Stocks yielding high payouts are sometimes preferred for their stability. Being one of the most stable countries in Asia, Singapore’s best dividend stocks may be a wise purchase for the conservative investor.
Singapore provides a type of safety which is hard to find elsewhere in the region. Not only is there a strong rule of law, but the Singapore Dollar is one of the most stable currencies in Asia. Buying assets denominated in Vietnamese Dong or Indonesian Rupiah is far more iffy.
These three companies are among Singapore’s best dividend stocks stocks and have the highest dividend yields on the country’s stock market. Each of them are large, and two of them are state-owned companies. But they all have strong dividend yields in the mid-single digits.
1. Jardine Cycle and Carriage (5.73% Yield)
Singapore’s highest dividend yielding stock is one of the country’s largest conglomerates. Jardine Cycle and Carriage (SGX: C07) was renamed from Cycle and Carriage, following its merger with the Jardine Matheson Group. The company is mostly involved in auto sales and distribution in Singapore of brands such as Kia, Mercedes-Benz and Mitsubishi.
2. Starhub (4.88% Yield)
Starhub Limited (SGX: CC3) is a telecommunications company offering a full range of services to consumers including television, internet and mobile service. The company is the sole operator of cable television in Singapore and along with Temasek Holdings, Singapore’s only terrestrial television channel operator, holds a monopoly on Singaporean TV service.
3. Singapore Telecom (4.73% Yield)
The second telecommunications company on this list is Singapore Telecom (SGX: T48), commonly known as Singtel. The company has operations in many countries including Thailand, India, The Philippines and Indonesia and with over 477 million mobile network subscribers worldwide is not only the largest mobile phone operator in Singapore, but one of the largest in the world.
While local investors have lately been bearish on Singapore stocks, attractive valuations and high payouts should help equities in the city-state perform well in the future.
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