Others   

3 BIG Spore banks ....:))

Today, evil shorties all caught with their ........................ 



 

 

Mid-Year Window Dressing today lah

 

The chance is very high w MAS just annoucing over 6% growth for this year. 
Stress tests is more a formal process as we are aware all 3 banks already have large provision for bad loans . 
In fact, end or this year , I am looking forward to see how much of this provision will be pull back to profit LOL 
Happy investing. 

Goldfinger      ( Date: 30-Jun-2021 12:54) Posted: Hope the banks will pay out big fat special dividends to make up for the MAS dividend cap restrictions - which are now seemingly unnecessary and over conservative. Starship      ( Date: 30-Jun-2021 12:30) Posted: Singapore to Conduct Bank Stress Tests to Assess Dividend Curbs June 30, 2021, 11:22 AM GMT+8 Singapore&rsquo s financial regulator is carrying out additional stress tests on banks to assess whether the current restrictions on dividends need to be extended. The central bank wants to make sure lenders are a &ldquo source of strength&rdquo for the economy as &ldquo quite a bit of uncertainties remain,&rdquo Monetary Authority of Singapore Managing Director Ravi Menon said during a briefing on its annual report on Wednesday. The stress tests will &ldquo very much guide our decision going forward&rdquo and the MAS will advise on its decision &ldquo very shortly.&rdquo Although concerns that defaults among weaker companies could strain banks&rsquo profitability and capital positions haven&rsquo t materialized, problem loans can take time to surface, Menon said. Singapore&rsquo s cautious stance on dividend payouts comes as major U.S. banks  announce  plans to raise dividends after amassing cash piles that easily meet regulatory requirements. Regulators in the U.K. and Australia also eased restrictions on dividends payout last year. The MAS last July asked banks to cap their  2020 dividends  at 60% of 2019 levels to ensure a sufficient flow of loans during the coronavirus pandemic. The regulator made the request as a preemptive measure after stress tests showed that local banks were resilient, it said at the time. https://www.bloomberg.com/news/articles/2021-06-29/singapore-to-focus-on-local-virus-cluster-trends-prevention

 

Hope the banks will pay out big fat special dividends to make up for the MAS dividend cap restrictions - which are now seemingly unnecessary and over conservative.

Starship      ( Date: 30-Jun-2021 12:30) Posted: Singapore to Conduct Bank Stress Tests to Assess Dividend Curbs June 30, 2021, 11:22 AM GMT+8 Singapore&rsquo s financial regulator is carrying out additional stress tests on banks to assess whether the current restrictions on dividends need to be extended. The central bank wants to make sure lenders are a &ldquo source of strength&rdquo for the economy as &ldquo quite a bit of uncertainties remain,&rdquo Monetary Authority of Singapore Managing Director Ravi Menon said during a briefing on its annual report on Wednesday. The stress tests will &ldquo very much guide our decision going forward&rdquo and the MAS will advise on its decision &ldquo very shortly.&rdquo Although concerns that defaults among weaker companies could strain banks&rsquo profitability and capital positions haven&rsquo t materialized, problem loans can take time to surface, Menon said. Singapore&rsquo s cautious stance on dividend payouts comes as major U.S. banks  announce  plans to raise dividends after amassing cash piles that easily meet regulatory requirements. Regulators in the U.K. and Australia also eased restrictions on dividends payout last year. The MAS last July asked banks to cap their  2020 dividends  at 60% of 2019 levels to ensure a sufficient flow of loans during the coronavirus pandemic. The regulator made the request as a preemptive measure after stress tests showed that local banks were resilient, it said at the time. https://www.bloomberg.com/news/articles/2021-06-29/singapore-to-focus-on-local-virus-cluster-trends-prevention

 

Singapore to Conduct Bank Stress Tests to Assess Dividend Curbs
June 30, 2021, 11:22 AM GMT+8

Singapore&rsquo s financial regulator is carrying out additional stress tests on banks to assess whether the current restrictions on dividends need to be extended.

