SRS account help you save 2015 tax if you contribute before 31 Dec and what to invest using your SRS saving!

Did you know that you could enjoy some tax advantages in this process? This article takes you through what the Supplementary Retirement Scheme (SRS) is about, and the tax benefits available if you choose to save for your retirement via this scheme.

What is the SRS?
It is a voluntary savings scheme introduced by the Government to encourage individuals like you to save more for retirement, above what you contribute to the Central Provident Fund (CPF).

Keys Benefits of participating in the SRS

·         Both you and your employer can contribute to your SRS account.

·         Contributions to SRS are eligible for tax relief if you are assessed as a tax resident.

·         You can invest the funds in your SRS account.

·         Investment gains are tax-free before withdrawal.

·         Only 50% of the withdrawals from SRS are taxable at retirement.

Is the SRS suitable for me?

The SRS is intended to help you save for your retirement. If you choose to withdraw your savings earlier than the statutory retirement age, you will have to pay tax on the full withdrawal and a penalty of 5%. Therefore, when considering whether to participate in the SRS, you should review your financial circumstances to ensure that you do not need to draw on your SRS savings until you reach the statutory retirement age.

How much tax savings can I have?

How do I participate in the SRS? 

You can open an SRS account in person at any branch of the Government-appointed SRS operators, as long as you are at least 18 years of age and not an un-discharged bankrupt or of unsound mind. Currently, the three SRS operators are DBS, OCBC and UOB. 

What can I invest my SRS savings in?

The SRS savings in your account can be invested in a variety of financial products, including those offered by financial institutions (product providers) other than your SRS operator. You should note however that the SRS scheme does not guarantee any specific rate of return on your investments. Your actual returns will depend entirely on the investment choices you make. Direct property investments are not allowed and certain life insurance products are subject to restrictions.

Example

Suppose you start contributing when you are 30 years old and save up to the contribution limit of $12,750 each year until you turn 62.

If you achieve a 5% annual rate of return through your investment choices, your savings could grow to $860,000 in your SRS account by the time you turn 62. However, if the performance of your investment is not favourable, you may incur losses.

In comparison, if you had kept your money in a savings account that offers an interest rate of 0.5% per annum, you would have accumulated about $400,000.

When to Contribute?

You and your employer may contribute to SRS at any time of the year and as often as you wish, subject to the maximum SRS contribution for the year. To be eligible for the tax relief, all contributions whether in cash or by cheque deposits must be made or cleared by 31 Dec of the year, or as specified by your SRS operator.

The maximum SRS contribution for a Singaporean/Singapore permanent resident and foreigner are $12,750 and $29,750 respectively in the year 2013.

Resource: Moneysense & iras.gov.sg

Things you need to do before 31 Dec 2015

Step 1: Check your eligibility

Step 2: Open an SRS account with any local banks DBS, OCBC, or UOB

Step 3: Deposit funds into your SRS account before 31 Dec 2014 to enjoy tax benefits for year 2014

Step 4: Inform us to Link your SRS account with your POEMS trading account 

Step 5: Invest your SRS saving in Dividend stocks, ETFs & Unit Trusts via POEMS trading account (DIY)

Previous post related to Dividend stock
Previous post related to ETFs 

Need help? Contact Us and we will be more than happy to assist you

Fed Rate Outlook Dominate Recent ETF Activity - China & India

• Gold held its ranking as the most active or second-most active ETF in the month of November. Prices are holding at five-year lows as stronger-than-expected US economic data spur investors to weigh the prospect of a Federal Reserve interest rate hike next month.
• China remains in the spotlight, accounting for four of the 10 most active ETFs, as well as one of the best performers in terms of month-to-date total returns. Authorities have recently relaxed some emergency measures imposed during a major equities market rout earlier this year, while the impending entry of the yuan into the IMF’s SDR basket, and the MSCI’s inclusion of 14 US-listed Chinese companies in its indices effective 1 December, will keep investor interest high.
• Concerns in India also remain elevated. The domestic equity market is headed for its worst monthly performance since August, led by foreign selling, after the defeat of Prime Minister Narendra Modi’s party in state elections in Bihar raised concerns about his ability to push through policies to boost the economy.
• In the November 2015 month-to-date, the 10 most active ETFs were iShares MSCI India Index ETF, SPDR® Gold Shares, SPDR® Straits Times Index ETF, db x-trackers FTSE Vietnam UCITS ETF, db x-trackers MSCI Indonesia Index UCITS ETF, Lyxor ETF China Enterprise (HSCEI), db x-trackers FTSE China 50 UCITS ETF (DR), db x-trackers MSCI China Index UCITS ETF (DR), iShares JP Morgan USD Asia Credit Bond Index ETF and db x-trackers CSI 300 UCITS ETF.

