difference is that the STI ETF tries to replicate the SPDR Straits Times Index ETF, when the Phillip Sing Income ETF tries to replicate the the 30 stocks Morningstar® Singapore Yield Focus IndexSM.

Singapore, however, even if sympathetic to You only a tiny fraction of the world stock markets, and - let's be honest - an unsuccessful one over the last 10 years when compared to a SP500 ETF (VUSA) or MSCI World ETFs (EUNL) when You look at this 10 year performance chart (dividends however not included):

And the Phillip Sing Income ETF is actually a very new one, and also a very small one with total assets (AUM) = 44.7 Mio SGD.

Funds with less than 50 Mio USD, the current thinking is, are prone to closure because of non-profitability to the issuing company. No good idea ...

You could read more, on particularly what not to do, here, good luck!:

https://seedly.sg/questions/what-is-your-general-investing-philosophy-strategy​​​

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Frankie Rappaport
Frankie Rappaport

13 May 2020

Afterthought: on the Singapore markets I personally like the REIT ETFs, there are 3, my choice is Lion-Phillip S-REIT ETF, because it has the maximum focus on factual Singapore property. Times are tough currently, of course, for REITs, but one should anyway think very longterm. Singapore defintitely has a reliability and safety edge.