US Stocks Remain Attractive Despite Market Volatility for Singapore Investors

Singaporean investors have been incorporating US stocks into their portfolios in recent years.

Despite bouts of volatility, it's essential to remember that market fluctuations are unavoidable, and waiting for a 'safe' entry point can mean missing out on the market's strongest recovery periods.

The US stock market offers large listed companies in high-growth sectors, unlike Singapore's mature businesses with high dividends. Investors can gain access to global leaders such as Alphabet Inc (NASDAQ: GOOGL), Visa (NYSE: V), and NVIDIA (NASDAQ: NVDA), which operate across major global growth themes like artificial intelligence (AI), semiconductors, and global payment services.

A company's share price may fluctuate wildly, but it doesn't necessarily mean the business has deteriorated. For instance, Microsoft Corp (NASDAQ: MSFT) reported a 4QFY2026 net income of US$35.8 billion, up 31% year-on-year (YoY), yet its share price has fluctuated.

Investing in US-listed companies provides exposure to global businesses and growth opportunities that are less represented locally. Diversifying a portfolio with dollar-cost averaging can help manage volatility, as it allows investors to buy more shares when prices are lower and fewer shares when prices are higher.