The Higher for Longer Theme
Into the 2nd quarter of the year, the market realised that inflation may not be falling after all. The stock market for one is heating up as earnings from major corporations over the world showed strong growth.
April was also a month full of annual general meetings. I have personally attended meetings of DBS, UOB, Capland India and HR Net. My main takeaway from these meetings is that the Singapore economy together with regional South East Asia will be a bright spot for the year.
With higher interest rates for longer, the local banks are benefitting from high net interest margins as well as non-interest income. The rise in the valuation of the local banks enables them to constitute almost half of the Straits Times Index
With such a huge weighting on the STI, it will likely be much more difficult for the SRS Fund to outperform as it begins to underweight the 3 local banks on a relative basis.
The SRS Fund ended Apr at its all-time high up 0.35% YTD as dividends from investees began their contributions. Strong performance by the 3 local banks also contributed, taking the SRS Fund into positive territory for the year.
Portfolio Segments
Finance will likely continue to play an important driver of the SRS Funds with Singapore being at the heart of the emerging Southeast Asia economy. I will continue to look for more diversification opportunities as the SRS Fund evolve into an all-weather Fund.
Dividends
Dividends continue to trickle in for April with $1080.00. The SRS Fund would expect the record dividend to be received in May as companies approve them during their AGMs.
SRS Fund Value
The SRS Fund hit a historical high of $382,183.32 and is expected to continue its upward trajectory given the heating stock market in May.
Cash Levels
The cash level is expected to increase as dividends begin to contribute in May. Cash level may also see a spike if the Fund can continue divesting its REITs holdings.
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The SRS Fund Mar 2026
It is an enduring market reality that a concentrated minority of holdings drives the vast majority of returns. For years, DBS (currently the largest individual holding at 20.6%) has served as the compounding engine of the SRS Fund.
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MyNest US Fund Mar 26
March shattered any lingering market complacency, pivoting sharply from the localized damage of the “SaaS-pocalypse” to a systemic shock driven by the war in Iran.
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The SRS Fund Feb 2026
The Singapore Budget 2026 has set a robust backdrop for local investors. For the third consecutive year, the government is operating from a position of immense “dry powder,” with an overall fiscal surplus of $8.5 billion projected for FY2026.
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MyNest US Fund Feb 26
February 2026 proved to be one of the most challenging months for our fund since its inception. A wave of “AI anxiety” swept through the Software-as-a-Service (SaaS) sector
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The SRS Fund Jan 2026
After a blockbuster 2025 that saw GDP growth hit a surprise 4.8%, the first month of 2026 has proven that the momentum is far from a fluke. Between record-breaking stock market performance and massive industrial investments, the “Little Red Dot” is making a very big noise.
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MyNest US Fund Jan 26
I have a confession to make. After reading Chip War at the end of 2022, I fully grasped the strategic importance of TSMC and ASML in the global semiconductor supply chain.
MYNEST.SG 