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 Passive Income from Dividend

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prophetjul
post Jan 22 2013, 08:42 AM

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QUOTE(gark @ Jan 21 2013, 03:56 PM)
All dividend, capital gain and interest from SG stocks is tax fee in Sg and not taxable in Malaysia, ie. tax free.  rclxms.gif
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Are you sure that dividends in SG are not taxed?
i thought it applies only to SREITs?
prophetjul
post Jan 22 2013, 08:46 AM

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SG Dividends are taxable.........

QUOTE
Dividends are distributions by a company to its shareholders.

It represents returns on shareholder's capital, which may be paid in cash or in kind. For instance, a company may pay its shareholders in the form of company's shares.

Dividends derived in Singapore are taxable unless they are specifically exempted under the Income Tax Act.


Dividends exempt from tax

Dividends are not taxable if they are
Foreign dividends received in Singapore on or after 1 Jan 2004. This excludes foreign source income received through partnerships in Singapore.
Income distributions from unit trusts and real estate investment trusts (REIT), that are authorised under Section 286 of the Securities and Futures Act (excludes distributions out of franked dividends) on or after 1 Jan 2004.
One-tier exempt dividends from companies under the one-tier corporate tax system.


http://www.iras.gov.sg/irashome/page04.aspx?id=146
prophetjul
post Jan 22 2013, 09:16 AM

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QUOTE(Dividend Warrior @ Jan 22 2013, 09:05 AM)
Dividends in SG are already taxed at the corporate level.

So, as a Singaporean retail investor myself, whatever dividends the company declares, I will get the full amount.

However, I am not sure if the same rule applies to a Malaysian investor with Singapore stocks.
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Point is normal divs are taxed...........

whereas SREITs are Not taxed.

So one cannot broadbrush with a statement like that
prophetjul
post Jan 22 2013, 02:42 PM

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QUOTE(gark @ Jan 22 2013, 10:06 AM)
Dividend is single tier in SG, which is taxed at corporate level. You are not taxed by SG govt as part of your income declaration. Also you are not taxed by MY Govt as it is foreign income. So you buying SG for dividend you get net amount (as declared) same as Singaporeans, so level playing field.

This is opposed to US dividend, in which it is taxed at corporate level AND as a foreigner you get taxed another 30% withholding tax even for REITs.
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prophetjul
post Jan 29 2013, 09:18 AM

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QUOTE(rocklee88 @ Jan 28 2013, 01:27 PM)
SGD might depreciate against RM in the future.
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Why do you get that notion?

biggrin.gif
prophetjul
post Jan 29 2013, 09:25 AM

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QUOTE(netmask8 @ Jan 25 2013, 10:37 AM)
Currency Exchg Rate is playing an important tool ..

SGD 1 Dollar =  MYR 2.5  in S'pore REIT Dividend Payout Qtrly ?

While In Bursa Msia REIT =  Buy in MYR  ,  Sell in MYR ,  Dividend in MYR ..  Ratio 1:1

If u want better yield + ROI, S'pore REIT Dividend(with higher currency exchg rate) will be
much better than Msia REIT Dividend. All the best.
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Some may not realise this.....

Qtr payments mean that the actual ANNUALISED yield is even higher than the AV yeild
because you get your payments EArLIER....... biggrin.gif
prophetjul
post Jan 30 2013, 09:54 AM

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QUOTE(Materazzi @ Jan 30 2013, 09:50 AM)
How about if annualised in feb?earliest.
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Come again?
prophetjul
post Mar 13 2013, 09:54 AM

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QUOTE(Dividend Warrior @ Mar 12 2013, 09:42 PM)
My dividend portfolio update.  smile.gif
user posted image
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Whats yer objective of shewing that? hmm.gif
prophetjul
post Mar 13 2013, 10:19 AM

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QUOTE(Pink Spider @ Mar 13 2013, 10:04 AM)
Promoting dividend investing, showing that it works in the long run? biggrin.gif
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Cant see that from that statement.............
prophetjul
post Mar 13 2013, 11:32 AM

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QUOTE(skiddtrader @ Mar 13 2013, 11:26 AM)
Neo is one of the few people I know of in this forum that made it to millionaire status investing in stock.

Though his methods are more aggresive using leverage from banks to by more and more share. Only when you achieve a  certain degree of confidence will you 'sai lang' your wealth to a particular stock and see it fly.

I'm sure there are other more quieter sifu around here also millionaire status.
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a million is not much nowadays............

Getting to be a 10millionaire is the normal challenge..........
prophetjul
post Mar 13 2013, 11:39 AM

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QUOTE(netmask8 @ Mar 13 2013, 10:50 AM)
He/She continuously save a lot monthly for many many years. perhaps he/she don't have other commitments like
home, car + family in S'pore ? Imagine a house in S'pore would be 300% of all the present shares he/she owned now.
WAIT for good retirement with the monthly dividends if he/she stay in M'sia.

Study Case:-
3 of my friends were very lucky bought USA stocks during Credit Financial Crisis 2008-2009.
Lowest in DJIA and S&P were between 5th March - 10th March 2009.. Price of LVS below USD1.70
Symbol = Las Vegas Sands (LVS) and Yesterday close = usd 52.74  Dividends to-date = usd 3.75 ( 4 yrs )
Average Cost for 1000 units = usd 1.50 X 3.8 (assume highest currency exchg rate that time) = rm 5800(plus broker fees). The dividends with deduct tax 30% = usd 3.75 X 1000 X 0.7 = usd 2,625

your cost = rm5800  ( 5th March - 10th March 2009)
yr total dividends = usd2,625 X 3.1 (present currency exchg rate) = rm 8,100 (with broker fees deducted).