The central bank wants to make sure lenders are a &ldquo source of strength&rdquo for the economy as &ldquo quite a bit of uncertainties remain,&rdquo Monetary Authority of Singapore Managing Director Ravi Menon said during a briefing on its annual report on Wednesday. The stress tests will &ldquo very much guide our decision going forward&rdquo and the MAS will advise on its decision &ldquo very shortly.&rdquo

Although concerns that defaults among weaker companies could strain banks&rsquo profitability and capital positions haven&rsquo t materialized, problem loans can take time to surface, Menon said.

Singapore&rsquo s cautious stance on dividend payouts comes as major U.S. banks  announce  plans to raise dividends after amassing cash piles that easily meet regulatory requirements. Regulators in the U.K. and Australia also eased restrictions on dividends payout last year.

The MAS last July asked banks to cap their  2020 dividends  at 60% of 2019 levels to ensure a sufficient flow of loans during the coronavirus pandemic. The regulator made the request as a preemptive measure after stress tests showed that local banks were resilient, it said at the time.

https://www.bloomberg.com/news/articles/2021-06-29/singapore-to-focus-on-local-virus-cluster-trends-prevention

 

 

Banks are on the run .....w end of 1H .....US banks are doing share buy back n higher dividends/ 
ALL awaiting MAS comment on dividend policy for banks ......dyodd

 

SIXTEEN banks in Singapore have suffered nearly US$300 million in " actual monetary loss" out of a total US$2.77 billion loans they were allegedly " deceived" into extending to collapsed oil trader Hin Leong Trading (HLT) by the company' s founder Lim Oon Kuin.

Honestly this numbers came in far lower then I expected .....believe the portion to each 3 big banks wld be minimum and most important alrdy long provisioned . 

 

Our Regulator is so so far behind the curve and slow to remove the dividend caps on our Local Banks.

Starship      ( Date: 29-Jun-2021 16:00) Posted: US banks hike dividends after clearing Fed stress tests PUBLISHED 7 HOURS AGO NEW YORK (REUTERS) - Morgan Stanley, JPMorgan, Bank of America, Goldman Sachs and Wells Fargo said on Monday (June 28) they were hiking their capital payouts after the United States Federal Reserve gave them a clean bill of health  following their annual " stress tests" last week. Analysts and investors had expected the country' s largest lenders to start issuing as much as US$130 billion (S$174.6 billion) in dividends and stock buybacks from next month after the Fed last week ended emergency pandemic-era restrictions on how much capital they could give back to investors. Morgan Stanley delivered the biggest surprise to investors, however, saying it would double its dividend to 70 US cents a share in the third quarter of this year. Some analysts had been expecting a boost to about 50 cents. The Wall Street giant also said it would increase spending on share repurchases. Its shares rose as much as 3.7 per cent in after-market trading following the announcement. Morgan Stanley chief executive  James Gorman said in the announcement that the bank could return so much capital because of the excess it has accumulated over several years. The action, he said, " reflects a decision to reset our capital base consistent with the needs we have for our transformed business model" . Bank of America Corp said it will hike its dividend by 17 per cent to 21 cents a share beginning in the third quarter of this year, and JPMorgan Chase & Co said it will go to US$1 a share from 90 cents for the third quarter. Goldman Sachs Group said it planned to increase its common stock dividend to US$2 per share from US$1.25. Wells Fargo & Co, which has built up capital more rapidly than rivals due in part to a Fed-imposed cap on its balance sheet, said it plans to repurchase US$18 billion of stock over the four quarters beginning in September. The repurchase target amounts to nearly 10 per cent of its stock market value and is line with expectations from analysts. Wells Fargo, which for years has been trying to move past a series of costly mis-selling scandals, said it was doubling its quarterly dividend to 20 cents a share, consistent with analyst expectations. " Since the Covid-19 pandemic began, we have built our financial strength... as well as continuing to remediate our legacy issues," CEO Charlie Scharf said in a statement. " We will continue to do so as we return a significant amount of capital to our shareholders," Mr Scharf added. Citigroup, meanwhile, confirmed analysts' estimates that a key part of its required capital ratios had increased under the stress test results to 3  per cent from 2.5 per cent. A hike of that size will limit Citigroup' s share buybacks, versus its peers, a report from analyst Vivek Juneja of JPMorgan shows. Mr Juneja expects Citigroup will have the lowest capital return of big banks he covers. Citigroup CEO Jane Fraser said the bank will continue its " planned capital actions, including common dividends of at least US$0.51 per share" and buying back shares in the market. Bank of America' s shares were flat in after hours trading, Goldman Sachs' shares were up 0.6 per cent,  Citigroup' s were  down  0.9 per cent and JPMorgan' s were down 0.3 per cent. The Fed said on Thursday it was ending its remaining curbs on dividend payouts after finding the country' s largest banks would remain well capitalised in its latest stress tests. https://www.straitstimes.com/business/banking/us-banks-hike-dividends-after-clearing-fed-stress-tests

