There are 3 big banks in Singapore, namely DBS, OCBC and UOB. All 3 of them are dividend aristocrats and pay consistent dividends over the years. Because of COVID-19, however, the Monetary Authority of Singapore (MAS) has called on the 3 banks in Singapore to cap their total dividends per share (DPS) for FY2020 at 60% of FY2019’s DPS.
Are the banks in Singapore still attractive to look at with their dividend cut? In addition, there has been talk of the rising threat of digital banks in Singapore. Will digital banks be a disruptor to the 3 local banks?
In this episode, we share our findings and insights on the 3 Singapore banks and if they are worth considering at their current valuation.
