Sharing this email message with my fellow blog readers. As a stockbroker, part of my job is to make investing as convenient as possible. Thus I sent this email out to my clients last week.
Between capital gains and dividend gains, naturally, we will take the one that is higher. Thus I came up with this idea to assist my clients with their trades.
This is the closest thing to Auto trading.
Just imagine a system to maximise your profits. If the price is right, we sell for a profit first rather than waiting for dividends. While the trading fee will be slightly higher (0.5%), my clients do not need to worry much about missing out the price for I will be there to guard the price for them.
10% of capital gains, rather than the dividend gains of 3-7%.
Awesome! This probably qualifies to be one of my career highlights!
Details are in the email. :)
Hi all,
I understand that it is difficult for some of my clients to monitor the market to capitalise on market opportunities. This is especially so for dividend-yielding shares. Holding of shares does not guarantee the best bargain as whenever prices go up, it will come down eventually. And depending on market condition, it will go up again after some time.
Also, when a share is going to be announcing dividends, the share price tends to rise. And at times it may go much higher, and the price gain may be more than the dividends declared. Thus I am trying out an idea which I would like to share with all.
1. I have grouped some of the SGX REITS into various industries for your preference. These are suggested counters, and it is not a recommendation.
2. After confirmation, I will buy the shares for you, and queue to sell the REITs at the designated price on a daily basis. This will ensure that we can lock in the maximum gains if profits are more than dividends.
3. This can be done for cash or CPF trades. For CPF trades, make sure you have linked your CPFIS account to UOB Kay Hian.
4. As this is not trading but investing, there will be no cut loss if prices were to go lower. My suggestion is to split your money so that it is possible to average your positions if it goes lower.
5. The trading fee will be 0.5% as I will be executing these trades on my terminal on a daily basis. When the buy/sell trade is completed, I will text or call to inform of the completion of trades.
Nonetheless, there will be market risks involved.
I strongly believe that this will be almost similar to automatic trading and it will bring the greatest convenience to all my clients.
Please feel free to feedback and share your views. File as attached
This transmission has been issued by a member of the UOB Kay Hian Group for the information of the addressee only and should not be reproduced and/or distributed to any other person. Each page attached hereto must be read in conjunction with any disclaimer which forms part of it. Unless otherwise stated, this transmission is neither an offer nor the solicitation of an offer to sell or purchase any investment. Its comments are based on information obtained from sources believed to be reliable but UOB Kay Hian Group makes no representations and accepts no responsibility or liability as to its completeness or accuracy.
