The Central Provident Fund (CPF) system in Singapore offers a robust framework for individuals to build their savings and secure a financially stable retirement. Did you know you can do more than just make mandatory contributions to your CPF accounts? The government permits you to invest the surplus funds in your Ordinary Account (OA) by opening a CPF Investment Account (IA). This allows you to potentially grow your savings using strategic investment options.

When it comes to selecting stocks for your CPF IA, investors often flock to well-established blue-chip companies, which are known for their reliability and potential for long-term growth. These stocks let you sleep easy while your money works to compound over time.

Here are four top blue-chip stocks to consider for your CPF IA watchlist:

1. DBS Group (SGX: D05)

DBS Group stands as a cornerstone of Singapore's financial landscape—it’s the largest bank in the country by market capitalization. Recently, DBS reported impressive first-half earnings for 2024, with total income rising by 11% year-on-year to S$11 billion, largely due to a 6% increase in net interest income. Notably, net profit reached an all-time high of S$5.7 billion—a 9% year-on-year growth. In light of these results, DBS announced an interim dividend of S$0.54, up 22.7% from S$0.44 the previous year. The bank’s net interest margin remained sturdy, showing resilience against fluctuating interest rates.

2. Singapore Technologies Engineering (SGX: S63)

Known simply as STE, Singapore Technologies Engineering operates in key sectors like aerospace, smart city solutions, and defense. For the first half of 2024, STE reported a remarkable revenue growth of 13.5% year-on-year, reaching S$5.5 billion. Operating profit surged by 17.7% to S$522.9 million, while net profit rose by 20% to S$336.5 million. With a robust order book totaling S$27.9 billion as of June 2024, STE is poised for continued expansion.

3. Genting Singapore (SGX: G13)

Genting Singapore, operator of the integrated resort Resorts World Sentosa, has benefited tremendously from the reopening of borders and the resurgence of travel. In the first half of 2024, the company reported a staggering 25% year-on-year increase in revenue to S$1.36 billion. Operating profit jumped 29% to S$450.9 million, with net profit matching that surge at S$356.9 million. Genting has also increased its interim dividend to S$0.02, reflecting its positive performance. Looking ahead, exciting developments are on the horizon, including the anticipated “RWS 2.0” project, set to unveil new attractions by 2025.

4. Singapore Exchange Limited (SGX: S68)

As the sole stock exchange operator in Singapore, SGX plays a pivotal role in the nation’s financial market. The exchange reported a modest revenue growth of 3.1% in its fiscal 2024 results, totaling S$1.2 billion, while net profit saw a 4.5% increase to S$525.9 million. SGX has raised its quarterly dividend to S$0.09, continuing to reward shareholders while strategizing for future growth. With plans to enhance its offerings and partner with regional players, SGX aims to expand its reach and deliver even greater value to investors.

Investing in these blue-chip stocks can provide stability and growth for your CPF Investment Account. Those looking to maximize their retirement savings should certainly keep these formidable companies on their radar! Plus, with the upcoming developments in the tourism and tech sectors, now might be the perfect time to consider these options.

Are you ready to take your CPF investment to the next level? Dive into the world of blue-chip stocks today!