These are some of the things to consider Singapore banks are still doing well overall, but you can definitely see pressure starting to build from lower interest rates. The big thing this quarter was seeing which banks could rely on wealth management and fee income to make up for weaker net interest income.
DBS probably looked the strongest overall. Their wealth management business stayed very strong, and they continue bringing in a lot of client money, which helped support earnings.
OCBC also surprised a lot of people in a good way. Their wealth management fees and non-interest income were strong, so they handled the pressure pretty well too.
UOB wasn’t weak, but compared to DBS and OCBC, it looked a bit slower this quarter. They’re still pushing to grow wealth management, but the results weren’t as impressive yet.
Overall, the sector still looks stable, but going forward the banks that can grow wealth management and fee-based income are probably going to stand out the most as interest income slows down.
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