Gold remains the most active or second-most active ETF in the month of November. Prices are holding at five-year lows as stronger-than-expected US economic data spur investors to weigh the prospect of a Federal Reserve interest rate hike next month. Demand for gold as a store of value diminishes in a rising interest-rate environment.

While business equipment orders in the US rose more than anticipated in October, and jobless claims fell to their lowest in a month, fourth-quarter GDP growth may still come in slightly weaker than some economists expect. Over the next week, markets are likely to focus on manufacturing data due 1 December, initial jobless claims on 3 December, and non-farm payrolls a day later, for clues on the outcome of Fed meeting on 16 December.

Futures markets now indicate a 72% chance of the US central bank raising rates at its December meeting, up from a 50% probability at the end of October, according to data tracked by Bloomberg.

Meanwhile, key emerging markets – China and India – continue to dominate ETF activity.

China stocks reversed a two-day gain, after investor optimism over the government’s easing of some trading restrictions faded, and doubts over the sustainability of the market’s rebound took centre stage. Authorities this month relaxed some emergency measures imposed during a rout that wiped out US$5 trillion from the equities market earlier this year, including resuming initial public offerings and scrapping a rule requiring brokers to hold daily net-long positions.

The impending entry of the Chinese yuan into the International Monetary Fund’s (IMF) Special Drawing Rights (SDR) basket will also keep the country in the limelight, while the government continues to fine-tune monetary policy to shore up economic growth that remains muted, despite six interest rate cuts in a year.

Also adding to interest in Chinese equities is MSCI’s inclusion of 14 US-listed Chinese companies into its indices effective 1 December, mostly from the new economy sector.

Over in India, the domestic equity market is set for its worst monthly performance since August, led by foreign selling. Political opposition to Modi escalated after his Bharatiya Janata Party lost state elections in Bihar earlier this month, raising concerns over his ability to push through reforms to boost the economy.

Nonetheless, Indian stocks rebounded today – their first advance this week – on hopes Modi may be able to get the crucial goods-and-services tax bill passed in the parliament session starting Thursday. The GST bill became a key marker for progress after it was repeatedly blocked by opponents.

The other most active ETFs in the past week also include stock indices that track the developing markets of Southeast Asia, in particular, Indonesia and Vietnam.

Singapore’s 10 most active Exchange Traded Funds (ETFs) in the November 2015 month-to-date were iShares MSCI India Index ETF, SPDR® Gold Shares, SPDR® Straits Times Index ETF, db x-trackers FTSE Vietnam UCITS ETF, db x-trackers MSCI Indonesia Index UCITS ETF, Lyxor ETF China Enterprise (HSCEI), db x-trackers FTSE China 50 UCITS ETF (DR), db x-trackers MSCI China Index UCITS ETF (DR), iShares J.P. Morgan USD Asia Credit Bond Index ETF and db x-trackers CSI 300 UCITS ETF.

In the month thus far, these 10 most active ETFs averaged a 1.5% decline in total return, taking the one-year and three-year total returns to negative 6.1% and 5.6% respectively. The three best performers in terms of month-to-date total returns were db x-trackers CSI 300 UCITS ETF, db x-trackers MSCI Indonesia Index UCITS ETF and iShares J.P. Morgan USD Asia Credit Bond Index ETF.

The above-mentioned ETFs saw a combined turnover of S$99.7 million in the month thus far, which brought the total 12-month turnover to S$2.0 billion.

The three most active ETFs over the first 19 sessions of November were iShares MSCI India Index ETF, SPDR® Gold Shares and SPDR® Straits Times Index ETF.

