3 Temasek Portfolio Stocks With The Highest 3-Year Returns
 
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3 Temasek Portfolio Stocks With The Highest 3-Year Returns

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Temasek Holdings is Singapore’s state-owned sovereign wealth fund that manages its assets using a long-term view and based on rigorous due diligence.

Temasek Logo

Temasek holds a diverse range of assets ranging from private to public equities, and as of the end of the 2019 financial year (31 March 2019), the portfolio had a net value of S$313 billion, up slightly from 2018’s S$308 billion.

The fund’s total shareholder return over 10 years stood at 9%, and Temasek’s portfolio includes at least 25 listings on the Singapore Exchange (SGX).

In a write-up published by SGX, it highlighted the three-best performing SGX-listed non-REIT stocks within Temasek’s portfolio on a three-year total return basis.

Investors who are searching for steady performers need not look elsewhere, as Temasek’s portfolio provides a great starting point for research.

Disclaimer: This is not a sponsored post. Opinions expressed in the article should not be taken as investment advice. Please do your own due diligence.


1. DBS Group Holdings Ltd

DBS Group Logo

DBS Group Holdings Ltd (SGX: D05) is one of Singapore’s three big banks.

The group provides a comprehensive range of banking services for individuals, SMEs, and multinational corporations. DBS has a presence in 18 markets and employs around 27,000 staff.

DBS registered a stellar total 3-year return of 88.5% and is the leader of the pack when it comes to performance.

DBS ATM
Source: Straits Times

The bank has grown its revenue and net profit impressively over the last few years and has also committed to paying a quarterly dividend of S$0.30 per share from this fiscal year onwards.

2. ST Engineering Limited

ST Engineering Logo

ST Engineering Limited (SGX: S63), or STE, is a global technology, defence, and engineering group with four key divisions:

  • aerospace
  • electronics
  • land systems, and
  • marine

The group employs about 22,000 people and serves customers in more than 100 countries.

STE registered a total 3-year return of 33.6%.

The group has been steadily growing its orders, and as of H1 2019, it reported a record-high order book of S$15.6 billion.

Financial performance was also healthy as revenue for the half-year increased by 6% year on year, while net profit jumped by 14% year on year.

In addition, the group has just acquired Middle River Aerostructure Systems (MRAS) in April 2019.

ST Engineering Serh Ghee Lim discusses the future of MRAS
Source: MRAS

And assimilated it into the aerospace division, so investors should see a full contribution from this unit from Q3 2019 onward.

3. Keppel Corporation Limited

Keppel Corporation Logo

Keppel Corporation Limited (SGX: BN4) is a conglomerate with four key divisions:

  • offshore and marine
  • property
  • infrastructure, and
  • investments.

The offshore and marine division provides oil rig design, construction, and repair and is one of the largest oil rig businesses globally.

Keppel Corp Ship
Source: Reuters

Property is parked under Keppel Land, which develops and invests in real estate throughout the region.

Keppel’s total 3-year return stood at 27.9%, and the group has sailed through one of the most challenging periods in its corporate history, with collapsing oil prices affecting its oil rig division from 2015 through to the present.

While net profit was down for H1 2019 due to lower contributions from the en-bloc sale of properties, the group is now standing on firmer ground as it has multiple divisions to buffer the tough conditions in the oil and gas industry.

Want More In-Depth Analysis And Discussion?

Why not check out Seedly’s QnA and participate in the lively discussion surrounding stocks like DBS (SGX: D05), ST Engineering (SGX: S63), Keppel Corporation (SGX: BN4), and many more!

Participate In The Stocks Discussion Now!


Seedly Guest Contributor: The Motley Fool

For our Stocks Analysis, the Seedly team worked closely with The Motley Fool, who is an expert in the field, to curate unbiased, non-sponsored content to add value back to our readers.

The Motley Fool offers stock market and investing information, offering people suggestions on how to take control of their money and make better financial decisions.

The Motley Fool Singapore primarily covers the Singapore market, though we also bring investing news from around the world. We also host a range of educational content, written for everyday people. We feel that the best person to make your financial decisions is you, and we want to help you take control of your own money. The Motley Fool also champions shareholder values and advocates tirelessly for the individual investor.

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