S'pore stocks pay best dividends across Asia

SGX data shows that Hutchison Port Holdings Trust, which runs Yantian International Container Terminals in Shenzhen (above), is the best performer among the Singapore-listed stocks on the FTSE All-World High Dividend Yield Index, with a yield of 10.8
SGX data shows that Hutchison Port Holdings Trust, which runs Yantian International Container Terminals in Shenzhen (above), is the best performer among the Singapore-listed stocks on the FTSE All-World High Dividend Yield Index, with a yield of 10.8 per cent after it closed at 39.5 US cents yesterday.PHOTO: HUTCHISON PORT HOLDINGS

Main counters in telco, banking, industrials sectors paid investors solid returns as of end-March

Singapore stocks are Asia's best performers in terms of dividend yield, with main counters in the telco, banking and industrials sectors all delivering solid returns.

The FTSE Singapore Index maintained a yield of 3.74 per cent as of March 31, according to monthly indices that compare stock market performances in the region.

Taiwan was second at 3.66 per cent, followed by Thailand's 3.24 per cent and Malaysia on 3.04 per cent.

FTSE Hong Kong had a dividend yield of 2.39 per cent. The average of all 10 indices of Asian economies was 2.64 per cent.

Dividend yield is a ratio tracking a counter's dividend payouts in the past 12 months relative to its share price.

While the local stock market faces niggling issues of stagnant turnover, it is also known for stable yield plays that reward long-term investors. The yield hunters often favour property trusts, but other segments are just as rewarding, Singapore Exchange (SGX) market strategist Geoff Howie noted.


"In total, 40 per cent of the constituents of the FTSE All-World Index currently qualify for the FTSE All-World High Dividend Yield Index. However, 70 per cent of Singapore's constituents in the FTSE All-World Index qualify for the FTSE All-World High Dividend Yield Index," he added.

The FTSE All-World High Dividend Yield Index excludes all property trusts.

SGX data shows Hutchison Port Holdings (HPH) Trust is the best performer among the Singapore-listed stocks on the global index, with a yield of 10.8 per cent after it closed at 39.5 US cents yesterday.

Telco stocks have also been rewarding. M1, which closed at $2.13, sported the second best yield of 6.1 per cent. StarHub was third with 5.9 per cent and Singtel fourth on 4.5 per cent. StarHub closed at $2.87 yesterday and Singtel at $3.88.

Singapore Press Holdings, with a dividend yield of 4.2 per cent, was seventh on the list of best dividend stocks in Singapore. The company will announce its second-quarter results today.

In the banking sector, OCBC Bank tabled the best yield at 3.8 per cent, followed by United Overseas Bank at 3.2 per cent, and DBS at 3.1 per cent.

A version of this article appeared in the print edition of The Straits Times on April 12, 2017, with the headline 'S'pore stocks pay best dividends across Asia'. Print Edition | Subscribe