The 10 most active ETFs in the November 2015 month-to-date are detailed below and sorted by MTD turnover

ETFs are investment funds listed and traded intraday on a stock exchange. The majority aim to track the performance of an index and provide access to a wide variety of markets and asset classes, including local stocks, international securities, bonds, commodities or money markets.

Each ETF gives investors access to the performance of the asset that comprises the underlying index. Investing in the ETF is also less costly if one was to build a similar portfolio by buying the individual stocks. It also provides exposure to international markets and asset classes that may be inaccessible to individual investors.

Source: My Gateway

Click here to see previous post topic related to dividend stocks

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US Weak Stock Available for short in Phillip CFD

 Since beginning of 2015 till now, Dow Jone Index has been facing resistance at the 18300 level, the highest was 18351 now again we are approaching this resistance level. Investors are asking what can then short? Usually I will look at the weak stock. especially those stock that is dropping for the past 2 month September and October, when market is very strong. This show that the stock is weaker than the market.

 American Express Co, has been downtrending since last year. no sign of strength yet.

Macy's Inc was an uptrending stock in 2014 but start turning down in August 2015

Macy's whiffed on sales and lowered its outlook, and now the stock is crashing

http://www.businessinsider.com/macys-stock-price-after-earnings-q3-2015-11?IR=T&r=US&IR=T

Triumph Group Inc (TGI) also has been downtrending since 2014 no sign of recovery

Valeant Pharmaceutical Intl Inc (VRX), turn around in september since then it has been dropping sharply. Bill Ackman up his stake on this stock to 9.9% lately.

Ackman: Valeant made a mistake by underinvesting in communications

http://www.cnbc.com/2015/10/30/ackman-valeant-made-a-mistake-by-underinvesting-in-communications-dj.html

NOL -ART Position Trade uptrend stock - news of CMA CGM buyout talks

CMA CGM, the third largest container shipping firm worldwide, has until Dec 7 to complete due diligence on NOL and negotiate definitive terms for the potential offer.

Industry watchers noted that the buyout of the $3.04 billion NOL, if successful, would take place against a backdrop where consolidation is "long overdue".

"They'd buy because they believe the long-term prospects for NOL are good, relative to its current valuation,"The acquisition would allow CMA CGM to "dominate the trans-Pacific lanes" with a 12 per cent market share - ahead of Maersk Line's 9 per cent.

The ART Position Trade captured the trend before the news released, the entry signal at18 SEP that allows you profit by 32.6% from the price $0.9 to $1.2 and the profit is still growing.

Furthermore, Smart Money Index shows the stock is flowed with banker fund that also represent a good strength of confidence level since september

Lastly, the mid term support level is at $1.04.

How BYD trade is done - Warren buffett backed Hong kong Stock - Part 2

Today we saw that BYD is moving down lower, breaking the support level, seems like the time to exit this trade base on our trailing stoploss. For supertrend system the Entry signal came in September when the market turn around. Now that the stock price is turning down, system also show us the way out.

Why we will look at this stock? Base on the system the entry signal has a pretty high probability most of the time, and the Payout is good. Some trend can be as high as 80% gain from the entry price. That makes us follow the Green Candle signal.

See our previous post below, it is a proven strategy!
Following our system, we have been following closely with BYD that is listed on Hong Kong.

Entry in Sep 2015

http://www.andy-yew.com/2015/09/byd-warren-buffett-stock-gets-40.html

Entry in Jan 2015
http://www.andy-yew.com/2015/01/byd-company-01211hk-target-lifted-to-72.html

Exit in Jun 2015
http://www.andy-yew.com/2015/06/how-byd-trade-is-done-warren-buffett.html 

Click for details and attend our upcoming seminar to find out more how we can profit from both bull and bear markets.

958 城市频道与Andy Yew 的股市行情分析访谈

今早Andy Yew 受邀在9.58城市频道分享分析有关股市资讯。

主要专访内容涵盖美国加息不稳定情绪，欧洲恐怖袭击对股市所造成的影响，对无重要经济数据的中国是否暗藏危机，当然少不了对上周新加坡的股市进行分析。

千万不要错过专访最后Andy 对投资者的股票持有建议。

How much a Stock Broker earn in Singapore?

