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

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<li>
Singapore’s Healthcare Sector is aptly represented by the iEdge SG All Healthcare Index which has generated an 81% total return in the 2020 year to 17 August, predominately driven by Top Glove Corp Bhd, Riverstone Holdings and Medtecs International Corp. 
	 </li>
	<li>
Since the STI high on 9 June, iEdge SG All Healthcare Index has generated a 34% total return. Constituents that saw a significant pick up in trading activity over those nine weeks included the Vicplas International, QT Vascular, Hyphens Pharma International, Top Glove Corp Bhd and UG Healthcare. 
	 </li>
	<li>There have also been multiple outlier and performance skews for the top quartile of global health stocks by market value, with 128% average total returns and 23% median total returns. Life science, medical devices and medical supplies have been the strongest segments of the global sector.</li>
</ul>
 

The combined market value of globally-listed healthcare stocks has increased 17% in the 2020 year-to-date to S$13.7 trillion. 
Top Glove Corp Bhd (”Top Glove”) has moved from being outside the top 120 Asia Pacific Healthcare stocks by market value to within the top 40, in addition to now ranking as ASEAN’s biggest healthcare stock by market value. Top Glove is expected to release its FY20 (ending 31 August) results by the end of September, after reporting the Group's 9MFY20 Sales Revenue was RM 4.1 billion, a 14% YoY increase, while Profit After Tax was RM 577.8 million, a 97% YoY increase, which had also exceeded the net profits for the full financial year 2019 by 57%. In addition to being ASEAN’s biggest healthcare stock and the largest constituent of the iEdge SG All Healthcare Index, Top Glove also emerged its position as the world’s largest manufacturer of nitrile gloves, in addition to being the world’s largest manufacturer of natural rubber gloves and surgical gloves. From the end of 2019, thorough to the major market lows of 23 March, the iEdge SG All Healthcare Index had also declined 19.2%, however has since rebounded to generate a 2020 year to 17 August total return of 81.3%. 
As illustrated below, the iEdge SG All Healthcare Index has also continued to generate gains, since the STI’s post-23 March high on 9 June.  The iEdge SG All Healthcare Index has declined 6.4% since forming is record high of close of 2,617 on 7 August.   
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<figure>
 <img src='https://api2.sgx.com/sites/default/files/2020-08/Capture_10.PNG' alt='STI' />
 </figure>
 <div class='content-caption'>STI</div>
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<html><body>The iEdge SG All Healthcare Index is currently trading at a P/E ratio of 51.6x (up from 24.4x at end of 2019), which compares to the median P/E of the top quartile of global healthcare stocks at 40.8x (up from 30.8x at end of 2019). Meanwhile the simple average but skewed P/E of the top quartile of global healthcare stocks has increased from 58.0x to 90.8x. Similarly, the top quartile of global health stocks by market value have seen a skew in 2020 to 17 August performances, with 128% average total returns and 23% median total returns. Life science, medical devices and medical supplies have been the strongest segments of the global Sector. Over the course of 2020, the iEdge SG All Healthcare Index has seen both Riverstone Holdings and Medtecs International Corporation rise to the top three heavyweights of the Index. 
Riverstone Holdings was previously the ninth biggest weight at the end of 2020 and Medtecs International Corporation (“Medtecs”) was previously the outside the twenty largest Index weights. Together, Top Glove, Riverstone Holdings and Medtecs now make up more than half the entire Index weight. Riverstone Holdings posted a 119.3% YoY increase in 1HFY20 net profit to RM137.5 million driven by the surge in demand for its products worldwide (for more click <a href="https://links.sgx.com/1.0.0/corporate-announcements/CLH4HMH5ZMNJAWFN/8951fa78902ad62b9d51492a764e9c5899938d50fe582d3f6453f88592b311c3">here</a>). 
The next rebalance date for the iEdge SG All Healthcare index is on 28 Sep 2020, based on data retrieved on review date 31 August 2020. This means that effective 28 September any constituents with an Index weight above 10% will see their weightings moved back to 10%. This process also took place at the last rebalance which was effective the open of 23 March, however Top Glove’s outperformance of the day of 23 March saw the stock end the day with a 13.9% weightage.</body></html>

<figure>
 <img src='https://api2.sgx.com/sites/default/files/2020-08/Capture_11.PNG' alt='Index Weights' />
 </figure>
 <div class='content-caption'>Index Weights</div>
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As illustrated above, Top Glove has seen its weightage in the Index increase from 13.9% at the time of the major market lows on 23 March to 23.8% on 9 June which was the date of the post-23 March STI high. Its weighting reached as high as 28.5% on 27 July and has since consolidated back to 23.5% as of 17 August. 
Another stock that has entered the 10 biggest weights of the Index as of 17 August 2020 is Vicplas International which operates both a Medical Devices segment and a Pipes and pipe fittings segment. The company reported back in March that 1HFY20 (ending 31 Jan) revenue for the medical devices segment was $29.8 million, an increase of 67.9% from 1HFY19 due to increased orders from its customers while its segment result improved to $2.9 million in 1H FY20 from negative $0.1 million in 1HFY19. Medtecs has led the performances of the 10 biggest weights of the iEdge SG All Healthcare Index in the 2020 year to 17 August. On 11 August, Medtecs reported 1HFY20 (ending 30 June) Group revenue increased significantly by 390.5% from US$33.2 million in 1HFY19 to US$162.6 million in 1HFY20 from increased demand for personal protective apparels due to the COVID-19 global pandemic; which also raised awareness on healthcare products and led to increase in sales from its existing customers. The Group’s net profit after tax increased from US$386,000 in 1HFY19 to US$38.9 million in 1HFY20 due to higher sales, higher profit margins and foreign exchange gains. For more click <a href="https://links.sgx.com/1.0.0/corporate-announcements/KLAA27XEVJKXFP5C/306b74989ee1a06a6e74313d73d44c9152fde7f9594d049c0b405410c9ab278b">here</a>.

