Comments on Moneytalk: What is STI ETF ?

Hi, But how can I hedge the risk of investing in ...

2011-08-31T21:27:16.788+08:00

Hi,

But how can I hedge the risk of investing in STI ETF using derivatives available on the Singapore Exchange?

Thanks

Hi it is written that the etf is managed by State ...

2011-08-09T22:03:05.788+08:00

Hi it is written that the etf is managed by State Street Global Advisors (SSgA). So is the dividend given by them as well?

Hi Guna, I can't really advise what is the ri...

2010-07-05T21:57:39.030+08:00

Hi Guna,

I can't really advise what is the right price to buy the STI ETF. The lowest the STI has hit is the level of around 1600 so the closer you can buy to this point, the better it will be. Currently, we are around 1200 points away from this level so you have to form your own judgement on whether the price is good enough. I believe you can look at the annual report for the returns for the past 5 years and 10 years period and that can give a good gauge of the expected returns although 5 years may be too short a time frame. The management fee is deducted from the dividends the fund receives.

Kay

Hi Kay , Your explanation are clear and importan...

2010-07-05T10:29:17.216+08:00

Hi Kay ,

Your explanation are clear and importantly easily understood by beginners like me. What do you think will be the right price (as of current position) to buy the STI ETF? Also what is the expected returns over a 5 yr and 10 year period. How is the managment fee deducted from the funds?
Guna

As with all stocks, if the trading volume is very...

2009-01-30T23:59:00.000+08:00

As with all stocks, if the trading volume is very thin, it is a concern. This is because you may run into situations where you wish to buy or sell your stocks but you face difficulties in doing so since there are no buyers and sellers i.e. low trading volume. Moreover, even if there are buyers and sellers, the difference between the buying and selling price which is known as the spread will be rather significant and that means you will have a higher chance of receiving a less favorable price when you make any transaction.

With regards to the trading volume of the STI ETF, it was a concern in the past. Nowadays, it is not so much of a concern. STI ETF can easily hit 100 lots these days and there are occasions where it has done 1000 lots before. Thus unless you are making purchases of such quantity for every transaction, it is not so much of an issue.

hi. found your article very interesting and inform...

2009-01-30T09:54:00.000+08:00

hi. found your article very interesting and informative. however, just a query on the trading volume of the STI ETF. and if the trading volume is very thin, then is that a concern?