Top 5 Investment Strategies to Grow Your Wealth in Singapore

Real Estate Investment Trusts (REITs) are a Singaporean favourite for a reason—they’re like owning property without the HDB loan hassle. Singapore is a global hub for REITs, making it an excellent option for investors looking to gain exposure to real estate without the need for large capital outlays. The benefits of investing in REITs include:

• Steady Income: According to administrative policies, REITs are required to distribute at least 90% of their taxable income as dividends. This provides you with a reliable income stream.
• Diversification: REITs invest in a variety of properties, including commercial, retail, industrial, and residential assets. Hence, you are able to invest in a diversified market.
• Liquidity: Unlike physical property, REITs can be easily bought and sold on the stock exchange.
• Low Entry: You can start with as little as $100 via platforms like FSMOne or Tiger Brokers in Singapore.
• Stability: Singapore’s property market is resilient, even in global downturns. Investing in REITs offers you a stable choice for increasing your wealth.

REITs pool money from investors to buy income-generating real estate—think malls like VivoCity, offices in Raffles Place, or industrial hubs in Tuas. You buy shares in these trusts (listed on the SGX), and they pay out dividends, often quarterly, from rental income. In 2025, Singapore REITs like CapitaLand Integrated Commercial Trust or Mapletree Logistics Trust are goldmines for steady cash flow.

• CapitaLand Integrated Commercial Trust (CICT)
• Mapletree Logistics Trust
• Ascendas REIT

The stock market is one of the most popular avenues for wealth creation, and Singapore’s stock exchange, the Singapore Exchange (SGX), offers a wide range of investment opportunities. There are several benefits of investing in stocks in Singapore, including the following:

• Potential for High Returns: Historically, the stock market has delivered higher returns compared to traditional savings accounts or fixed deposits, not only in Singapore but worldwide.
• Diversification: The stock market offers a diverse investment environment. You can invest in a variety of sectors, including banking, real estate, technology, and healthcare.
• Dividend Income: Many Singapore-listed companies, such as those in the REITs (Real Estate Investment Trusts) sector, offer attractive dividend yields, making them a good source of passive income.

The process of investing in the stock market begins with opening a brokerage account with a reputable platform like DBS Vickers, POEMS, or Tiger Brokers. You can even consider investing in blue-chip stocks like DBS Group, Singtel, or CapitaLand for stability. Use dollar-cost averaging (DCA) to invest consistently over time, which reduces the impact of market volatility.

• Start with a plan, define your financial goals (e.g., retirement, buying a home), and determine your risk tolerance and investment horizon.
• Do your research by analyzing companies, industries, and market trends. Also focus on fundamentals like revenue, earnings, and debt.
• Diversify your portfolio by spreading investments across sectors and asset classes to reduce risk.
• Use Dollar-Cost Averaging (DCA) by investing a fixed amount regularly, regardless of market conditions. This reduces the impact of market volatility over time.
• Focus on long-term growth and avoid chasing short-term gains.
• Monitor fees and costs by choosing low-cost brokerage platforms.
• Reinvest dividends to benefit from compounding returns.
• Periodically assess your portfolio to ensure it aligns with your goals.

The Central Provident Fund (CPF) isn’t just a safety net—it’s a wealth-building machine if you use it right. The CPF is a cornerstone of Singapore’s social security system, which helps Singapore citizens save for retirement, healthcare, and housing. Apart from this primary purpose, CPF also offers investment opportunities to grow your savings further. Below are some of the benefits of investing in CPF:

• Risk-Free Returns: 4% returns on most savings accounts; no market swings are involved.
• Tax Perks: Returns from CPFIS investments are tax-free.
• Compounding Power: The high-potential returns get compounded by a rate of 4%.

The CPF Investment Scheme (CPFIS) allows CPF members to invest their Ordinary Account (OA) and Special Account (SA) savings in a range of approved financial products to potentially earn higher returns than the CPF's guaranteed interest rates. You can top up your CPF Special Account (SA) or Retirement Account (RA) beyond the mandatory contributions. The process involves opening a CPF investment account. Then you can choose your investments and select products that align with your goals and risk tolerance. Over time, review your investments and make adjustments as needed.

