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

<ul><li>The STI generated a 2.4% total return over the first 15 weeks of 2023, with 20 gainers, one stock unchanged and nine decliners.</li><li>The five strongest performers of the STI in the YTD included Sembcorp Ind, Keppel Corp, Genting Sing, Keppel DC REIT and Mapletree Log Tr, with the five stocks averaging 22% total returns, while the decliners were led by CityDev, YZJ Shipbldg, ThaiBev, Singtel and HongkongLand, which averaged a 6% decline in total returns.</li><li>Following a 73% total return on S$220 million of net institutional inflow in 2022, Sembcorp Industries has generated a 27% total return on S$90 million of net institutional inflow.</li></ul>

The STI generated a 2.4% total return over the first 15 weeks of 2023, with 20 gainers, one stock unchanged and nine decliners.The five strongest performers of the STI in the YTD included Sembcorp Ind, Keppel Corp, Genting Sing, Keppel DC REIT and Mapletree Log Tr, with the five stocks averaging 22% total returns, while the decliners were led by CityDev, YZJ Shipbldg, ThaiBev, Singtel and HongkongLand, which averaged a 6% decline in total returns.Following a 73% total return on S$220 million of net institutional inflow in 2022, Sembcorp Industries has generated a 27% total return on S$90 million of net institutional inflow.

STI Maintains 2.4% YTD Total Return as GDP Growth Slows 

<ul><li>For the first 12 weeks of 2023 the iEdge S-REIT Index generated a 3% total return, with the FTSE EPRA/NAREIT Global REITs Index declining 4%.</li><li>Within the S-REIT Sector, Industrial S-REITs averaged the highest median total returns over the past 12 weeks at 4%, while Office REITs booked the highest median decline in total return at -8%.</li><li>The 27 trusts of the Sector that booked net institutional outflow over the past 12 weeks represent 52% of the combined S-REIT Sector market value.</li></ul>

For the first 12 weeks of 2023 the iEdge S-REIT Index generated a 3% total return, with the FTSE EPRA/NAREIT Global REITs Index declining 4%.Within the S-REIT Sector, Industrial S-REITs averaged the highest median total returns over the past 12 weeks at 4%, while Office REITs booked the highest median decline in total return at -8%.The 27 trusts of the Sector that booked net institutional outflow over the past 12 weeks represent 52% of the combined S-REIT Sector market value.

<ul><li>S-REITs increase exposure to data centre assets Recently, CapitaLand Investment (CLI) also announced the establishment of a China data centre development fund, which has committed to invest in two hyperscale data centre development projects in Greater Beijing.</li><li>Its data centre exposure increased from 41.2 per cent of AUM back in March 2021, to 53.5 per cent as at Dec 31, 2022.</li></ul>

S-REITs increase exposure to data centre assets Recently, CapitaLand Investment (CLI) also announced the establishment of a China data centre development fund, which has committed to invest in two hyperscale data centre development projects in Greater Beijing.Its data centre exposure increased from 41.2 per cent of AUM back in March 2021, to 53.5 per cent as at Dec 31, 2022.

REIT Watch - S-REITs increase exposure to data centre assets

<ul><li>5 S-Reits among top 10 institutional net buy stocks for the week Five Singapore Reits took up spots among the 10 stocks which recorded the largest institutional net inflows for most of last week.</li><li>The five S-Reits were CapitaLand Ascendas Reit, Keppel DC Reit, Mapletree Logistics Trust, Mapletree Industrial Trust, and Keppel Reit.</li></ul>

5 S-Reits among top 10 institutional net buy stocks for the week Five Singapore Reits took up spots among the 10 stocks which recorded the largest institutional net inflows for most of last week.The five S-Reits were CapitaLand Ascendas Reit, Keppel DC Reit, Mapletree Logistics Trust, Mapletree Industrial Trust, and Keppel Reit.

REIT Watch - 5 S-Reits among top 10 institutional net buy stocks for the week

<ul><li>The STI continues to be home to 30 different stocks that on the whole report generally as much revenue outside Singapore as within Singapore.</li><li>After Yangzijiang Shipbuilding (Holdings) led the STI in 2022 with a 107.4% total return, it has been the least performing STI constituent in 1Q23 to Feb 9, with an 8.8% decline.</li><li>FLCT and KDCR maintain respective weights of 5.5% and 4.4% within the iEdge S-REIT Index, and both outpaced these benchmarks from the end of 2019 to Feb 9, 2022, with respective total returns of 26% and 11%.</li></ul>

The STI continues to be home to 30 different stocks that on the whole report generally as much revenue outside Singapore as within Singapore.After Yangzijiang Shipbuilding (Holdings) led the STI in 2022 with a 107.4% total return, it has been the least performing STI constituent in 1Q23 to Feb 9, with an 8.8% decline.FLCT and KDCR maintain respective weights of 5.5% and 4.4% within the iEdge S-REIT Index, and both outpaced these benchmarks from the end of 2019 to Feb 9, 2022, with respective total returns of 26% and 11%.

Singapore

Keppel DC REIT is Asia's first pure-play data centre REIT listed on the Singapore Exchange. Keppel DC REIT's investment strategy is to principally invest, directly or indirectly, in a diversified portfolio of income-producing real estate assets which are used primarily for data centre purposes, as well as real estate related assets.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Keppel DC REIT (KDCREIT SP)

STI Maintains 2.4% YTD Total Return as GDP Growth Slows

The STI generated a 2.4% total return over the first 15 weeks of 2023, with 20 gainers, one stock unchanged and nine decliners. The five strongest...

Singapore Exchange Ltd (SGX)

S-REIT Flows and Performances in 1Q23

For the first 12 weeks of 2023 the iEdge S-REIT Index generated a 3% total return, with the FTSE EPRA/NAREIT Global REITs Index declining...

Singapore Exchange Ltd (SGX)

REIT Watch - S-REITs increase exposure to data centre assets

S-REITs increase exposure to data centre assets Recently, CapitaLand Investment (CLI) also announced the establishment of a China data centre...

Singapore Exchange Ltd (SGX)

REIT Watch - 5 S-Reits among top 10 institutional net buy stocks for the week

5 S-Reits among top 10 institutional net buy stocks for the week Five Singapore Reits took up spots among the 10 stocks which recorded the largest...

Singapore Exchange Ltd (SGX)

Two S-REITs Lead the STI in Early 2023

The STI continues to be home to 30 different stocks that on the whole report generally as much revenue outside Singapore as within...

Singapore Exchange Ltd (SGX)

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)