Singapore stocks, dollar as safe haven for investors: expert

High dividend-yielding SGX-listed stocks good for defensive plays.

The Lion City remains a safe haven for investors with its stocks and the Singapore dollar presenting a good hedge against geopolitical shocks, according to Isaac Lim, chief market strategist Moomoo Financial Singapore. 

Speaking at the recent MooFest 2024, Lim said investors could consider adding Singapore stocks to their portfolios to hedge against external risks, such as China's 3rd Plenum and the US Presidential Election. Expectations are also rising for the US Fed to deliver its first interest rate cut later this year.

“The Monetary Authority of Singapore has shown its commitment to defend the Singapore dollar through previous market shocks. And because of this, the Singapore dollar can be considered a good store of value,” Lim added.

He said high dividend-yielding SGX-listed stocks also present good opportunities for defensive plays.

Outside the city-state, Moomoo Financial earlier noted that there is a growing number of Singapore investors betting on US tech stocks for capital growth.