Stock broker used to be one of the hot favourite job that many people want to be, not sure how people think about this career now.  Recently an article came out showing the Top 100 paying job in Singapore. It shows that Securities and finance Dealer/ Broker $7,727. and Financial / Investment Adviser earns about $10,834. How you think about this money? Good?

The good news is actually you can actually be dual license Financial Advisor and Trading Representative in Phillip Securities. To find out more Drop me a message now! We will be having a How to be a Stock Broker in Singapore seminar soon, Register for your interest!

http://www.salary.sg/2015/top-100-jobs-in-singapore-2015/

Cordlife Group - Uptrend stock recovered from market correction

Singapore-based Cordlife Group, a healthcare company which provides cord blood and cord lining banking services, has reported profits of S$7.6 million (US$5.3 million) for the first quarter of 2016. This is a turnaround after the S$3.6 million loss on the same period last year. At the same time, revenues were up 9.7% to S$14.5 million.

The return to profitability is thanks to an increase in the number of client deliveries from approximately 5,100 in the same period last year to 5,300 during this reporting period.

“We continue to widen our presence in Asia… The cord blood banking operations in these markets are developing rapidly, thanks to the fast-rising middle class seeking better healthcare options for their children. In the most recent quarter, we expanded our reach into more cities in Indonesia and the Philippines,” said Cordlife CEO Jeremy Yee.

He also noted that “In Singapore, we anticipate that our operations will benefit from an increasing birth rate, driven by favourable government policies”.

Cordlife Group is seeking to increase its presence in Malaysia’s healthcare sector by offering to purchase  shares of associated firm StemLife Berhad, which is Malaysia’s first integrated homegrown cord blood and adult stem cell banking and therapeutics company with a deal valued at S$24.4 million.

With the profit raising profile, Cordlife Group currently seeking operation expansion in foreign market. From the February, ART position trade captured uptrend from the price from S$0.9 to S$1.18 with the 28% growth (Dividend excluded). The share price nonetheless suffered from the global market correction between June and August which recognized by our system which showing sell or short position in red. After August Cordlife Group continue turn blue.Year to date, Cordlife is one of the best performer in Singapore stock market. The current stock support level is at S$1.285.

Do you wish to improve your investment skill? Please do not hesitate to register by clicking

Free Seat for Investment Seminar 

cited:http://www.healthinvestorasia.com/(X(1)A(dQ5q-61W0QEkAAAAZDA0ZDc2MTEtNWI4NS00OTM0LWJhN2YtNzZlNzg5ODMxMTRiDJHtz4xQGXC8YaYd5-sLtelMM7g1))/ShowArticle.aspx?ID=1018

Updates on Noble group- Moody Downgrade Noble

Ratings agency Moody's is reviewing its rating of Singapore-listed commodity trader Noble Group for a potential downgrade in light of the company's latest results. Noble reported a sharp fall in third-quarter profit on Thursday, battered by losses in its metals and agricultural operations. "The rating review is triggered by Noble's weaker than expected liquidity profile and its still-high leverage in its quarterly results announcement," Joe Morrison, a Moody's vice-president and senior credit officer.(TodayOnline)

24 Nov 2015, Tue （华语讲座）

26 Nov 2015, Thu (EnglishSeminar)

If you have following our previous post you should be out of Noble long time ago, as many times we have mentioned that Noble group is on a downtrend.Our position trade show that now Noble Turn to Red candlestick again. This is not a good sign for those who are holding Noble

Check out our previous post==> Did Noble make money for you?
http://www.andy-yew.com/2015/06/did-noble-group-make-money-for-you.html

http://www.andy-yew.com/2014/01/can-we-trust-noble-group-trend.htmlWant to receive more frequent Trading Ideas in your Email or SMS? Open a Free Trading Account with us now! http://bit.ly/1gegCv0. 

Want to know how to capture potential stocks for the right time?
Click to join us for our upcoming event !

Reasons of global stock market drops, posts worst week since August

Wall Street fell sharply on Friday and capped off its worst week since the dark days of August, hurt by a selloff in technology companies, while department stores dropped on concerns about the upcoming holiday shopping season.
Will the causes the fall in global stock market continue further?  For more further information is discussed by Andy Yew on 938 FM on Last Friday. 

