UOBKH’s Alpha Picks returned 5.6% in August, beating the STI’s 2.3%, but two big contributors, OCBC and Keppel, still sit below my 3.2% forensic yield floor. I explain why a near-10% monthly rally in OCBC actually made the yield gap worse, not better, and how Keppel’s overvalued fair value adds a different flavour to the same income problem. If you’re counting on dividends to fund retirement drawdown, this is the distinction that keeps your CPF and SRS cashflow honest.
Key takeaways:
OCBC’s ordinary trailing yield is 2.79%, about 40 bps below the 3.2% floor, wider than before the rally
Keppel’s ordinary trailing yield is 2.91%, also below 3.2%, with fair value confirming overvaluation
Total-return picks and income-sustainability checks answer different questions for retirement portfolios
August sector moves: shipyards +8.5%, plantations +7%, tech +5.6%, REITs -3.8%
Iggy’s Forensic Disclaimer
This content is produced for educational and informational purposes only. I am not a financial advisor — I am a retail investor who applies forensic analysis to my own portfolio and shares that process publicly. Nothing here constitutes a recommendation to buy, sell, or hold any security, and no specific target prices or personalised financial advice are offered. Stocks assessed under Iggy’s Forensic Yield Standard are benchmarked against a 4.7% minimum yield hurdle; stocks flagged as Growth Watch fall below this threshold but demonstrate clean balance sheet metrics and an identifiable growth catalyst — these carry a materially different risk profile and are not suitable as yield replacements for income-dependent investors. All data is sourced from public filings and verified sources; where data is unverified it is explicitly flagged. All investments carry risk, including the potential loss of principal, and past performance is not indicative of future results. If you are making investment decisions involving CPF, SRS, or personal capital, please conduct your own due diligence or consult a MAS-licensed financial adviser before committing funds.
