Honestly, it’s tough to pick between having a stable stock or one that has explosive growth.
In this article, we compare a company that fits in the former category, DBS Group Holdings (SGX: D05), Singapore’s largest bank and a reliable dividend payer, against the AI growth darling of the last four years, NVIDIA (NASDAQ: NVDA).
Although both names have generated substantial wealth for shareholders, each has done so in very different ways.
In this article, we look at which company might be better suited to protect your wealth over the long run.
DBS: The Case for Stability and Income
On one hand, we have the dominant bank in Singapore and Southeast Asia, DBS.
DBS already commands a leading market share in loans and deposits in Singapore, but it’s also trying to expand overseas.
Underpinned by its leadership in digital banking and a diversified revenue stream, DBS boasts a formidable track record.
The power of consistent dividends
Stretching back to 2001, Singapore’s banking giant has never failed to pay an annual dividend. In fact, DBS’s recent dividend growth has been robust: Its core dividend per share has risen a staggering 215% from S$0.78 in 2020 to S$2.46 in 2025.
This dividend-consistency is nothing to be scoffed at.
During periods of market downturns, a dividend you receive provides a tangible return that is realised, even when the stock price declines. This can be very helpful in cushioning portfolio volatility.
Strong capital position and resilience
DBS’s solid dividend-paying capability is backed by its strong balance sheet and healthy capital ratios.
As of 31 March 2026, DBS reports a fully phased-in common equity tier one (CET1) ratio of 14.8%, which grants the bank some buffer in maintaining its dividends during softer economic conditions.
From 2001 to now, there have been many periods of stress to the financial markets and economy, such as the COVID-19 pandemic and higher inflation. Yet, as mentioned earlier, DBS has been paying an annual dividend in each year over the same period – this is a proven track record of navigating through crises.
The key takeaway here is that having this resilient financial strength is crucial in protecting your wealth over time.
NVIDIA: The Case for Growth and Innovation
Looking at NVIDIA, we have everyone’s favourite AI growth darling. Since the start of 2023, NVIDIA’s stock has appreciated an astounding 1,400%; a remarkable 14x in just over three years!
NVIDIA’s rally has been driven by robust fundamentals, given the chip designer’s dominance in providing graphics processing units (GPUs) that are essential for the AI revolution and accelerated computing.
With spending on AI infrastructure unlikely to subside anytime soon, NVIDIA’s growth outlook looks strong.
Extraordinary earnings growth
NVIDIA has delivered fairy-tale-like growth. Revenue expanded at a compound annual growth rate (CAGR) of 100.4%, climbing from US$27.0 billion in the fiscal year ended January 2023 (FY2023) to US$216.0 billion in FY2026.
Bottom-line growth is even more astounding, with NVIDIA’s net profit rising from US$4.4 billion to US$120.1 billion in the same period, which equates to a CAGR of 202.7%.
Strong earnings growth, such as the one posted by NVIDIA, is a powerful driver of shareholder returns.
The risks behind the opportunity
That said, there are still risks embedded for the semiconductor company. Although its forward price-to-earnings (P/E) ratio sits at a modest 20.9, there is always the risk of increased competition. This can be seen in Advanced Micro Devices (NASDAQ: AMD) grabbing market share, as well as the hyperscalers expanding on their AI accelerator programmes.
Looking ahead, although NVIDIA might still see strong growth, its slowing rate of growth (as a result of increased competition) could see a halt in the remarkable recent ascent of its stock price.
Indeed, if investors think NVIDIA is losing its Midas touch, the stock might be poised for a violent correction; this possible volatility will certainly test investors’ conviction.
Just look at Meta (NASDAQ: META) and Netflix’s (NASDAQ: NFLX) recent declines of 70% or more in 2022 to see how vicious technology stocks can sell off should the market think their best days are over.
Head-to-Head: Which Protects Wealth Better?
Income versus capital appreciation
So, what we have here is a classic head-to-head between a consistent income generator (DBS) and a capital appreciation growth darling (NVIDIA).
The trade-off is simple: slow, consistent, regular dividend income against faster, but less reliable capital gains.
Business predictability
DBS’s earnings, largely derived from earning the interest rate spread between loans and deposits, are easier to forecast compared to the earnings of a technology company.
After all, fast-changing technological growth presents a real risk to the earnings potential for a technology giant compared to the more stable earnings potential (at least in terms of structural changes) for a bank.
Volatility and investor psychology
Finally, NVIDIA has seen wild price swings over its time as a publicly traded company, with its shares falling as much as 60% from their highs just in the past decade.
Comparing that against DBS, whose stock price had a maximum drawdown of just over 30% for the same time period.
Riding out a market downturn is undeniably harder with NVIDIA than with a stable bank like DBS.
The Hidden Answer: Why It May Not Be Either-Or
DBS and NVIDIA play completely different roles. The bank provides a reliable dividend floor, while NVIDIA drives the actual capital growth.
Pairing them together seems wise to make sure you stay exposed to the technology upside, while the bank’s solid dividends act as a shock absorber during market swings.
Get Smart: Wealth Protection Means More Than Avoiding Risk
In sum, both NVIDIA and DBS have been wonderful companies for their shareholders, albeit in different ways. The former is prized for its strong growth prospects, while the latter provides reliable income.
Long-term wealth protection isn’t just about chasing upside; mitigating downside risk is half the battle.
Finding the right balance between growth and capital defence, ultimately, depends entirely on your risk tolerance and investment goals.
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Disclosure: Wilson H. does not own shares in any of the companies mentioned.