 

US banks hike dividends after clearing Fed stress tests
PUBLISHED
7 HOURS AGO

NEW YORK (REUTERS) - Morgan Stanley, JPMorgan, Bank of America, Goldman Sachs and Wells Fargo said on Monday (June 28) they were hiking their capital payouts after the United States Federal Reserve gave them a clean bill of health  following their annual " stress tests" last week.

Analysts and investors had expected the country' s largest lenders to start issuing as much as US$130 billion (S$174.6 billion) in dividends and stock buybacks from next month after the Fed last week ended emergency pandemic-era restrictions on how much capital they could give back to investors.

Morgan Stanley delivered the biggest surprise to investors, however, saying it would double its dividend to 70 US cents a share in the third quarter of this year. Some analysts had been expecting a boost to about 50 cents.

The Wall Street giant also said it would increase spending on share repurchases. Its shares rose as much as 3.7 per cent in after-market trading following the announcement.

Morgan Stanley chief executive  James Gorman said in the announcement that the bank could return so much capital because of the excess it has accumulated over several years. The action, he said, " reflects a decision to reset our capital base consistent with the needs we have for our transformed business model" .

Bank of America Corp said it will hike its dividend by 17 per cent to 21 cents a share beginning in the third quarter of this year, and JPMorgan Chase & Co said it will go to US$1 a share from 90 cents for the third quarter.

Goldman Sachs Group said it planned to increase its common stock dividend to US$2 per share from US$1.25.

Wells Fargo & Co, which has built up capital more rapidly than rivals due in part to a Fed-imposed cap on its balance sheet, said it plans to repurchase US$18 billion of stock over the four quarters beginning in September.

The repurchase target amounts to nearly 10 per cent of its stock market value and is line with expectations from analysts.

Wells Fargo, which for years has been trying to move past a series of costly mis-selling scandals, said it was doubling its quarterly dividend to 20 cents a share, consistent with analyst expectations.

" Since the Covid-19 pandemic began, we have built our financial strength... as well as continuing to remediate our legacy issues," CEO Charlie Scharf said in a statement.

" We will continue to do so as we return a significant amount of capital to our shareholders," Mr Scharf added.

Citigroup, meanwhile, confirmed analysts' estimates that a key part of its required capital ratios had increased under the stress test results to 3  per cent from 2.5 per cent.

A hike of that size will limit Citigroup' s share buybacks, versus its peers, a report from analyst Vivek Juneja of JPMorgan shows. Mr Juneja expects Citigroup will have the lowest capital return of big banks he covers.

Citigroup CEO Jane Fraser said the bank will continue its " planned capital actions, including common dividends of at least US$0.51 per share" and buying back shares in the market.

Bank of America' s shares were flat in after hours trading, Goldman Sachs' shares were up 0.6 per cent,  Citigroup' s were  down  0.9 per cent and JPMorgan' s were down 0.3 per cent.

