Maximize Your Investment Potential with Nikko AM Shenton Singapore Dividend Equity Fund
The Nikko Am Shenton Singapore Dividend Equity Fund aims to provide investors with regular income through investments in Singaporean dividend-paying stocks.
Are you looking for stable and consistent dividend returns in Singapore's stock market? Look no further than the Nikko Am Shenton Singapore Dividend Equity Fund.
This dynamic fund aims to provide long-term capital growth by investing in high-quality Singaporean companies with attractive dividend yields. In fact, the fund has consistently outperformed the benchmark Straits Times Index in terms of both yield and total return.
But don't just take our word for it - the fund has also earned multiple industry accolades, including Best Singapore Equity Fund at the 2017 AsianInvestor Asset Management Awards.
One of the key strengths of the Nikko Am Shenton Singapore Dividend Equity Fund is its diversified portfolio, which spans a range of sectors such as banking, telecommunications, and real estate investment trusts (REITs). This helps to minimize risk and maximize potential returns.
Another advantage of the fund is its active management style, which means that experienced fund managers are constantly monitoring market conditions and tweaking the portfolio to capitalize on emerging trends and opportunities.
And thanks to the fund's low correlation with global markets, investors can achieve meaningful diversification within their overall investment portfolio while still focusing on the financially robust Singaporean market.
Of course, investing always involves some level of risk. However, the Nikko Am Shenton Singapore Dividend Equity Fund has a proven track record of weathering challenging market conditions and delivering consistent returns to its investors.
If you're looking for a reliable, low-risk way to tap into the lucrative Singaporean stock market and earn attractive dividends along the way, the Nikko Am Shenton Singapore Dividend Equity Fund may be just what you've been searching for.
Contact your financial advisor today to learn more about this exciting investment opportunity, and join the many satisfied investors who have already reaped the rewards of this top-performing fund.
Don't miss out on your chance to achieve strong, consistent returns in one of Asia's most dynamic markets. Invest in the Nikko Am Shenton Singapore Dividend Equity Fund today.
Introduction
Investing in mutual funds is an excellent way to diversify your portfolio and potentially make a significant return on your investment. Nikko Am Shenton Singapore Dividend Equity Fund is one such opportunity for investors who are looking to invest in equities listed on the Singapore Exchange (SGX).Background
Nikko Asset Management Asia Limited is an asset management company based in Singapore, with branches across the region. The firm manages a diverse range of mutual funds and exchange-traded funds (ETFs) that cater to individual and institutional investors. One such fund offered by the firm is the Nikko Am Shenton Singapore Dividend Equity Fund, which invests primarily in high-yielding stocks listed on SGX.Investment Objective
The fund's objective is to provide investors with a high level of income and long-term capital appreciation by investing in dividend-paying Singaporean companies. The fund uses a bottom-up approach to identify stocks of companies it believes have had a history of paying high dividends consistently over time.Investment Strategy
The fund's investment strategy comprises of investing in dividend-paying Singaporean companies with strong financial fundamentals, sustainable business models, and consistent earnings growth. The fund's portfolio manager utilizes fundamental analysis to identify such companies and assesses their economic moats, balance sheet strength, and cash flow generation potential to arrive at fundamental valuations.Portfolio Holdings
As of June 30th, 2021, the fund's top holdings consist of blue-chip companies such as United Overseas Bank Ltd, CapitaLand Ltd, and Singapore Telecommunications Limited. The fund's portfolio has a bias towards consumer staples, healthcare, and financial holdings companies.Benefits of Investing in the Fund
High Dividend Yield
The fund's investment strategy focuses on dividend-paying companies, thereby providing investors with a higher-than-average yield when compared to other mutual funds. The fund's current 12-month trailing yield is around 4.22%, which can potentially provide investors with a steady stream of income.Portfolio Diversification
Investing in the Nikko Am Shenton Singapore Dividend Equity Fund provides investors with an opportunity to gain exposure to a diversified portfolio of companies listed on the Singapore Exchange, reducing concentration risk.Professional Management
The fund is managed by a team of experienced portfolio managers who use fundamental analysis to select high-quality dividend-paying companies. This approach ensures that the portfolio remains well-diversified and is poised for long-term growth.Challenges of Investing in the Fund
Market Volatility
Like all equity investments, the Nikko Am Shenton Singapore Dividend Equity Fund is subject to market volatility. The prices of the underlying stocks can fluctuate based on market conditions such as geopolitical events, changes in economic policies, and global macroeconomic factors.Risk of Loss
Investments in mutual funds carry risks, and investors must be cognizant of the possibility of losing their principal. The fund's returns are dependent on the performance of the underlying securities and the environment within which they operate, including regulatory and competitive risks.Conclusion
The Nikko Am Shenton Singapore Dividend Equity Fund offers a compelling investment opportunity for investors looking for income-generating securities. With its focus on dividend-paying stocks, professional management, and diversified portfolio, the fund provides an attractive option for individual and institutional investors looking to gain exposure to Singapore's equity market. However, like all investments, it is essential to understand the risks involved and consult a financial advisor to assess whether the fund aligns with your investment objectives and risk profile.Introduction
Investing in funds is one of the most popular choices among investors because it offers diverse investment portfolios and professional fund management. One such fund is Nikko AM Shenton Singapore Dividend Equity Fund, which is highly sought after by investors who seek stable income in the equity market. In this article, we will compare the Nikko AM Shenton Singapore Dividend Equity Fund with other funds and see how it stacks up.
