Why Invest in Singapore?

As Singaporeans, we have certain advantages when it comes to investing in companies listed in Singapore.

Reason 1: No one knows Singapore better than Singaporeans

When placing your life savings into a company, information is everything. Being Singaporeans, we are the first to know about news in Singapore. For instance, if your company is the owner of a chain of restaurants, you would be in the best position to know if these outlets are doing well by just walking around shopping malls. If popularity of this restaurant suddenly dies down, you would be the first to know as well. A foreigner would only be able to receive such information if a company announcement is made.

Disclaimer: Such a benefit is of course not applicable to all types of businesses. In many, Singaporeans would probably have no advantage over a foreigner with regards to this point, for example, a Singaporean listed company with retail outlets overseas, or a rig building company where the general masses are not able to witness company operations.

Reason 2: Able to attend AGMs

A Singapore listed company would probably hold their Annual General Meetings (AGMs) in Singapore (with the exception of a few companies, but video conference would still probably be an option). Such meetings are crucial if you want to receive more information on the company, especially those that cannot be published publicly. AGMs allow investors to interact with the management and pick up additional information or notions deliberately or casually which can affect one's confidence in that company. Singaporeans have that geographical advantage, and would have a higher propensity to attend such meetings. (Fly all the way to the US to attend a Google Inc AGM - no way)

Reason 3: Able to get insider info more easily

Sometimes, speaking to employees and customers of both a company and its competitors' can tell you a lot about that company. Being Singaporeans, we would have people we knew working in many Singaporean listed companies, and a casual question about their company's prospects or management can go a long way in helping you make that intelligent investment decision. Foreigners definitely do not have this luxury.