In this ultimate guide on investing in Singapore shares, we have compiled the best articles from The Motley Fool Singapore’s flagship website, Fool.sg. The articles cover a wide range of topics, from the basics of investing to investing beyond Singapore. There’s also a bonus section right at the end just for you.
With that, let’s dive right in.
Stock market basics
Why do companies list on the stock market through what is known as an initial public offering (IPO)? What’s the difference between investing and speculation? Your questions are answered in the following articles:
Why should we invest and who can invest?
You might wonder why you should invest in shares when you can save money in the bank.
Banks give us meager interest on our deposits, and inflation can eat into those returns. Investing in shares, on the other hand, helps to not only preserve our capital, but also grow it. We should also start investing as early as possible. Find out more:
How do we start investing in Singapore?
To invest, we need to open a brokerage account, and a Direct Securities Account with The Central Depository (CDP), which is also known as a CDP Account. The article below tells you more:
Before you start doing anything else
You have your brokerage and CDP accounts set up – that’s great. However, before you do anything else, you should consider the following:
- 3 Things You Should Consider Before You Start Investing
- 3 Questions to Ask When Building Your Investment Portfolio
What to invest in?
If you have not done the things mentioned in the previous two articles, you should really re-visit them to build a stable foundation.
On top of equities (or shares), there are other types of investment vehicles available, as shown in the articles below:
- Your Investment Options: A Breakdown of Equities
- Buy The Best Singapore REITs With This Complete Guide
- Your Complete Guide to ETF Investing in Singapore
- Your Investment Options: A Breakdown of Unit Trusts
The language of business
Billionaire investor, Warren Buffett, once mentioned:
“You have to understand accounting and you have to understand the nuances of accounting. It’s the language of business and it’s an imperfect language, but unless you are willing to put in the effort to learn accounting – how to read and interpret financial statements – you really shouldn’t select stocks yourself.”
As The Oracle of Omaha has said, we should learn the language of business before we invest in shares. As such, the next few articles give you a crash course on accounting, without the need to attend school:
- How To Analyse Financial Statements: The Income Statement
- 3 Things We Can Learn from a Company’s Income Statement
- How To Analyse Financial Statements: The Balance Sheet
- 3 Things We Can Learn from a Company’s Balance Sheet
- How To Analyse Financial Statements: The Cash Flow Statement
- 3 Things We Can Learn from a Company’s Cash Flow Statement
How to value shares
A share that is selling at $1 might be cheaper than one that is selling at 50 cents. Why is this so? Find out more from the articles below:
- Don’t Make The Investing Mistake Of Chasing After Stock Prices
- Investing Basics: How Do You Value a Company? Part I
- Investing Basics: How Do You Value a Company? Part II
Reading annual reports
An annual report is like a company’s report card. Since it can be thick, many investors chuck it aside and do not bother reading it. After going through the following article, you should find it a breeze to read annual reports.
Different type of shares available
Not all shares are the same. Some are categorised as value stocks, some as growth stocks, while some are dividend stocks. Find out more below:
- Investing Basics: How to Find Value Stocks?
- Investing Basics: How to Find Growth Stocks?
- Investing Basics: A Primer on Dividend Shares
- Your Ultimate Guide to Investing in Dividend Stocks
Buying the right shares
There are many hundreds of shares listed in Singapore. So, choosing the best out of them can be a headache. Fret not. The next few articles should make your life easier:
- What Does Warren Buffett Look Out for When Investing in Companies?
- Buy Your First Shares
- Investing Basics: When Should You Buy a Stock?
Knowing when to sell
Buying is not easy; but selling is even harder. The following article shows you when you should sell a stock:
Investing beyond Singapore
The world is our oyster. As such, we should consider investing beyond Singapore. The following article guides us on overseas investing:
Congratulations on sticking through to the end. We have some excellent bonus contents for you:
- 5 Books Every New Investor Should Read
- Here’s How to Start Investing with Less Than S$12 per Day (Yes, You Don’t Have to Be a Crazy Rich Asian to Do So)
- 16 Rules For Successful Investing From The Best Investor You’ve Never Heard Of
- Fantastic Warren Buffett Quotes (That Help You Make Money) And Where To Find Them
- 3 Myths About Investing You Shouldn’t Believe
- Timing the Market: Is It Worth It?
- 10 Essential Truths For The Individual Investor
Meanwhile, there are 28 surprising and important things we think every Singaporean investor should know–and we’ve laid them all out in The Motley Fool Singapore’s new e-book. Packed with information and insights, we believe this book will help you be a better, smarter investor. You can download the full e-book FREE of charge–simply click here now to claim your copy.
Disclosure: The Motley Fool Singapore contributor Sudhan P contributed to this article. The information provided is for general information purposes only and is not intended to be personalised investment or financial advice.