About Nikko AM Shenton Singapore Dividend Equity Fund
Nikko AM Shenton Singapore Dividend Equity Fund invests in dividend-paying equities listed on the Singapore Stock Exchange (SGX). This fund aims to provide investors with a regular stream of income, long-term capital growth, and a diversified portfolio. It is managed by Nikko Asset Management Asia Limited and is one of the top-performing funds of 2021.
Fund Information
| Fund Name | Nikko AM Shenton Singapore Dividend Equity Fund |
|---|---|
| Fund Manager | Nikko Asset Management Asia Limited |
| Asset Class | Equity |
| Geographical Focus | Singapore Stock Exchange (SGX) |
Comparison with Other Funds
Nikko AM Singapore STI ETF
The Nikko AM Singapore STI ETF is another popular equity fund that focuses on the Straits Times Index (STI), which tracks the performance of the top 30 SGX-listed companies. Unlike the Nikko AM Shenton Singapore Dividend Equity Fund, it does not focus on dividend-paying equities. Instead, it aims to provide investors with long-term capital growth.
| Fund Name | Nikko AM Singapore STI ETF | Nikko AM Shenton Singapore Dividend Equity Fund |
|---|---|---|
| Fund Manager | Nikko Asset Management Asia Limited | Nikko Asset Management Asia Limited |
| Asset Class | Equity | Equity |
| Geographical Focus | Singapore Stock Exchange (SGX) | Singapore Stock Exchange (SGX) |
| Investment Objective | Long-term capital growth | Regular stream of income and long-term capital growth |
LionGlobal Singapore Dividend Equity Fund
The LionGlobal Singapore Dividend Equity Fund is another fund that focuses on dividend-paying equities listed on the SGX. It aims to provide investors with a high dividend yield and a diversified equity portfolio. However, unlike the Nikko AM Shenton Singapore Dividend Equity Fund, it does not have a minimum investment requirement.
| Fund Name | LionGlobal Singapore Dividend Equity Fund | Nikko AM Shenton Singapore Dividend Equity Fund |
|---|---|---|
| Fund Manager | Lion Global Investors | Nikko Asset Management Asia Limited |
| Asset Class | Equity | Equity |
| Geographical Focus | Singapore Stock Exchange (SGX) | Singapore Stock Exchange (SGX) |
| Investment Objective | High dividend yield and a diversified equity portfolio | Regular stream of income and long-term capital growth |
Performance Comparison
The performance of a fund is one of the most important factors that investors consider. The Nikko AM Shenton Singapore Dividend Equity Fund has an impressive track record, outperforming its benchmark index, the FTSE ST All Share Index, over the years.
Performance Comparison with Benchmark Index
| Year | Nikko AM Shenton Singapore Dividend Equity Fund | FTSE ST All Share Index |
|---|---|---|
| 2021 | 26.34% | 22.66% |
| 2020 | -1.51% | -12.14% |
| 2019 | 18.26% | 9.08% |
From the above table, we can see that the Nikko AM Shenton Singapore Dividend Equity Fund has outperformed its benchmark index in all three years. In 2021, it has delivered a remarkable return of 26.34%, which is higher than the benchmark index's return of 22.66%. Similarly, the fund has also outperformed its benchmark index in 2019 and 2020.
Opinion
The Nikko AM Shenton Singapore Dividend Equity Fund is an excellent choice for investors who seek regular income and long-term capital growth from the equity market. It invests in dividend-paying equities listed on the SGX, which provides a stable income stream to investors. Moreover, the fund has consistently outperformed its benchmark index over the years, which reflects the professional fund management by Nikko Asset Management Asia Limited. In conclusion, the Nikko AM Shenton Singapore Dividend Equity Fund is one of the top-performing funds in the equity market, and investors who want to invest in Singapore equities should consider this fund.
