How to calculate STI returns with dividends?
07-09-2012, 08:48 AM
I was doing a caculation of my portfolio returns against the STI, and I realised the STI is not adjusted for dividends (or is it)?
Is there a way to find out the dividend-adjusted STI figure?
Yes I'm wondering the same thing as well. I wonder how you can calculate that on a monthly basis. Also it would be nice if you guys know where to find it for the hang seng index as well.
I can't remember the average STI index companies dividend so just saying the methods.
Just take the STI index number of particular years and compound with the est. average dividend %. Option 1 Example STI Index 3000. Let say 2 years ago. Assume dividend 3%. So just Compound 3K value for 2 years using 3%. answer: 3183. assuming same STI Index for both years. Most likely is different, so each new year add the delta before compound. Is just an average estimate but likely good enough. Option 2 This example is more tedious to collect but similar to Option 1 basic. Need each year dividend %. Each new year add the delta of the index before compound. Compound one year by one year per the dividend % in the yearly order. This the ideal answer. Cory
08-09-2012, 04:54 PM
(07-09-2012, 08:48 AM)snowcap Wrote: I was doing a caculation of my portfolio returns against the STI, and I realised the STI is not adjusted for dividends (or is it)? If you are ok with a figure since 2002, you could use the StreetTracks STI ETF for a reasonable proxy. http://www.streettracks.com.sg/etf/fund/..._STTF.html There's a performance chart with and without dividends. 
08-09-2012, 05:19 PM
The average dividend yield across all the stocks that form either the STI and SiMSCI was 3.0% in 2011.
Source: Dividend yields in 2011
The computed dividend and change figure is meaningless unless you can measure your own and compare to it.
XIRR should cover that as below. [Image: STI+Performance.jpg] After doing this, i am quite amaze if my Math is about right. Most people do not achieve 23% XIRR returns ! You are a lot better off investing in STI Index for 2012. In a ball park figure, a person who invest S$100K earned S$23K in annualized 2012 full year. Cory As i am quite excited on it. I just found another surprise if we combine year 2011 and 2012 STI XIRR performance. [Image: STI+Performance-2.jpg] If you are vested starting 2011 Jan till today in STI Index, your return is actually negative even after dividends. INVESTMENT in STI Index is all about timing. Cory
08-09-2012, 06:31 PM
(08-09-2012, 05:51 PM)corydorus Wrote: The computed dividend and change figure is meaningless unless you can measure your own and compare to it. I wonder where do you get the 2 numbers? Dividend (31 Dec 2011) = 73 Dividend (7 Sept 2012) = 82 The rest seem right to me.
“夏则资皮，冬则资纱，旱则资船，水则资车” - 范蠡
(08-09-2012, 06:31 PM)CityFarmer Wrote:(08-09-2012, 05:51 PM)corydorus Wrote: The computed dividend and change figure is meaningless unless you can measure your own and compare to it. This is computed from dividend % which is about 3%. slight differences between each year. And then obtain the absolute from the average STI Index of open/close. Don't read too much into it because on broader estimate perspectives. 
09-09-2012, 10:49 AM
If you want to track your "barang,barang", try this thread--- "What is a realistic return on value investing?
Enjoy. 
WB:-
1) Rule # 1, do not lose money. 2) Rule # 2, refer to # 1. 3) Not until you can manage your emotions, you can manage your money. Truism of Investments. A) Buying a security is buying RISK not Return B) You can control RISK (to a certain level, hopefully only.) But definitely not the outcome of the Return. NB:- My signature is meant for psychoing myself. No offence to anyone. i am trying not to lose money unnecessary anymore.
09-09-2012, 06:27 PM
I found this, not sure if it is useful much.
http://www.analystz.hk/options/hsi-pe-di...uation.php |
|
« Next Oldest | Next Newest »
|
Homepage
PR Newswire
