SG Banks Slips! What’s Your Time Span for Holding Banks?

Singapore’s three banking giants — DBS, OCBC, and UOB — have all retreated recently, as investors brace for an expected Fed rate cut cycle. The question now is: where’s the focus when growth slows but dividends stay strong? How long do you plan to hold banks? Do you hold them for dividends? Is short term pullback not a thing for you?

“Singapore Banks Slide: Rate Cuts Ahead, but Dividends Still Reign Supreme

$DBS(D05.SI)$ $UOB(U11.SI)$ $OCBC Bank(O39.SI)$ Singapore’s three banking giants — DBS Group Holdings (SGX: D05), Oversea-Chinese Banking Corporation (OCBC, SGX: O39), and United Overseas Bank (UOB, SGX: U11) — have all slipped in recent sessions, marking a cautious turn for the sector as investors brace for a potential Federal Reserve rate cut cycle. The sector’s stellar run through 2023 and early 2024, fueled by elevated net interest margins (NIMs) and record earnings, now faces a period of recalibration. As global monetary policy shifts from tightening to easing, investors are reassessing their strategies: Are Singapore’s banks still worth holding in the
“Singapore Banks Slide: Rate Cuts Ahead, but Dividends Still Reign Supreme

SG Banks Slips! What’s Your Time Span for Holding Banks?

Singapore’s three banking giants — $DBS(D05.SI)$ , $OCBC Bank(O39.SI)$ , and $UOB(U11.SI)$ — have all retreated recently, as investors brace for an expected Fed rate cut cycle. The question now is: where’s the focus when growth slows but dividends stay strong?DBS: The Dividend AnchorDBS just delivered another solid quarter — total revenue up 6% YoY to S$5.9B and net profit at S$2.9B, slightly lower due to global minimum tax adjustments.Still, the bank rewarded shareholders with a S$0.75 per-share dividend, up nearly 39% YoY, including a special S$0.15 capital return.At current levels (~S$54.8), that’s a ~5.5% yield — one of the highest in the region.Why Div
SG Banks Slips! What’s Your Time Span for Holding Banks?
avatarShyon
10-16
I maintain two strategies — one focused on growth stocks and another on dividend plays like Singapore’s major banks. With rate cuts approaching, I still value DBS, OCBC, and UOB for their strong balance sheets and reliable payouts. DBS, in particular, remains my core dividend holding thanks to its consistent earnings and attractive yield. At the same time, I keep a separate growth portfolio targeting sectors like technology and AI, where structural trends continue to drive earnings expansion. This helps balance the slower but steadier returns from dividend stocks, giving me exposure to both stability and long-term upside. Rather than rotating fully into one side, I stay flexible — adding selectively during market pullbacks. If bank valuations dip further, I’ll top up for yield; and if gro
With rate cuts on the horizon, the market is shifting from “higher for longer” to “soft landing” optimism — but that doesn’t mean investors should abandon discipline. Dividend plays remain attractive as yields stay higher than risk-free rates for now, offering steady income and downside cushioning. However, as rates fall, capital tends to rotate toward growth and cyclicals, which benefit from cheaper borrowing and renewed demand. If your portfolio already leans defensive, gradually adding quality growth names — especially in tech, industrials, or consumer recovery themes — could position you ahead of the cycle. For more risk-averse investors, holding dividend stalwarts with strong cash flow (banks, telcos, REITs) still makes sense through the transition. Personally, I’d accumulate selecti
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avatarL.Lim
10-21
Holding on when you bought in at a good price is a reasonable decision. However, if one entered due to the hype, it might be wise to divest and enter again after the rate cuts take effect and everything settles down. There had to be expectations that the interest rates would have to fall and have realistic expectations (even though the belief in SG banks as a stable and safe option is the prevalent sentiment). As above, wait for the rate cuts to take effect, the lag to clear up then enter at a better price since SG banks are reasonably safe investments.
avatarkoolgal
10-17
🌟🌟🌟With interest rate cuts on the horizon, Singapore bank stocks like DBS, OCBC and UOB offer a rare blend of dividend income and capital growth. All 3 Singapore banks have a phenomenal track record of capital growth - and at the same time maintaining consistent dividends. I am a long term investor of all 3 banks and they have rewarded  me with great dividends and fantastic capital growth.  Despite the recent pullbacks I am not selling as it is hard to find such great Singapore stocks to buy and hold long term. @Tiger_SG @Tiger_comments @TigerStars @CaptainTiger
avatarkoolgal
10-17
🌟🌟🌟With rate cuts on the horizon Singapore REITs will be great buys as they are poised for a meaningful rebound. Rate cuts will reduce borrowing costs for SReits, boosting distributable income and improve dividend sustainability. With Singapore banks facing margin pressure from rate cuts, it is a good time to rotate into SReits especially those with resilient portfolio like $CapLand IntCom T(C38U.SI)$ and $Mapletree Ind Tr(ME8U.SI)$. It is time for SReits to shine again. @Tiger_SG @TigerStars @Tiger_comments
The strategy for banks is to maximise growth and seek to invest in banks gaining market share $Goldman Sachs(GS)$ 1. Prefer holding for growth with average dividend payment 2. Growth and cyclical investments depend on state of the economy 3. There will always be opportunities to increase positions in times of market stress The key to investing in banks is to see growth in growing banks
avatarMySGX
10-20

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avatarJC10
10-22
It has been stable for years
Regional bank stocks (including DBS) are consolidating after a sharp rally. Traders are cautious ahead of earnings — waiting for clarity on net interest margins and dividend outlook. No negative news specific to DBS; just normal rotation and short-term profit-taking.
Regional bank stocks (including DBS) are consolidating after a sharp rally. Traders are cautious ahead of earnings — waiting for clarity on net interest margins and dividend outlook. No negative news specific to DBS; just normal rotation and short-term profit-taking.

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avatarMrzorro
10-17
For sure, I keep holding for income. $DBS Group Holdings(D05.SI)$ never disappointed me.