Kaye Investment Options for Foreigners
Can foreigner buy stocks in SGX? What are the best investment options for a foreigner working in Singapore?
I am a very passive investor, which means I don't go watch the news in economic times or financial tabloids. It's hard for many people to get into stocks with the fear of losing money. I don't have any particular roadmap but I can share my journey.
My investment journey started like this:
- Invested using Robo advisor(StashAway & digiPortfolio) with my bonus.
- Started regular investment plan with Unit trusts(mutual funds as they call in US or India).
- Bought some stock in DBS, SGX because these are the companies I worked in past and employed currently.
Do not take this for financial advice. Every person has a different risk appetite and should take professional advice.
last edited by HeyAnna
Hey @Kaye! Really want to commend you on this, because I have expat friends working here who brush this off as saying "I won't be here long" or "I don't have time to think about such things, I want to focus on my work!".
Long story short, foreigners can invest in Singapore. The fundamentals remain the same:
To buy Singapore shares, you'll need to open a Central Depository (CDP) account. This is where all the shares you purchase from the stock market will be placed.
Select a local brokerage or platform - do research because each offers different products, features, and fees. Make sure it aligns to your goals.
Tip: For ease of setup, going with a brokerage like DBS Vickers will have your CDP account opened for you when open your DBS Vickers online trading account. Do note that you'll have to submit hardcopy forms and proof of residential address separately.
Once you have a DBS Vickers Online Trading Account, you can trade on both desktop or the mTrading app. Your DBS Vickers account will be linked to a Multi-Currency Account for settlement, making it easy and convenient to settle trade in your preferred currency too.
- What to invest in: there's plenty, but do make sure you take assess and ascertain your risk level before diving into any. Some investments you can look into include bonds, exchange traded funds (ETFs), Real Estate Investment Trusts (REITs), stocks/equities (e.g. DBS Group Holdings), Forex.