• Start early in your career as the earlier you invest, the more time your money has to grow through compounding.
• Diversify your portfolio and spread your investments across different asset classes to reduce risk.
• Focus on low-cost investments by choosing products with low fees, such as ETFs, to maximise returns.
• Understand your risk tolerance.
• Regularly review your portfolio to ensure it aligns with your financial goals.
• Compare CPF interest rates
• Use CPF SA for long-term growth as SA funds earn a higher interest rate (4.0%). This is a good option for retirement.

Exchange-traded funds (ETFs) are your ticket to global markets with minimal effort. ETFs are a cost-effective and efficient way to diversify your portfolio, especially for beginners. An ETF is a type of investment fund that tracks the performance of a specific index, sector, commodity, or asset class. It is traded on stock exchanges, just like individual stocks, and offers exposure to a diversified portfolio of assets in a single transaction. There are several benefits of investing in ETFs:

• Diversification: Reduces risk by spreading investments across multiple assets.
• Low Cost: Lower management fees compared to actively managed funds.
• Liquidity: Easily buy and sell ETFs on the stock exchange.
• Transparency: Holdings are disclosed daily, providing clarity.
• Flexibility: Invest in a wide range of markets and asset classes.

To buy and sell ETFs, you’ll need to open a brokerage account with a platform that offers access to the Singapore Exchange (SGX) or international markets.  Then you have to research and select ETFs according to your requirements. Once selected, you can log in to your brokerage account and search for the ETF you want to invest in. Specify the number of units you wish to buy and place your order (market or limit order). Then, you can track the performance of your ETF and the underlying index.

• Determine your investment objectives (e.g., growth, income, diversification).
• Select the ETFs that align with your goals and risk tolerance.
• Invest in multiple ETFs to spread risk across different sectors or regions.
• Compare expense ratios and trading fees to minimise costs.
• Invest a fixed amount regularly to reduce the impact of market volatility.
• Keep up with market trends and ETF performance.

• SPDR Straits Times Index ETF (STI ETF)
• Nikko AM Singapore STI ETF
• Lion-OCBC Securities Hang Seng TECH ETF

Fixed Deposits (FDs) and Singapore Savings Bonds (SSBs) are two of the most popular choices for Singaporeans in terms of low-risk investment options. Both these options offer guaranteed returns and are ideal for conservative investors or for those people who are looking to preserve their capital while earning steady interest.

Some of the benefits of fixed-deposits and SSBs include:

• Safety: The principal amount and interest are guaranteed by the bank.
• Predictable Returns: You know exactly how much you’ll earn.
• Flexibility: Choose tenures that align with your financial goals.
• Step-Up Interest: Higher returns the longer you hold the Singapore savings bond.
• Liquidity: Access your funds when needed without penalties.

For fixed deposits:

• You can visit a bank branch or apply online through the bank’s website.
• Choose the FD product and tenure that suits your needs.
• Then transfer the deposit amount from your bank account.

For SSB:

• You can apply through your bank’s internet banking portal or the MAS website.
• Use your Central Depository (CDP) account to hold the bonds.
• Pay for your SSB investment via direct debit from your bank account.

• Check interest rates offered by different banks for fixed deposits and the latest SSB rates on the MAS website.
• For fixed deposits, spread your investments across different tenures to take advantage of higher rates for longer tenures.
• Banks often offer promotional fixed deposit rates, so keep an eye out for such deals.
• Reinvest your interest earnings to benefit from compounding.
• Consider splitting your savings between FDs and SSBs to balance liquidity and returns.

Although these five strategies offer great opportunities for prospective investors, they are not a one-size-fits-all solution. Based on your individual financial situation and investment understanding, you can mix and match based on your goals. For younger individuals between the ages of 20 and 30, we recommend you lean into ETFs for growth. During your 40s, we advise you to balance REITs and CPF top-ups for income and security. In your 50s, you can prioritise CPF and REITs for retirement cash flow.

Singapore is a land of opportunity, but wealth doesn’t grow on trees—it takes strategy and consistent effort. REITs give you steady payouts, CPF locks in safe gains, and ETFs spread your bets. By understanding the features and benefits of each of the investment opportunities, you can choose the option that best aligns with your financial goals and risk tolerance. The idea is to start small, stay consistent, and watch your money work harder than you do.