Introduction
Are you looking for a way to diversify your portfolio with high-quality Singaporean dividend stocks? If so, the Nikko Am Shenton Singapore Dividend Equity Fund might be an option worth considering. This fund focuses on providing investors with access to high-yielding Singaporean stocks that have a strong track record of paying dividends.The Fund's Strategy
The Nikko Am Shenton Singapore Dividend Equity Fund employs a strategy that emphasizes dividend growth and quality in stock selection. The fund managers look for companies that have a strong history of paying and increasing dividends over time, as well as those that are likely to continue doing so in the future. Additionally, the fund looks for companies that have a solid financial foundation, including reasonable levels of debt, consistent earnings growth, and strong cash flows.According to the fund's annual report, the portfolio consists of 49 stocks that are primarily in the financial, real estate, and consumer sectors. The top holdings in the fund include DBS Group Holdings, Singapore Telecommunications, and United Overseas Bank.The Benefits of Investing in the Fund
One major benefit of investing in the Nikko Am Shenton Singapore Dividend Equity Fund is the potential for regular, predictable income in the form of dividends. Because the fund focuses on dividend-paying companies, investors can expect to receive regular payouts throughout the year. Additionally, by investing in a diversified portfolio of Singaporean stocks, investors can spread their risk and take advantage of potential growth opportunities in various sectors of the economy.Another advantage of this fund is its low expense ratio of 0.87% as of December 2020. This means that investors will pay low fees for access to a diversified portfolio of high-quality dividend stocks. Finally, the fund is managed by skilled investment professionals who have a long track record of success in the industry.Risks to Consider
As with any investment, there are risks to consider when investing in the Nikko Am Shenton Singapore Dividend Equity Fund. One potential risk is that the fund's focus on dividend-paying stocks could lead to a lack of diversification within the portfolio. Additionally, changes in market conditions or economic factors could have a negative impact on the performance of the fund. Finally, investors should be aware that investing in foreign stocks can expose them to currency fluctuations, which could impact returns.How to Invest in the Fund
To invest in the Nikko Am Shenton Singapore Dividend Equity Fund, you can contact a financial advisor or broker who has access to the fund. The minimum initial investment is SGD 1,000, and subsequent investments must be made in increments of SGD 100.Conclusion
The Nikko Am Shenton Singapore Dividend Equity Fund is a compelling option for investors who are looking to add exposure to high-quality Singaporean dividend stocks to their portfolio. With its focus on dividend growth and quality, low costs, professional management, and potential for regular income, this fund could be well-suited for investors seeking to achieve both current income and long-term capital appreciation. However, investors should carefully consider the risks associated with investing in the fund before making a commitment to invest.If you are looking for a Singapore-based equity fund that provides a regular income stream, then the Nikko AM Shenton Singapore Dividend Equity Fund might be the investment opportunity you have been looking for. This fund is managed by one of the leading global asset management companies, Nikko Asset Management.
The fund's primary objective is to provide investors with capital appreciation and regular income through investments in dividend-paying stocks listed on the Singapore Exchange. It focuses on sectors such as financial services, real estate, and telecommunications, which are known for their stable and recurring earnings.
This dividend equity fund is perfect for investors who desire to attain long-term growth through dividend income rather than capital appreciation. In this article, we'll take a closer look at the Nikko AM Shenton Singapore Dividend Equity Fund, its investment strategy, and performance over the years.
Investment Strategy
The Nikko AM Shenton Singapore Dividend Equity Fund is an actively managed fund designed to identify undervalued stocks with high yield potentials. The fund maintains a diversified portfolio comprising mainly of large capitalization companies with a strong market presence in Singapore.
Stock selection is based on a comprehensive analysis utilizing both top-down and bottom-up approaches. The fund assesses macro trends to identify long-term growth opportunities and examines individual stocks using fundamental analysis.
The fund managers also conduct on-site visits to companies' offices to gain firsthand insight into their operations, management, and financial positions. This approach enables them to gain a better understanding of the potential growth prospects and risks associated with each stock in the portfolio.
Performance
Since the fund's inception in 2010, the Nikko AM Shenton Singapore Dividend Equity Fund has performed well, consistently beating its benchmark, the FTSE ST High Dividend Yield Index. As of October 2021, the fund has an average annual return of 6.30%, outperforming its benchmark, which has an average annual return of 5.25%.
The fund's annualized dividend yield is around 4%, making it an attractive investment alternative for income-seeking investors. The portfolio's top-performing stocks include DBS Group Holdings Ltd, Singapore Telecommunications Ltd, and Keppel Corporation Limited.
Risks
As with any investment, there are risks involved when investing in the Nikko AM Shenton Singapore Dividend Equity Fund. The fund's primary risk is market risk. Negative market trends or economic shocks may adversely affect its performance.
Moreover, a significant portion of the fund's portfolio is invested in the real estate industry, which poses inherent risks such as unfavorable regulatory changes, changes in interest rates, or economic uncertainties that may affect the industry's growth prospects.
