For the long-term, Singapore’s stock market, as represented by the Straits Times Index, has returned around 7% per annum, including dividends.
That return is not too shabby, considering banks are giving a paltry 0.05% interest and the average inflation is at some 3% per annum.
For those who wish to get higher returns from the stock market, you can consider investing in individual companies instead of buying the market.
But…
Before you get all too excited and jump into the stock market right away, you should consider whether you have done the following:
1. Have You Paid Off All Your High-Interest Debt Yet?The outstanding amounts on credit cards attract a high interest of around 24% per year. And over time, if you don’t clear that debt, those loans will snowball due to the compounding effect.
With the Singapore stock market on average
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