The Fed said on Thursday it was ending its remaining curbs on dividend payouts after finding the country' s largest banks would remain well capitalised in its latest stress tests.

https://www.straitstimes.com/business/banking/us-banks-hike-dividends-after-clearing-fed-stress-tests

 

End Jun coming w just another trading day tmr . 
Actually all 3 banks are holding on relatively well considering the pandemic situation in our close neighbors ......
However, w US bank results coming forward ( share buy back n dividend distribution ) ......Spore banks wld be hving their result early Aug 
One wld see a reasonable Q2 esp after the strong Q1.  BUT the biggest catalyst wld be 1H dividend ( esp for OCBC n UOB . )
If the cap is remove....UOB maybe giving 55/60c and OCBC 30/32 which is great yield for both of these banks 
MAS should be announcing this first week of July /I hope 
Happy investing. 

 

OCBC' s price action is the weakest, DBS is the strongest.  Any negative news?

 

Is script dividend at $11.89 attractive or too expensive? any views?

subaru      ( Date: 14-Jun-2021 13:51) Posted: can indicate online, not by mail. FATABA      ( Date: 14-Jun-2021 12:33) Posted: U may not have enough time / by mail , today is last day  It depend on yr wish .....some really dont like the odd lot allocation /also hw many shares do you have etc To each is their own.  good luck

 

can indicate online, not by mail.

FATABA      ( Date: 14-Jun-2021 12:33) Posted: U may not have enough time / by mail , today is last day  It depend on yr wish .....some really dont like the odd lot allocation /also hw many shares do you have etc To each is their own.  good luck  subaru      ( Date: 14-Jun-2021 12:17) Posted: Are bros here planning to take OCBC script dividend?  need to indicate by 5pm today.

 

U may not have enough time / by mail , today is last day 
It depend on yr wish .....some really dont like the odd lot allocation /also hw many shares do you have etc
To each is their own.  good luck 

subaru      ( Date: 14-Jun-2021 12:17) Posted: Are bros here planning to take OCBC script dividend?  need to indicate by 5pm today.

 

14 Jun 2021

Eyes on the FED
- Look out for FED& rsquo s comments on inflation outlook and timing to start tapering assets purchase rate at the FOMC meeting on Thursday
- 5% US CPI for May was stronger-than-expected, this follows a strong 4.2% CPI for April
- DBS rates strategist sees the FED signalling taper of asset purchases later this year
- Maintains his view for US 10Y yield to reach 2% this year and head towards 2.5% thereafter
- Potential beneficiaries of rising inflation environment are banks  UOB  (preferred pick) and  OCBC

https://www.dbs.com.sg/treasures/aics/archive/templatedata/article/generic/data/en/GR/062021/210614_singapore_stock_pulse.xml

 

Are bros here planning to take OCBC script dividend?  need to indicate by 5pm today.

 

after hitting recent new high for our banks ...esp DBS, all 3 banks have drop back .
DONT FORGET coming result are END Jul / half year which means dividend for UOB n OCBC ....will the cap be remove ? ( or at least change to 80%) 
Whatever, do expect a good set of result for Q2 and so half year.  by then hopefuly the Spore econ will be reopen again. 
DYODD 

 

The main reason currently is that UOB are much into the SME business n loan,    DBS and esp OCBC have excellent Q1 results. 
Pandemic will hit SME harder ,  but UOB will recover , only maybe a little longer. 
IF the dividend cap is removed....it will be a BIG catalyst for UOB esp after 1H result as UOB can give 55c per half year. 
Dyodd 
Happy investing. 

Starship      ( Date: 28-May-2021 10:26) Posted: DBS hits yet another Record High but UOB still stuck at more than $4 below DBS !!!!!

 

DBS hits yet another Record High but UOB still stuck at more than $4 below DBS !!!!! 

 

BULL run BULL run for Singapore banks ......DONT sell ,  FUND are comng in
BIG BIG married deals ....ESP OCBC , large 3+M deal done before market open . 
DYODD
Super happy investing. 

FATABA      ( Date: 27-May-2021 17:09) Posted: OCBC book value according to Phillip is 11.09 so 1.2X it is $13.30  Hope it address yr quesiton.  ( some site might use a different book value ....but the estimate wld not be out a lot )  Dyodd subaru      ( Date: 27-May-2021 17:04) Posted: Based on 1.2x, is ocbc book at $10.xx