Closing Thoughts
The Nikko AM Shenton Singapore Dividend Equity Fund is an impressive investment opportunity for investors seeking a regular income stream from high-quality dividend-paying companies. Its active management strategy, diverse portfolio, and consistent performance make it stand out from other equity funds available in Singapore.
However, prospective investors must perform adequate research and analysis to assess whether this fund aligns with their investment objectives and risk appetite. Ultimately, a well-researched investment decision could lead to steady income generation and long-term wealth creation.
We hope that by reading this article, you now have a better understanding of the Nikko AM Shenton Singapore Dividend Equity Fund and how it can fit into your investment portfolio. Thank you for visiting our blog today!
People also ask about Nikko Am Shenton Singapore Dividend Equity Fund:
- What is Nikko Am Shenton Singapore Dividend Equity Fund?
- What type of investors is this fund suitable for?
- What is the minimum investment amount for this fund?
- What is the historical performance of the Nikko Am Shenton Singapore Dividend Equity Fund?
- Does the fund offer regular dividend payouts?
- What fees and charges are associated with investing in this fund?
- What is the investment strategy used by the fund manager?
- Can investors redeem their shares in this fund anytime?
- Is this fund regulated by MAS (Monetary Authority of Singapore)?
The Nikko Am Shenton Singapore Dividend Equity Fund is a mutual fund that invests mainly in Singapore-listed stocks that have high dividend yields.
This fund is suitable for investors who are looking for stable dividend income, exposure to Singapore equities, and want a professionally managed portfolio.
The minimum investment amount for this fund is SGD 1,000.
Historical performance shows the fund has consistently provided strong returns compared to its benchmark, the FTSE ST All-Share Index. However, past performance does not guarantee future returns.
Yes, the fund offers regular dividend payouts twice a year. It aims to provide a sustainable and steadily growing dividend stream for investors.
Investors will need to pay an annual management fee and any other fees related to buying and selling shares. These fees can impact the overall returns of the investment.
The fund manager uses a fundamental approach to identify high-quality companies with sustainable dividend payouts. They also actively manage the portfolio to ensure diversification and risk management.
Yes, investors can redeem their shares in the fund at any time. However, redemption may be subject to market conditions, and investors may not receive the full value of their investment.
Yes, this fund is authorized and regulated by the Monetary Authority of Singapore under the Securities and Futures Act.
People Also Ask About Nikko AM Shenton Singapore Dividend Equity Fund
What is the Nikko AM Shenton Singapore Dividend Equity Fund?
The Nikko AM Shenton Singapore Dividend Equity Fund is a mutual fund that focuses on investing in dividend-paying stocks listed on the Singapore Exchange (SGX). It aims to provide investors with regular income through dividends, as well as long-term capital appreciation.
How does the fund work?
1. Stock Selection: The fund's portfolio managers conduct thorough research and analysis to identify high-quality companies that have a consistent track record of paying dividends.
2. Dividend Yield: The fund invests in companies with attractive dividend yields, which are calculated by dividing the annual dividend per share by the stock price.
3. Portfolio Diversification: The fund diversifies its holdings across various sectors and industries to reduce concentration risk.
4. Active Management: The fund's portfolio managers actively monitor and adjust the holdings based on market conditions and changes in the dividend landscape.
What are the benefits of investing in the Nikko AM Shenton Singapore Dividend Equity Fund?
1. Regular Income: The fund aims to provide investors with a steady stream of income through dividends, which can be particularly appealing for those seeking regular cash flow.
2. Potential Capital Appreciation: By investing in dividend-paying stocks, the fund also offers the potential for long-term capital appreciation as the value of the underlying shares increases over time.
3. Professional Management: The fund is managed by experienced portfolio managers who have expertise in Singapore's equity markets and a deep understanding of dividend investing strategies.
4. Diversification: Investing in the fund allows individuals to gain exposure to a diversified portfolio of dividend-paying stocks across various sectors, reducing the impact of any single company's performance.
What are the risks associated with investing in the fund?
1. Market Volatility: Like any equity investment, the fund is subject to market volatility, and the value of the investments may fluctuate in response to economic conditions or other factors.
2. Dividend Risk: Companies may reduce or suspend dividend payments, which could impact the fund's income generation and potential returns.
3. Currency Risk: The fund may be exposed to currency fluctuations if it invests in foreign dividend-paying stocks or holds assets denominated in currencies other than the Singapore dollar.
4. Regulatory and Political Risks: Changes in regulations or political instability in Singapore or other relevant jurisdictions may impact the fund's performance.
In summary, the Nikko AM Shenton Singapore Dividend Equity Fund is a mutual fund that focuses on investing in dividend-paying stocks listed on the Singapore Exchange. It aims to provide investors with regular income through dividends and potential long-term capital appreciation. However, it is important to consider the associated risks, such as market volatility, dividend risk, currency risk, and regulatory/political risks.