We invest our income with the ultimate objective of trying to maximize our total returns. There are two prominent methods of investing your income, to increase your total returns. In this article, we examine both sides of this returns story and find out which is most suitable for you based on a few factors.

The Returns Formula Total Returns = Capital Appreciation (Growth) + Dividend Yield Capital Appreciation (Growth): Earnings and price of stock increase above market average Dividend Yield: Quarterly or Yearly cash payouts for your investment in the company based on performance Dividend Investing

A strategy that involves building a collection of safer blue-chip or dividend paying stocks. Investors will then enjoy getting to enjoy the returns in form of regular cash deposits into their respective brokerage account.

Pros Investors receive regular returns in form of dividend payouts. This dividend payouts can be reinvested. Singapore’s biggest Index stocks have the

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