Which S&P500 etf listed on which market would you recommend to someone in Singapore? Do you prefer a S&P500 ETF or an international stocks ETF? - Seedly
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Anonymous

Asked on 21 Feb 2019

Which S&P500 etf listed on which market would you recommend to someone in Singapore? Do you prefer a S&P500 ETF or an international stocks ETF?

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Richard Woon Tian Jun
Richard Woon Tian Jun
Level 7. Grand Master
Updated on 03 Mar 2019

Hello!

Regarding this question, I definitely think that if you are a beginning investor, most professionals would advise you to invest in the S&P 500, and by proxy its ETF. This is because the S&P 500's composition is made up of the United State's 500 largest companies by market capitalization, which essentially provides fantastic diversification opportunities, and create stable market returns. More importantly is the ability of the S&P 500 to bounce back from recessions - thus far the S&P is on a long term uptrend, and after every recession we see that the S&P is able to bounce to twice, even thrice the previous high before the next business cycle hits. This general uptrend gives you great certainty that a "buy and hold" strategy will be able to generate positive total returns at the end of the day if you hold in for the long term. International stock markets may not have ability to do so, as evidence by Japan, whose stock price have yet to really break out from the real estate bubble highs of the 80s.

Essentially, it is on the assumption that the market will continuously grow at a steady pace that buy and hold strategies, and thus passive trading strategies, can provide steady returns in the long run. The ETF that is recommended by Mr Victor Chng is an excellent example of a passive ETF that has low fund management costs, ensuring that you obtain the maximum returns.

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Frankie Aufhauser-Rappaport
Frankie Aufhauser-Rappaport

4w ago

Really good text
Victor Chng
Victor Chng, Co-Founder at Fifth Person Pte Ltd
Level 6. Master
Updated on 07 Jun 2019

Hi,

I prefer S&P 500 ETF, you may want to consider Vanguard S&P 500 ETF.

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Jon Lim
Jon Lim

07 Mar 2019

@victor chng why do u think S&P500 has historically been the best performer? & why do u think it will continue to outperform other than because of historical performance? Singapore was once an Asian Tiger.
Frankie Aufhauser-Rappaport
Frankie Aufhauser-Rappaport

4w ago

Superb recommendation
Lim Y Weng
Lim Y Weng
Level 2. Rookie
Answered 4w ago

** **Is S&P500 etf suitable to be converted to warrwants.What are they on Singapore stock market?thanks​​​

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Yes, SP500 to me still seems the best investment for equity investing beginners, most important world market, many tech companies = progress prone. Maybe some day China will be #1 in the future. To be more diversified than U.S. there would be then ticker: VT, or other 'world' index ETFS (MSCI- or FTSE-based)

USA: VOO

Europe: VUSA

would be my choice

the points are lowest management fee and considering withholding tax in U.S.

USA on the other hand shines already with 0.00 USD commission and account management fees with some online brokerages

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Frankie Aufhauser-Rappaport
Frankie Aufhauser-Rappaport

4w ago

More (but some more risky) here: https://seedly.sg/questions/what-is-your-general-investing-philosophy-strategy
E
Er
Level 2. Rookie
Answered on 02 Mar 2019

The ticker code is S27 on SGX.

I bought everytime there's a decline of 15-20%

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Frankie Aufhauser-Rappaport
Frankie Aufhauser-Rappaport

4w ago

TER is not high but a bit on the higher side 0.0945%