Gross Value of LVS share =  usd 52 X 3.1 = rm 161K  ..
after 4 years holding + keep. ( Gross Value + Dividends = rm161K + rm 8k = rm169K  Ratio Gain = 2900% )
Above calculation for 1000 units only.. If he/she got 2000 units or more of LVS ? LVS highest price = usd 138.
Will history repeats? study case only.
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i was a lucky joe to buy one stock at low of $3 as well......sold it recently at USD39

Not as good as LVS but....not too shabby.....

http://chart.finance.yahoo.com/z?s=SLW&t=m...en-US®ion=US



prophetjul
post Mar 13 2013, 10:14 PM

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QUOTE(Dividend Warrior @ Mar 13 2013, 09:09 PM)
I agree. I have been holding my stocks for 4 years.  nod.gif
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The longest i held a stock was from 1989 to 2009...........so 4 years is still pretty short biggrin.gif
prophetjul
post Mar 13 2013, 10:22 PM

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QUOTE(foofoosasa @ Mar 13 2013, 10:21 PM)
thumbup.gif  notworthy.gif
Which stock is that?
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HSBC biggrin.gif
prophetjul
post Mar 13 2013, 10:36 PM

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QUOTE(foofoosasa @ Mar 13 2013, 10:29 PM)
So the recent scandal should be quite painful (2008-2012)? if you bought from HKSE 0005, it drops from 150 to 8x and still not yet recover.

But I assume your return should be around 10 - 15 % compound interest including Div every year even the bank didn't perform well recent years.

BTW I am also the holder of HSBC but still not really heavily invested. thumbup.gif  blush.gif
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Twas my first stock. i bought it during Tiananmen massacre when HK mkt dropped to oblivion.

That time was HKD4.50. When i sold in 2009, TWAS converted to sterling pounds 9 @ exchange of Rm7.50 biggrin.gif

saw the financial crsis coming in US.....reason i invested in gold in 2002! biggrin.gif

i converted all my HSBC sale to GOLD
prophetjul
post Mar 13 2013, 10:49 PM

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QUOTE(foofoosasa @ Mar 13 2013, 10:45 PM)
but if you hold hsbc until 2009, the share price already drop to 7x from 150. unless you sold it exactly before the crash happen.Did you panic sell it? hmm.gif
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i managed to sell before the downer to sterling 4 biggrin.gif

what do you mean 7x from 150? rclxub.gif

i bought at HKD4.50 rm exchnge was hkd3 to Rm1

there was a reverse split of 4:1 share which makes it HKD16.

Then they converted to sterling and i sold at sterling9 on the LSE
prophetjul
post Mar 13 2013, 10:52 PM

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sorry i sold in oct or nov 08, not 09 my miss

This post has been edited by prophetjul: Mar 13 2013, 10:54 PM
prophetjul
post Mar 13 2013, 11:01 PM

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QUOTE(foofoosasa @ Mar 13 2013, 10:56 PM)
I get it now. Not a bad return u made there.

What I mean for hkse0005, the stock price drops from 150 to around 60-70 during 2009 (because you mentioned u hold it until 2009). That's why I am wondering whether you panic sell it or not.
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thats in hkd....mine was in sterling on the LSE

i hvae been meaning to sell since 2006! BUT my wife held me back.........was able to convince her by 2008 biggrin.gif

But gold had already moved further up by 2008.......luckily it came down to $680 biggrin.gif
prophetjul
post Mar 13 2013, 11:03 PM

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QUOTE(foofoosasa @ Mar 13 2013, 11:02 PM)
thanks for your clarification  smile.gif Very good foresight you have.
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Tian anmen was good foresight.........caught a falling knife..... biggrin.gif
prophetjul
post Mar 14 2013, 08:21 AM

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QUOTE(danmooncake @ Mar 13 2013, 11:55 PM)
Prophetjul,

Bought during Tiananmen? That's 1989 though..  hmm.gif

If that's the case, looks like you have survived '97 Asian Financial crisis, US dot com bubble ('00-01)
and sold twenty years later in '09 (US housing/financial crisis).  rclxms.gif

Back in those days (88-89-early 90).. I remember everything has to go through remisier and over the counter trading.
Stock prices have to checked next day in financial section of news paper.  laugh.gif
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Yes....stone age days biggrin.gif

HSBC was my first venture into stocks!

BUT it was masterstroke..........bought at HKD16.......Rm5.3

sold at Sterling 9.....Rm67.5.........but that's like 20 years for a 12 bagger.........not too shabby, I suppose.
prophetjul
post Mar 14 2013, 08:28 AM

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QUOTE(Dividend Warrior @ Mar 14 2013, 07:13 AM)
In 1989, I was just a 6 year old kid..... laugh.gif  tongue.gif
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I AM an olde FUD........ biggrin.gif

Started work in 1983..........accumulated a few Rms............my gF then, now wife was
working in HSBC......at the time, Hongkong and Shanghai Banking Corp.......Tall, Strong, and Reliable(somrthing like that!)

Accumulated all the way.........

When the opportunity came during the HKSE Tianamen crash, I went in biggie.........

then again in 2001.....911............sold every share 2008...........

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