3 Reasons Why Singapore Is The Best Place For Dividend Investors

Here are 3 simple reasons why Singapore is one of the world's best stock markets for dividend investors. 

1. High-quality blue-chip dividend stocks 

Singapore stock market is well known for its selection of high-quality blue-chip dividend stocks, comprising large market capitalisation Real Estate Investment Trusts (REITs) and 3 big banks (DBS, OCBC, UOB). These REITs and Banks in Singapore have a long, reliable dividend track record of >20 years and have been able to weather the many financial crises in the past few decades. You can be guaranteed reliable dividend payouts by investing in REITs and Banks in Singapore. 

2. Tax-free dividend 

Singapore has no capital gain tax and no dividend tax. Dividend investors can earn tax-free dividend payouts by owning dividend stocks. This equates to higher dividends received for dividend investors. This is in comparison to the United States of America (USA), where dividend payouts are taxed, decreasing the value of your dividend. 

3. High dividend yields 

Singapore's blue-chip REITs and Banks have an average dividend yield of 5-6% which is relatively high for dividend stocks worldwide. For comparison, 'high yield' dividend stocks in the US typically pay out an average dividend yield of 2-3% (before dividend tax). Furthermore, most blue-chip REITs and banks' dividends have been increasing over the past few decades. This means that the longer you own the dividend stock, the higher the dividend yield in the future. Many people who bought REITs and Banks over 10 years ago are currently sitting on double-digit dividend yields in 2025. 

These are the 3 simple reasons why Singapore is the best place for a dividend investor and why you should consider dividend investing in Singapore. 


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