OCBC and STI ETF
OCBC Bank
Challenging economic conditions will lead to subduded performance in years to come
Interest rate hike
Ocbc wing hang focus on south east Asia, china, Hongkong, Macau Singapore. High exposure to china
High exposure to loan and gas in non performing loans, 6% but will not significantly affect the bank
Challenging economic conditions will lead to subduded performance in years to come
Interest rate hike
Ocbc wing hang focus on south east Asia, china, Hongkong, Macau Singapore. High exposure to china
High exposure to loan and gas in non performing loans, 6% but will not significantly affect the bank
Capital not fully optimised, room for improvement
Acquisition of Barclay's wealth management to access ultra net worth clients and investment management capability ,without incurring any liability from barclays
Very strong disclosure and we'll thought planning from Agm minutes
Well diversified customer base, strong capital and liquidity position
Acquisition of Barclay's wealth management to access ultra net worth clients and investment management capability ,without incurring any liability from barclays
Very strong disclosure and we'll thought planning from Agm minutes
Well diversified customer base, strong capital and liquidity position
Dividend policy 40-50% of core earnings but may be prudent during these few years
Fintech implemention will not replace banks, but will change processes. Incorporate into process where trust element need not be strong. Processes of complexity or requiring trust bot replaceable. Following development of Api, blockchain, cloud computing
Business Outlook
OCBC is known for its strong finances. Its management has an heavy emphasis on cash flow and liquidity to meet shocks in the market. It has a strong focus on growth countries such as Asia. I am uncomfortable with its exposure in China. I hope that the management will know how to manage its holdings and risks there.
High exposure to loan and gas in non performing loans, 6% but will not significantly affect the bank
Acquisition of Barclay's wealth management to access ultra net worth clients and investment management capability ,without incurring any liability from barclays. It is sitting again on assets that hopefully is overlooked by analysts.
High exposure to loan and gas in non performing loans, 6% but will not significantly affect the bank
Acquisition of Barclay's wealth management to access ultra net worth clients and investment management capability ,without incurring any liability from barclays. It is sitting again on assets that hopefully is overlooked by analysts.
Macroeconomic Outlook
I bought this bank because its cheap and hope the economy will grow.
Buy Sell Decision - Long term outlook
I bought OCBC through a regular Savings Plan together with STI Index. I only put a very small amount of OCBC and a larger amount in STI index. I don't know when to buy and sell, so I use dollar cost averaging to put my mind at ease.
STI Index
With the government finally waking up their idea and willing to pursue technological changes to restructure the economy, to focus on productivity gains instead of importing cheap foreign labour, I believe that economy will grow and may even break resistance levels and achieve new heights.
OCBC
OCBC share price is low enough to enjoy capital gains, and for me to invest in a lower amount. It is high enough to resist price speculation and attacks by speculators.Bank stocks are notorious for large fluctuations and it share price is correlated with every twitter update from Donald Trump, and geopolitical risks.
Capital not fully optimised, so there is room for improvement in terms of share buybacks as well as
Fin-tech implementation will not replace banks, but will change processes. Fin-tech will be incorporated into process where trust element need not be strong. Bank processes are complex (even I don't understand its full complexities despite working in a bank myself) and human trust, and faith in the brand and bankers are irreplaceable.
OCBC is also focusing on technological advancements and is following development of Api, blockchain, cloud computing.
I am actually considering to buy OCBC in bulk on a choice day. I will revisit this stock in due course.
I bought this bank because its cheap and hope the economy will grow.
Buy Sell Decision - Long term outlook
I bought OCBC through a regular Savings Plan together with STI Index. I only put a very small amount of OCBC and a larger amount in STI index. I don't know when to buy and sell, so I use dollar cost averaging to put my mind at ease.
STI Index
With the government finally waking up their idea and willing to pursue technological changes to restructure the economy, to focus on productivity gains instead of importing cheap foreign labour, I believe that economy will grow and may even break resistance levels and achieve new heights.
OCBC
OCBC share price is low enough to enjoy capital gains, and for me to invest in a lower amount. It is high enough to resist price speculation and attacks by speculators.Bank stocks are notorious for large fluctuations and it share price is correlated with every twitter update from Donald Trump, and geopolitical risks.
Capital not fully optimised, so there is room for improvement in terms of share buybacks as well as
Fin-tech implementation will not replace banks, but will change processes. Fin-tech will be incorporated into process where trust element need not be strong. Bank processes are complex (even I don't understand its full complexities despite working in a bank myself) and human trust, and faith in the brand and bankers are irreplaceable.
OCBC is also focusing on technological advancements and is following development of Api, blockchain, cloud computing.
I am actually considering to buy OCBC in bulk on a choice day. I will revisit this stock in due course.
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