SGX Market Strategist, Equity & Fixed Income, Singapore Exchange Ltd (SGX)

Geoff Howie

SGX Market Strategist, Equity & Fixed Income

Asia’s leading multi-asset exchange

Singapore Exchange Ltd (SGX)

Singapore Exchange is Asia’s leading and trusted market infrastructure, facilitating the exchange of capital and ideas to create value for people, businesses and economies. As a multi-asset exchange operating equity, fixed income and derivatives markets to the highest regulatory standards, SGX is a vertically integrated business that provides listing, trading, clearing, settlement, depository and data services.

With about 40% of listed companies and over 80% of listed bonds originating outside of Singapore as well as established linkages across the region and in Europe, SGX is Asia’s most international and connected exchange. Offering a full suite of derivatives products across Asian equity indices, commodities and currencies, SGX is the world’s most liquid international market for the benchmark equity indices of China, India, Japan and ASEAN.

As Asia’s pioneering central counterparty, SGX is globally recognised for its risk management and clearing capabilities, and was one of the first globally to adopt the Principles for Financial Market Infrastructure.

Headquartered in AAA-rated Singapore, SGX has over 800 employees including offices in Beijing, Chicago, Hong Kong, London, New York, Mumbai, San Francisco, Shanghai and Tokyo.

Equity Bottom-Up

NikkoAM-StraitsTrading Asia Ex Japan REIT ETF / Equity Bottom-Up

NikkoAM-StraitsTrading Asia Ex Japan REIT ETF


In 2021, the combined AUM of SGX-listed ETFs increased from S$8.53 billion to S$12.53 billion, with 22 ETFs recording AUM growth since the end of 2020, while five ETF/ETP debutants that track Singapore Equites, S-REITs, APAC REITs and China Equities ended the year with ~S$300 million in combined AUM.&nbsp;  &nbsp;
In addition surge in SGX-listed ETF inflows in 2021, the ETF flows underlined increased interest by institutional investors in Asia Fixed Income markets, particularly in the Asia High Yield Corporate Bonds and China Gov RMB Bonds, which maintained respective 12M Gross Div. Yields of 4.2% and 2.8% at the end of 2021. &nbsp;&nbsp; &nbsp;
The demand for yield also extended to four of the five SGX-listed ETFs that track REIT Indices ranking among the five ETFs that recorded the highest 12M Gross Div. Yields&nbsp;in 2021. The best performing SGX-listed ETF of 2021, which tracks Vietnam Equities also attracted inflows in 2021, albeit on a lesser scale than the Asia Fixed Income and REIT ETFs. &nbsp;

With 2021, marking 20 years since ETFs were listed on SGX, the combined AUM of SGX-listed ETFs surged close to 50% over the year with the product offering also expanding from 30 ETFs to 35 ETFs.  The 35 ETFs listed on SGX, sort by highest AUM increases in 2021 are tabled below.




ETF


Pri. Code


Sec. Code


Total Exp. Ratio %


Gross Div. Yield % (12-Month)


Fund Focus


2021 Total Return 
% 
[SGD]


2021&nbsp; Inflow/ Outflow S$M


AUM as of Dec 2021&nbsp; S$M


AUM Increase from 2020 S$M




iShares USD Asia High Yield Bond Index ETF


O9P


QL3


0.50


4.2


Asia USD Bonds


-11.4


2941


2948


2752




ICBC CSOP FTSE Chinese Government Bond ETF


CYC


CYB


0.25


2.8


China RMB Bonds


9.7


316


1953


432




Lion-OCBC Securities Hang Seng TECH ETF


HST


HSS


0.68


N/A


China Equities


-31.9


294


291


200




Nikko AM Singapore STI ETF


G3B


&nbsp;


0.30


3.1


SG Equities


13.0


75


601


131




NikkoAM-StraitsTrading Asia ex Japan REIT ETF


CFA


COI


0.60


4.5


Asia REITs


1.6


104


349


98




Lion-Phillip S-REIT ETF


CLR


&nbsp;


0.60


4.4


Singapore REITs


3.0


52


241


50




ABF Singapore Bond Index Fund


A35


&nbsp;


0.25


1.1


SGD Bonds


-5.3


110


1051


43




NikkoAM-ICBCSG China Bond ETF RMB Class


ZHY


ZHD


0.30


N/A


China RMB Bonds


9.5


11


251


32




SPDR S&amp;P 500 ETF


S27


&nbsp;


0.09


1.4


US Equities


31.5


17


72


32




iShares MSCI India Index ETF


I98


QK9


1.03


N/A


India Equities


23.2


0


142


29




SPDR® Straits Times Index ETF


ES3


&nbsp;


0.30


2.7


SG Equities


12.9


-135


1629


28




iShares Asia Credit ETF


N6M


QL2


0.30


3.3


Asia USD Bonds


1.4


28


108


26




NikkoAM-ICBCSG China Bond ETF SGD Class


ZHS


&nbsp;


