How to handle all my entites in a 2D RTS?

Hello,
I wonder how to handle all my entities in Java 2D RTS the best way. I’ve considered to create a big ArrayList in singleton in that I store all my entities. In may main game loop I call update(int time) doLogic and so on by iterating all entities of the singleton. But I suppose that’s not the best solution.

So I ask you how you handle (that means updating, painting, …) your entities?

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I recommend reading Andrew Davison’s Killer Game Programming in Java. It will set you on the right path regarding sprite management, update+render loops, etc.