When it comes to investment in Singapore share market, shares are the major financial assets that are employed by the companies to gain profits. The price of these shares is combination of macroeconomic & micro economic conditions which represents investors as an owner of the company. While trading, investors can choose from 2 types of share which includes ‘Ordinary Shares’ & ‘Preferred Shares’.
Preferred shares impart you better liquidity, privileged voting rights & favored dividend payouts whereas ordinary shares offer no such benefits.
How to Purchase Your First Stock in the Market:
Singapore Stock market is a profitable market for investment by targeting on the shares of most profitable company in your portfolio. While investing in the market, it’s recommended to get share investment picks from advisory firms to place an order. In Singapore stock market, the quantity required for the transaction is generally set at 1000 shares & this cluster of 1000 share is termed as 1 lot.
However, the absolute way of share investment is to move as per your financial objectives. Some investors have their goal to earn only modest income and some are there in Singapore market who wants lots of instant cash. Therefore, as per your financial limits & risk factors; you can chose from penny stocks that ensures “high risk high profit” practice or else it’s good to choose blue chip stocks that comprised of “less risk less profit” for your investment strategy. Well, in addition to this; following are some documents & accounts which are necessary to be live before buying a stock.
- While picking a stock, you need to have the following documents:
- Original identity card for being in Singapore.
- Original passport with proof of residential address.
- Passport of local banks which include DBS, UOB, and OCBC because these banks accounts are used to pick/ buy stock.
- If you want a higher trading limit from the starting, then the proof of salary will be required.
Open a Trading Account:
For trading in Singapore market, you need to open a trading account which you will be using for purchasing & selling stock. Also note that for picking a stock, you must be above 18 years old.
Open a CDP Account:
CDP is a Central Depository account in which all your share of the Singapore stock market is kept. Through this CDP account, you can watch all the movements occurring in share market. If you want to check how much amount of stock you have in your account with exact quantity, you can easily check via this CDP account online.
The Final Word:
The above mentioned stock picks recommendations are extremely mandatory for every investor in Singapore. We hope you have got all your way for investment mindfully. With this, keep in mind that each & every tactic is important and executing the tactics mindfully will definitely help you to produce good returns.