How Much Dividends Do Stocks In The STI ETF Pay Out Each Year?

Stocks on Singapore’s Straits Times Index (STI) are generally known for paying a decent dividend. As of 30 January 2026, the STI’s dividend yield was 4.03%. This is higher compared to other major country indexes, such as Hong Kong’s Hang Seng Index (HSI) which pays a dividend yield of 2.88% or the S&P 500 index in the U.S. which pays only 1.14%.

However, the dividend yield only tells part of the story. To assess overall performance, we must consider total returns, which include both dividends and price appreciation. Over the past year, the Hang Seng Index (HSI) led with a 35.41% return, followed by the STI at 28.6% and the S&P 500 at 16.35%.

Looking at a longer horizon, the 5-year annualised return of the three indexes are 16.2% (for the STI), -3.17% (for the HSI) and 14.98% (for the S&P 500)

The STI’s strong performance over the past two years has enabled it to outperform the S&P 500 in both price returns and dividend income. Although the S&P 500 has a longer long-term growth track record, it does not provide comparable annual dividend payouts as the STI. For income-focused investors, investing in the US markets would require selling our investments to unlock cash, which includes additional costs such as brokerage fees.

The Hang Seng Index (HSI), on the other hand, pay a slightly lower dividend payout, but has been plagued by negative performance in the past 5 years – even though it has outperformed the STI in the past 12 months.

Read Also: Guide To Dividend Investing In Singapore

Investors Who Benefit From Dividend Investing

When we embark on our investing journey, there are many strategies we can use to build our portfolio. For many in Singapore, dividend investing is an attractive and important way to generate a return. As we can tell from the figures, we would have been the most well off if we invested in the S&P 500, but it does not pay an attractive dividend.

Individuals – who are in retirement or partial retirement – may prioritise regular income to pay for their daily living expenses. Other individuals who are considering FIRE (Financial Independence, Retire Early) may also want to build their portfolio with income in mind. If we require regular income from an investment portfolio that does not pay a relatively good dividend (i.e. the S&P 500 Index), we would have to sell off parts of the investment. Apart from potentially having to sell at a low, during market downturns, we will also incur brokerage fees each time we sell a part of the portfolio.

Another way to think about income investing is that only strong and well-established companies that have healthy cash flows can afford to pay out dividends regularly – regardless of market booms and busts. However, due to the nature of such companies, they may not be in a high-growth stage. This may be one reason why total returns for STI companies lag behind companies on the S&P 500 Index.

Read Also: Complete Guide To Start Your REITs Investing Journey In Singapore

The 2 STI ETFs Do Not Pay The Same Dividend Yield

While the STI pays a dividend yield of close to 4%, it doesn’t mean that investors automatically get this if we invest in an STI ETF. Apart from paying for brokerage fees to buy the STI ETF, we also have to pay a management fee and account for tracking errors.

There are two STI ETFs – the SPDR STI ETF or the Amova Singapore STI ETF – that we can invest in using a discount broker like Webull. The SPDR STI ETF states that it’s distribution yield is 3.47% (as at 26 Feb 2026). While Amova Singapore STI ETF does not state dividend information, it should be quite close as well.

Read Also: SPDR STI ETF VS Nikko AM STI ETF: What’s The Difference Between These 2 STI ETFs Listed On The SGX?

Individual Stocks On The STI Pay Out Different Dividend Yields

The Straits Times Index (STI) is made up of 30 of the largest and most liquid stocks in Singapore. As mentioned earlier, such companies typically have strong cash flows to pay out regular dividends, but may not be high-growth companies. In addition, the STI also comprises seven REITs – which are also known to pay out relatively good distributions regularly.

It should also be quite intuitive that all 30 constituents of the STI will pay a different distribution yield. We look at what the different stocks on STI are paying in dividend below:

*Dividend yield is based on SGX Stock Screener information, unless stated otherwise.

5 Best-Yielding STI Stocks

The top five dividend-paying counters on the SGX are all REITs – which isn’t unexpected. Beyond their attractive dividend yields, the top 3 Reits – Mapletree Industrial Trust, Frasers Logistics & Commercial Trust and Mapletree Logistics Trust – saw price gains of 8.45%, 25% and 10%, respectively.

The easing of the global interest rates, coupled with strong demand from yield-seeking investors, drove capital back into the REIT sector, supporting both valuations and total returns in the past year.

That said, if you’re an income-focused investor, you’re not limited to REITs only. Stocks in other sectors in the STI also delivered competitive yields alongside strong capital appreciation. For instance, Development Bank of Singapore (DBS) bank rose 28.58% while offering a dividend yield of 5.01%, and Singapore Airlines (SIA) gained 11.76% with a yield of 4.91%.

This underscores the importance of maintaining a diversified portfolio of dividend-paying stocks rather than concentrating heavily in a single sector.

While the top-dividend yielding reit, Mapletree Industrial Trust delivered a respectable 14% total return last year, you could have earned a total return of 32% by investing in DBS. Diversification helps to ensure that opportunities in one sector can offset weaker performance in another, helping you to achieve more balanced and resilient long-term returns.

*Price change from SGX Stock Screener

Read Also: Complete Guide To Investing In The Straits Times Index (STI) ETFs In Singapore

A disciplined dividend strategy is only as effective as the platform that you use to execute it. While many traditional brokers would require you to purchase stocks based on minimum board lots, Webull allows you to invest from as little as $1 through fractional shares.

In other words, you can buy as small as 1/100,000 of a share, which could be handy for big value stocks like DBS or SIA. This flexibility makes it easier to allocate your funds efficiently across sectors, helping you to diversify properly instead of overconcentrating in a single stock/sector simply due to the lot size constraints.

Webull also provides advanced research tools from leading data providers, including key metrics such as dividend yields, financial ratios and earnings data – enabling you to analyse opportunities with greater clarity and confidence.

Whether you’re building a diversified dividend portfolio of stocks and ETFs or trading DLCs, Webull could be your partner in supporting your strategies. Enjoy attractive sign-on bonuses when you sign up today.   

Read Also: Investor’s Guide To Webull, Possibly Singapore’s Most Cost-Efficient Broker

This article contains affiliate links. DollarsAndSense may receive a share of the revenue from your sign-ups. You can refer to our editorial policy here.

From Oil Shocks to AI Optimism: Markets Face Competing Forces in 2026

Geopolitical tensions in the Strait of Hormuz are stoking inflation fears, while the continued surge in AI-related stocks is raising questions about sustainability.

Can markets keep climbing under these conflicting pressures?

Join FSM ETFestival x Mid-Year Review 2026 on 11 July for the 2H 2026 outlook and share how you can invest beyond the crisis.

Register Today.