Many people believe it’s essential to leave a lasting legacy for future generations.
Apart from cash and property, you can also bequeath shares of high-quality companies to the next generation.
To ensure that your kids and grandkids need not spend too much time managing these stocks, you should pick quality, blue-chip stocks that can coast along through good times and bad.
These stocks should ideally have a strong business model, a long track record of paying dividends, and possess sustainable catalysts that can take the business to the next level.
Here are four solid Singapore blue-chip stocks that you can consider buying to pass down to future generations.
DBS Group (SGX: D05)
DBS is no stranger to most Singaporeans, being Singapore’s largest bank by market capitalisation.
The well-run bank is one of the key pillars of Singapore’s economy.
The lender reported a strong result for the first quarter of 2025 (1Q 2025).
Total income rose 6% year on year to S$5.9 billion, led by a 2% year-on-year increase in commercial book net interest income to S$3.7 billion.
Fee and commission income also racked up a 22% year-on-year increase to S$1.28 billion, buoyed by higher wealth management fees and card spending.
DBS’s net profit for 1Q 2025, however, dipped slightly by 2% year on year to S$2.9 billion because of the imposition of a 15% global minimum tax rate.
The bank dished out a total quarterly dividend of S$0.75, comprising a core ordinary dividend of S$0.60 and a capital return dividend of S$0.15.
This total dividend was almost 39% higher than the previous year’s S$0.54.
CEO Tan Su Shan provided a sanguine outlook as business momentum stayed strong in April, but highlighted risks stemming from Trump’s raft of tariffs.
For 2025, net interest income should still rise slightly from last year’s levels as a larger loan book will help to offset lower net interest margins.
Non-interest fee income should also climb by mid-to-high single digits for the year.
Singapore Exchange Limited (SGX: S68)
Singapore Exchange Limited, or SGX, is Singapore’s sole stock exchange operator.
The group enjoys a natural monopoly as Singapore’s sole bourse operator and has also evolved its business model to become a multi-asset exchange.
This evolution has made the business more resilient to downturns and sudden market shocks as SGX’s slate of securities can help investors and portfolio managers to buffer their investment portfolios.
SGX reported a commendable set of earnings for the first half of fiscal 2025 (1H FY2025) ending 31 December 2024.
Net revenue rose 15.6% year on year to S$646.4 million, led by growth in all business segments.
Net profit (excluding exceptional items) soared 27.3% year on year to S$320.1 million.
SGX upped its quarterly dividend to S$0.09 from S$0.085 a year ago.
Management is optimistic about achieving SGX’s target to grow its net revenue by 6% to 8% every year.
Dividends should also grow in tandem, with management looking to increase the dividend per share by mid-single digit % over the medium term.
Keppel DC REIT (SGX: AJBU)
Keppel DC REIT is a data centre REIT with a portfolio of 24 data centres across 10 countries, with total assets under management of around S$4.9 billion.
The REIT is seeing healthy momentum in data centre demand, driven by generative artificial intelligence (AI) workloads along with organisations adopting cloud computing.
These trends should continue to drive strong demand for data centres, thus helping the REIT to achieve high occupancy and record positive rental reversions.
Keppel DC REIT pulled off an impressive performance for 1Q 2025 and was one of the top business performers in the REIT sector.
Gross revenue leapt 22.6% year on year to S$102.2 million, led by acquisitions of data centres in Tokyo and Singapore, along with contract renewals and rental escalations.
Net property income jumped 24.1% year on year to S$88.1 million.
Distribution per unit logged a 14.2% year-on-year increase to S$0.02503, helped by higher finance income from the REIT’s ownership of an Australian data centre note.
The REIT’s portfolio occupancy remained high at 96.5% as of 31 March 2025, and a positive portfolio rental reversion of 7% was recorded even though there were no major contract renewals for the quarter.
Singtel (SGX: Z74)
Singtel is Singapore’s largest telecommunication company (telco) by market capitalisation and offers a comprehensive range of services, including mobile, pay TV, broadband, and cybersecurity services.
The telco announced a long-term strategy called ST28 to lift its business performance by scaling up its growth engines.
Management will also implement active capital management to create value.
This two-prong approach should result in both growth and higher dividends over time.
For its fiscal 2025 (FY2025) ending 31 March 2025, Singtel reported a 9% year-on-year increase in underlying net profit to S$2.47 billion.
The strong performance was contributed to by better results from Optus, NCS, and regional associates AIS and Airtel.
In line with the good results, the telco declared a final core dividend of S$0.067 and a value realisation dividend of S$0.033.
Coupled with its total interim dividend of S$0.07, the total dividend for FY2025 stood at S$0.17, two cents above the S$0.15 paid out for FY2024.
At the same time, management also announced the establishment of a S$2 billion share buyback programme that will be funded by excess capital from the group’s capital recycling proceeds.
Boost your portfolio’s returns with 5 SGX stocks that promise both stability and steady growth. We bring you the names of these rock-solid stocks, including why they could drive massive dividends over the next few years. If you’re looking to invest for retirement, this guide is a must-read. Click HERE to download now.
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Disclosure: Royston Yang owns shares of DBS Group, Singapore Exchange Limited and Keppel DC REIT.
