Shares & Derivatives
Create a Well Diversified Portfolio More Easily With Less Money
By Doctor Wealth  •  August 27, 2014
Following the SGX announcement on cutting lot size to 100 units from 1000 by Jan 19 next year. That’s great news for smaller investors as it will allow them to create a diversified portfolio more easily with a lower amount of capital. sgx   Create a Diversified Portfolio With Less Capital Large cap stocks especially like Keppel Corporation will cost only approximately $1,100 per lot instead of $11,000 previously.  With a portfolio value $20,000, one will be able to own a diversified portfolio of easily close to 20 stocks including blue chip, whereas in the past it will probably take probably close to $200,000 in portfolio value to create similar kind of diversification. Changes to Minimum Fees A big question mark though is whether the brokerages will lower their minimum fees to facilitate more low value transactions. They should probably look at doing so as the rationale is that ......
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By Doctor Wealth
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