What is the best Straits Times Index ETF?
3 min read
By Ron Koren, ETF Insider

What is the best Straits Times Index ETF?

Singapore's bustling stock market attracts global investor attention, with many setting their sights on the Straits Times Index (STI) ETFs. We embark on an expedition to distinguish the premier STI ETFs, further illuminating the landscape by contrasting them with international counterparts, empowering investors to make enlightened choices.

Unveiling the Apex STI ETFs : Prime Contenders

The SPDR Straits Times Index ETF (SGX: ES3), steered by State Street Global Advisors, ardently emulates the Straits Times Index, standing tall amongst its peers.
Not far behind are:

Nikko AM Singapore STI ETF (SGX: G3B): Nikko Asset Management's masterpiece mirrors the Straits Times Index, offering a genuine Singapore stock market experience.

Lion-Phillip S-REIT ETF (SGX: CLR): Although its primary allegiance lies with Singapore's real estate investment trusts (S-REITs), its engagement with the Straits Times Index cannot be overlooked.

When juxtaposed with its kin, these ETFs shine brightly due to their competitive expense structures, robust liquidity, and unwavering allegiance to the STI, establishing them as prime conduits for investors anchored to Singapore's fiscal narrative.

AIA overlap What is the best Straits Times Index ETF?AIA overlap What is the best Straits Times Index ETF?

Widening the Lens: Global STI Insights : International Avenues

Venturing beyond the local frontier, a suite of US ETFs paint the Singapore canvas:
iShares MSCI Singapore ETF (NYSE Arca: EWS): Revolving around the MSCI Singapore Index, it's an ode to the crescendo of large and mid-cap Singaporean symphonies.

iShares MSCI ACWI ex U.S. ETF (NASDAQ: ACWX): A wider lens capturing the MSCI All Country World ex USA Index, it resonates with diverse national tones, Singapore's included.

iShares Asia 50 ETF (NASDAQ: AIA): A mosaic from the S&P Asia 50 Index, converging the luminaries from Asia, Singapore shimmering amidst them.

STI ETF Metrics: Beyond Numbers : Delving Deeper

To discern the crème de la crème of STI ETFs, one must voyage through historical arcs, expense contours, liquidity pools, and risk-management strategies. Aligning these with personal fiscal aspirations and risk appetites is paramount.

STI ETFs: The Grand Finale : Conclusive Thoughts

Reflecting upon our journey, vanguards like ES3, G3B, and CLR emerge as luminous beacons in the STI ETF galaxy. The global palette, enriched by EWS and AIA, further broadens the horizon. Nevertheless, meticulous research and harmonization with individual fiscal goals stand as prerequisites before chartering any investment voyage.

Disclaimer: This exposition is crafted for informational cadence and steers clear of investment advisories.

Sources:
EWS ETF issuer
EWS ETF official page

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FAQ

  • What is the Straits Times Index (STI) ETF?

    The Straits Times Index (STI) ETF is an exchange-traded fund that aims to track the performance of the Straits Times Index, which is the benchmark stock market index for the Singapore stock market.

  • What are the advantages of investing in the Straits Times Index (STI) ETF?

    Investing in the Straits Times Index (STI) ETF offers exposure to a diversified portfolio of Singapore-listed companies, providing investors with a convenient way to gain broad market exposure in Singapore. It can provide potential long-term growth opportunities and dividends from the underlying stocks.

  • Which ETFs track the Straits Times Index (STI)?

    Some of the ETFs that track the Straits Times Index (STI) include the SPDR Straits Times Index ETF, Nikko AM Singapore STI ETF, and Lion-Phillip S-REIT ETF.

  • What factors should I consider when choosing a Straits Times Index (STI) ETF?

    When choosing a Straits Times Index (STI) ETF, consider factors such as expense ratio, tracking error, trading liquidity, fund size, and the provider's reputation. Additionally, you may want to evaluate any specific features or investment strategies offered by different ETF providers.

  • Can I invest in the Straits Times Index (STI) ETF if I am not based in Singapore?

    Yes, many international investors can invest in the Straits Times Index (STI) ETF through their local brokerage accounts. However, it's essential to check with your brokerage firm to ensure they offer access to Singapore-listed ETFs.