Singapore Company Results: The earnings seasons for Q3 2015 is here ! (Latest as of 12 Nov)

Many people is asking when is the Quarterly Results or Full year result coming out for Singtel Noble, Ezion, & etc...

The earnings seasons for Q3 2015 is here, below are the Singapore stock corporate earnings calendar for (Q3 2015)

Join our upcoming event:

Is China Market Recover? (中国市场回覆了吗?)

16 Nov 2015, Mon （华语讲座）

19 Nov 2015, Thu (English)

Time: 7pm -10pm

Venue:
International Plaza, #34-07, 10 Anson Road, Singapore (079903)
Tanjong Pagar MRT, Exit C

Fee: Free Admission

Click here for Register

Speaker: Andy Yew

Top 10 Phillip CFD award

Interviewed by Channel 8

Invited speaker for SGX seminar

Regular guest speaker on Singapore Radio

Trainer for Share Investor Academy

Columnist for Shares Investment

Founder of ART Trading System

Hong Kong-Shenzhen stock connect, You must know which ETFs will be benefited before they are linked ?

The share prices of mainland brokering houses surged recently due to the (HongKong-ShenZhen) HKSZ linkage news.

哪一只ETF可能将受益于香港 - 深圳连接？

In ETF perspective, we list down the following 3 ETFs which could potentially benefit from the connect - for your consideration.

我们列出了下列3只ETF供大家参考, 这3只ETF有可能受益于香港 - 深圳连接。

ETF Name: CSOP SZSE ChiNext ETF

Exchange: Hong Kong

Code/Symbol: 3147 

Underlying index: ShenZhen ChiNext Index

Current price: HKD12.58

ChiNext market provides an important platform for implementing the national strategy of independent innovation. It helps accelerate the transformation of economic development mode and galvanizes growth in emerging industries of strategic importance. 

In August 1999, the CPC Central Committee and the State Council proposed the establishment of a hi-tech board. In August 2000, with the approval of the State Council, the CSRC decided that SZSE took on the task of preparing for second board. After ten years of exploration, China’s second board market---ChiNext was inaugurated in Shenzhen on 23 October, 2009. As of 30 December, 2011, there were 281 companies listed on the ChiNext, of which 93% are hi-tech firms. The total market capitalization of ChiNext listed companies reached RMB 743.4 billion (USD 118 billion). IPO proceeds hit RMB 196.1 billion (USD 31.1 billion). Total trading value of ChiNext was RMB 1.9 trillion (USD 301.6 billion) in 2011.

In the past two years, ChiNext market has seen smooth operation and exhibited distinctive sectoral features. A group of innovative enterprises successfully raised funds through the capital market. Their exemplary and spillover effects have led to creation of a national SME support system. ChiNext Market promoted allocation of social funds to innovative businesses and emerging industries.

ETF Name: Market Vectors ChinaAMC SME-ChiNext ETF

Exchange: US

Code/Symbol: CNXT 

Underlying index: SME-ChiNext 100 Index

Current price: USD43.33

Tracks the performance of the 100 largest and most liquid China A-share stocks listed and trading on the Small and Medium Enterprise ("SME") Board and the ChiNext Board of the Shenzhen Stock Exchange.

ETF Name: ChinaAMC Hang Seng SmallCap Index ETF (New ETF)

Exchange: Hong Kong

Code/Symbol: 3157 

Underlying index: Hang Seng Composite SmallCap Index

Current price: HKD24.05

The Index covers small cap stocks with market capitalisation rank below 95th percentile of the market capitalisation of the Hang Seng Composite Index, which strives to cover the top 95th percentile of the total market capitalisation of the Hong Kong Stock Exchange.

(Southbound beneficiary: Hang Seng Composite SmallCap Index may potentially be included in the anticipated Shenzhen-Hong Kong Stock Connect Scheme which may potentially attract inflows from mainland Chinese investors)

Join our upcoming event:

Is China Market Recover? (中国市场回覆了吗?)

