It would be an understatement to say that STI is lagging behind its bigger brother indices around the world. As of today, 23 June 2020, the US’s S&P 500 has returned to 3100 levels and China’s SSE has also been climbing steadily to 2950 levels. This is happening concurrently with the supposed scares from a potential second wave of infections caused by the COVID-19 pandemic. This begs the question of why STI is so far behind from other major indices and should our sluggish market really be justified by COVID-19 scares. In this post, we will be looking at key indicators that suggest that funds will still come back to Singapore companies. Average dividend yield of index components Compared to DJI 30 component’s average dividend yield of 2.99% and China’s SSE 50 component’s average of 3.06%, STI 30 components certainly have room to grow as the current average dividend...