0.30


1.5


China RMB Bonds


9.3


21


68


25




Xtrackers MSCI China UCITS ETF


LG9


TID


0.65


N/A


China Equities


-22.7


37


66


22




Nikko AM SGD Investment Grade Corporate Bond ETF


MBH


&nbsp;


0.30


1.3


SGD Bonds


-0.6


27


611


15




Xtrackers FTSE Vietnam Swap UCITS ETF


HD9


&nbsp;


0.85


N/A


Vietnam Equities


33.0


2


19


7




Phillip Sing Income ETF


OVQ


&nbsp;


0.97


2.9


SG Equities


6.7


3


64


4




Lyxor MSCI India UCITS ETF - Acc USD


G1N


&nbsp;


0.85


N/A


India Equities


26.0


0


15


3




Principal S&amp;P APAC Dividend ETF


P5P


QR9


1.06


4.2


APAC Equities


-2.1


4


23


2




Lyxor MSCI Emerging Markets UCITS ETF - Acc USD


H1N


&nbsp;


0.55


N/A


EM Equities


-1.7


2


8


2




SPDR®&nbsp; DJIA ETF TRUST


D07


&nbsp;


0.17


2.2


US Equities


23.7


0


4


1




UNITED SSE 50 CHINA ETF


JK8


&nbsp;


2.28


N/A


China Equities


-4.3


2


28


0




Lyxor MSCI AC Asia Pacific Ex Japan UCITS ETF - USD


P60


&nbsp;


0.60


N/A


APAC Equities


-1.7


0


26


0




Xtrackers MSCI Indonesia Swap UCITS ETF


KJ7


&nbsp;


0.65


N/A


Indonesia Equities


2.6


-1


19


-1




Phillip APAC DIV REIT Leader ETF


BYI


BYJ


0.91


4.2


APAC REITs


10.0


-4


19


-2




Xtrackers II Singapore Government Bond UCITS ETF


KV4


&nbsp;


0.20


N/A


SGD Bonds


-4.9


2


131


-5




Principal FTSE ASEAN40 ETF


M62


QS0


0.80


3.8


ASEAN Equities


4.9


-9


12


-8




Xtrackers MSCI Singapore UCITS ETF


O9A


&nbsp;


0.50


N/A


SG Equities


6.4


-10


6


-9




Phillip SGD Money Market ETF


MMS


MMT


0.24


N/A


SGD Bonds


0.2


-11


110


-11




Lyxor MSCI China ESG Leaders Extra (DR) UCITS ETF


P58


&nbsp;


0.65


N/A


China Equities


-22.5


-3


28


-12




SPDR GLD ETF


O87


GSD


0.40


N/A


Gold


-2.3


-131


1356


-166




Lion-OCBC China Leaders ETF*


YYY


YYR


0.62


N/A


China Equities


N/A


82


84


N/A




CSOP iEdge SREIT Leaders Index ETF*


SRT


SRU


0.60


N/A


Singapore REITs


N/A


113


115


N/A




UOB APAC Green REIT ETF*


GRN


GRE


0.80


N/A


APAC REITs


N/A


84


84


N/A




Phillip MSCI Singapore Daily (2x) Leveraged Product1


LSS


LSU


N/A


N/A


SG Equities


N/A


5


5


N/A




Phillip MSCI Singapore Daily (-1X) Inverse Product1


SSS


SSU


N/A


N/A


SG Equities


N/A


10


10


N/A




Total (All)


&nbsp;


&nbsp;


&nbsp;


&nbsp;


&nbsp;


&nbsp;


&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 4036 


&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12547 


&nbsp;




&nbsp;Source: SGX, Refinitiv, Bloomberg (Data as of 31 Dec 2021)
ETFs are investment funds listed and traded intraday on a stock exchange. The majority aim to track the performance of an index and provide access to a wide variety of markets and asset classes, including local stocks, international securities, bonds, commodities or money markets. Each ETF gives investors access to the performance of the asset which comprises of the underlying index. Investing in the ETF is also less costly if one were to build a similar portfolio by buying the individual stocks. These portfolio products also provide exposure to international markets and asset classes that may be inaccessible to individual investors.

SGX-Listed ETF AUM Increased Close to 50% in 2021 

India

iShares MSCI India Index ETF is an exchange-traded fund registered in Singapore. The Fund seeks to provide investment results that, before expenses, closely correspond to the performance of the MSCI India Index. The Fund invests all or substantially all of its assets in shares comprising the MSCI India Index in substantially the same weightings as constituted in the underlying index.

iShares MSCI India Index ETF (INDIA SP)

SGX-Listed ETF AUM Increased Close to 50% in 2021

In 2021, the combined AUM of SGX-listed ETFs increased from S$8.53 billion to S$12.53 billion, with 22 ETFs recording AUM growth since the end of...

Singapore Exchange Ltd (SGX)