16 Nov 2015, Mon （华语讲座）

19 Nov 2015, Thu (English)

Time: 7pm -10pm

Venue:
International Plaza, #34-07, 10 Anson Road, Singapore (079903)
Tanjong Pagar MRT, Exit C

Fee: Free Admission

Click here for Register

Speaker: Andy Yew

Top 10 Phillip CFD award

Interviewed by Channel 8

Invited speaker for SGX seminar

Regular guest speaker on Singapore Radio

Trainer for Share Investor Academy

Columnist for Shares Investment

Founder of ART Trading System

证监会将重启IPO 对股市会构成可能的影响

中国股市-证监会将重启IPO
中国股市连续三天上扬。中国证监会宣布，将在完善新股发行制度之后重启IPO，将进一步改革完善新股发行政策措施。有分析师则指出，11月份反弹之后震荡幅度可能会增加。


（11月6日）中国股市沪深300指数收报3793.37点，涨2.36%。沪综指周五收升1.9%，连续第三日创两个半月新高。
沪深300指数本周累计上涨7.3%，创六月以来最佳表现。
路透社援引分析师报道，周五大盘震荡上行，中小盘股结束调整接力上涨提振大盘，同时龙头板块券商股继续全面上涨，整体量能保持较高水平，结构性反弹行情得以延续。

方正证券策略分析师陈敏向该通讯社表示，今天市场是一个震荡上行的格局，（中小盘股上涨）说明市场风格尚未出现彻底的转换。他还指出，目前行情仍可能属于反弹性质的阶段性和结构性行情，今日券商板块继续领涨，其走势弹性较好，在此轮行情中处于领涨地位，后市走势有赖于增量资金的入场规模。

是见好就收。"我们认为，未来股市继续大力上行的力量不强，急涨后回调的可能性较大。"
货币政策或进一步放松


6-8月，中国股市暴跌超过40%。
另据中国官媒报道，中国可能在未来几年积极扩张财政政策，财政政策的扩张预示货币政策也会有进一步放松，相对的对股票市场将会是一记强心针。

中国证监会新闻发言人邓舸6日表示，将在完善新股发行制度之后重启IPO，将进一步改革完善新股发行政策措施。邓舸称，由于完成相关准备需要一定时间，在此次完善新股发行制度全部落实前，证监会决定先按现行制度恢复暂缓发行的28家公司IPO，这也表示市场陆续恢复中。

与此同时我们的ART系统对于中国市场的预测准确的测出进场时机。上海证券交易所综合股价指数于10月中进场，半个月的时间获利接近10%。（ART-Position Trade ：蓝色代表进场讯号；红色出场讯号。）我们将会陆续使用系统观察这3天的大涨趋势是否构成稳定上升加买讯号，想第一时间获得股市相关资讯请关注本部落格。

DBS could be benefited from the rate hike

DBS Q3 net interest profit grows 6% , net interest margin increases and loan grows both indicate the potential grow signal.
According to announcement, it is expected to have more than 7% growth.

 Beside the statement announced few days ago, there are further information investors should take note. Bank-Stock valuation is highly based on asset quality, after the Global Financial Crisis, Banks generally improve their asset quality hence it is more stable to face the rate hike. In fact, the actual earning of bank could change, net interest spread widen drives up the profit. According to report, in the past 3 rate hike cycles, bank sector performs well half year and one year after a rate hike.

In the other hand, Fed will rise the rate only when the economy is strong enough to swallow it. Strong economy defined is that household's willing to spend and firm's investment opportunities are growing which turn into high loan demand and low unemployment rate.  Loan demand is one of the important source of income for bank, which drive the profit up.

When we look at the trend, DBS peaked at S$21.5 in July before the market correction that triggered by China market and today priced at S$17.6. Arts - Position Trade has a signal of buy, we keep it into potential buy list.

Here is your chance to know how Arts-Position Trade to work from upcoming FREE seminar, there are 5 limited seat left. Regret no more by taking your action today.

Downtrend/ Weak Stock in Singapore

STI move lower today by 42 points as US market turn lower last friday. Base on our screener, we found out that the 4 stock below are one of the weakest stock and there should still be many people holding it. Putting them to my Shorting list.

- Ezion

- M1

- Sembcorp Marine

- Sinarmas

Want to receive more frequent Trading Ideas in your Email or SMS? Open a Free Trading Account with us now! http://bit.ly/1gegCv0.