- Singapore’s Stock Market Shines Amid Uncertainty: The return of Trump 2.0 brings global volatility, but Singapore offers a stable and promising investment environment.
- Top Picks Across Diverse Sectors: From REITs like CapitaLand Ascendas to renewable energy leaders like Sembcorp, these stocks balance growth and income potential.
- Risks Are Manageable with Informed Choices: Understanding specific challenges like market competition or regulatory shifts helps investors navigate these opportunities effectively.
The return of Trump 2.0 has sparked a mix of market volatility and new opportunities. With geopolitical tensions, shifting trade policies, and a renewed focus on sustainability, Singapore’s stock market is positioned as a resilient and attractive option for savvy investors. Whether you’re seeking stable dividends or growth-driven companies, these 10 top stocks offer a blend of solid fundamentals and potential to thrive in an unpredictable market climate.
Let’s explore why these companies stand out and what risks to watch out for as you position your portfolio for 2025.
1. CapitaLand Ascendas REIT (SGX: A17U) (CAPD.SI)
Why Invest:
This REIT has a strong portfolio across Singapore, Australia, and the US, with logistics properties driving rental growth. It consistently invests in upgrading its assets, ensuring long-term value and steady cash flow, even in uncertain markets.
Key Risks:
Potential occupancy challenges in Australia and the US, coupled with short-term income gaps from asset redevelopments, could affect performance.
2. iFAST Corporation Ltd (SGX: AIY) (iFASta.SI)
Why Invest:
iFAST’s involvement in Hong Kong’s ePension system and its expansion into occupational retirement schemes give it a strong growth runway. Its digital banking initiatives further diversify its revenue streams, making it a standout fintech player in Asia.
Key Risks:
Execution risks in new markets and stiff competition from other fintech players could challenge its growth trajectory.
3. Keppel Ltd (SGX: BN4) (KPLM.SI)
Why Invest:
Keppel’s shift to a more asset-light and sustainability-focused business model aligns well with global trends. Its renewable energy projects and successful asset monetization efforts make it a solid pick for both income and growth investors.
Key Risks:
Delays in monetizing assets or executing renewable projects could hinder its plans. Broader economic uncertainties and geopolitical factors could also affect its urban solutions business.
4. Sembcorp Industries Ltd (SGX: U96) (SCIL.SI)
Why Invest:
Sembcorp’s aggressive expansion in renewable energy, particularly in India and Vietnam, positions it as a leader in clean energy. Its diversified energy portfolio and strong execution capabilities are aligned with global decarbonization trends.
Key Risks:
Regulatory changes or delays in project execution could impact earnings. Fluctuations in energy prices and supply chain challenges are additional concerns.
5. SingTel (SGX: Z74) (STEL.SI)
Why Invest:
As a key telecom player, SingTel has benefited from cost-cutting measures and a growing digital transformation business. Its reliable dividend and potential asset monetization add to its attractiveness.
Key Risks:
Rising competition in the telecom space and macroeconomic challenges could pressure margins. Currency risks from overseas operations may also affect earnings.
6. Singapore Tech Engineering Ltd (SGX: S63) (STEG.SI)
Why Invest:
With a robust order book and leadership in aerospace and defense, ST Engineering offers stability and growth. It’s winning major contracts in tolling systems and defense while continuing to innovate in infrastructure and aerospace.
Key Risks:
Supply chain disruptions in aerospace and defense, as well as potential delays in executing major contracts, could weigh on its performance.
7. United Overseas Bank (SGX: U11) (UOBH.SI)
Why Invest:
UOB is a dependable bank with steady loan growth, rising wealth management fees, and strong capital management. Its focus on wealth management positions it well for an improving macro environment.
Key Risks:
Rapid changes in interest rates or slowing loan growth could affect profitability. A prolonged economic slowdown in key markets is another potential risk.
8. Yangzijiang Shipbuilding Holdings Ltd (SGX: BS6) (YAZG.SI)
Why Invest:
With a record-breaking order book, Yangzijiang is set for consistent revenues through 2029. Its focus on greener vessels aligns with global decarbonization trends, making it a standout in the maritime sector.
Key Risks:
Steel price fluctuations and potential order cancellations could impact margins. Geopolitical tensions, especially under Trump 2.0, may create uncertainty for shipbuilding.
9. SATS Ltd (SGX: S58) (SATS.SI)
Why Invest:
SATS is perfectly positioned to benefit from the global recovery in air travel. Its expanding food solutions and gateway services businesses add to its long-term growth potential.
Key Risks:
Higher costs from global inflation and potential slowdowns in air travel demand could weigh on earnings.
10. PropNex Ltd (SGX: OYY) (PROP.SI)
Why Invest:
As a leader in Singapore’s property brokerage market, PropNex benefits from its dominance in HDB and private resale segments. Its strong cash position and high dividend payout make it a reliable pick for income-focused investors.
Key Risks:
A weaker property market or rising interest rates could dampen transaction volumes. Policy changes in Singapore’s housing market may also affect buyer sentiment.
Trump’s Return Could Benefit Singapore’s Market
Trump’s return to the global stage brings both challenges and opportunities for investors. Singapore’s stock market remains a haven of stability, with companies across sectors offering a mix of growth and income potential. These 10 stocks are well-positioned to navigate the shifting tides of 2025, making them excellent additions to your portfolio.
Disclaimer: ProsperUs Head of Content & Investment Lead Billy Toh doesn’t own shares of any companies mentioned.