<table class="table table-striped"><tbody>
<tr>
<td>
			Current Top 10 Index Weights
			</td>
			<td>
			SGX Code
			</td>
			<td>
			Total Return:

			31 Dec 19 - 23 Mar 20 %
			</td>
			<td>
			Total Return:

			23 Mar 20 - 9 Jun 20 

			%
			</td>
			<td>
			Total Return: 

			9 Jun 20 - 17 Aug 20 %
			</td>
			<td>
			260D Volatility

			%
			</td>
			<td>
			Total Return YTD 

			%
			</td>
		</tr>
<tr>
<td>
			TOP GLOVE CORP BHD
			</td>
			<td>
			BVA
			</td>
			<td>
			28.8
			</td>
			<td>
			183.6
			</td>
			<td>
			32.1
			</td>
			<td>
			71.7
			</td>
			<td>
			379.5
			</td>
		</tr>
<tr>
<td>
			RIVERSTONE HOLDINGS
			</td>
			<td>
			AP4
			</td>
			<td>
			-19.5
			</td>
			<td>
			207.2
			</td>
			<td>
			60.4
			</td>
			<td>
			58.2
			</td>
			<td>
			293.5
			</td>
		</tr>
<tr>
<td>
			MEDTECS INTERNATIONAL CORP
			</td>
			<td>
			546
			</td>
			<td>
			83.8
			</td>
			<td>
			245.6
			</td>
			<td>
			589.4
			</td>
			<td>
			165.4
			</td>
			<td>
			4278.4
			</td>
		</tr>
<tr>
<td>
			PARKWAYLIFE REAL ESTATE
			</td>
			<td>
			C2PU
			</td>
			<td>
			-16.4
			</td>
			<td>
			28.2
			</td>
			<td>
			2.4
			</td>
			<td>
			28.8
			</td>
			<td>
			6.6
			</td>
		</tr>
<tr>
<td>
			IHH HEALTHCARE BHD
			</td>
			<td>
			Q0F
			</td>
			<td>
			-13.4
			</td>
			<td>
			15.8
			</td>
			<td>
			-4.3
			</td>
			<td>
			28.5
			</td>
			<td>
			-4.8
			</td>
		</tr>
<tr>
<td>
			RAFFLES MEDICAL GROUP
			</td>
			<td>
			BSL
			</td>
			<td>
			-27.0
			</td>
			<td>
			28.1
			</td>
			<td>
			-9.7
			</td>
			<td>
			27.2
			</td>
			<td>
			-17.5
			</td>
		</tr>
<tr>
<td>
			TIANJIN ZHONG XIN PHARM CO-S
			</td>
			<td>
			T14
			</td>
			<td>
			-35.0
			</td>
			<td>
			49.4
			</td>
			<td>
			10.9
			</td>
			<td>
			36.7
			</td>
			<td>
			2.3
			</td>
		</tr>
<tr>
<td>
			FIRST REAL ESTATE INVT TRUST
			</td>
			<td>
			AW9U
			</td>
			<td>
			-41.0
			</td>
			<td>
			24.5
			</td>
			<td>
			-14.4
			</td>
			<td>
			51.0
			</td>
			<td>
			-40.2
			</td>
		</tr>
<tr>
<td>
			VICPLAS INTERNATIONAL
			</td>
			<td>
			569
			</td>
			<td>
			-18.9
			</td>
			<td>
			53.2
			</td>
			<td>
			203.0
			</td>
			<td>
			109.8
			</td>
			<td>
			250.0
			</td>
		</tr>
<tr>
<td>
			Q &amp; M DENTAL GROUP SINGAPORE
			</td>
			<td>
			QC7
			</td>
			<td>
			-24.0
			</td>
			<td>
			33.4
			</td>
			<td>
			0.0
			</td>
			<td>
			39.9
			</td>
			<td>
			-3.1
			</td>
		</tr>
<tr>
<td>
			Average
			</td>
			<td>
			 
			</td>
			<td>
			-8.2
			</td>
			<td>
			86.9
			</td>
			<td>
			87.0
			</td>
			<td>
			61.7
			</td>
			<td>
			514.5
			</td>
		</tr>
<tr>
<td>
			Median
			</td>
			<td>
			 
			</td>
			<td>
			-19.2
			</td>
			<td>
			41.4
			</td>
			<td>
			6.7
			</td>
			<td>
			45.4
			</td>
			<td>
			4.5
			</td>
		</tr>
</tbody></table>
 Source: SGX StockFacts, Bloomberg, Reuters (Data as of 17 August 2020)

 

The next five largest weights of the iEdge SG All Healthcare Index are currently Thomson Medical Group, UG Healthcare Corp, TalkMED Group, Singapore Medical Group and IX Biopharma. UG Healthcare’s share price has moved from 14 cents at the end of 2019 to S$2.63 as of 17 August. On 11 August, UG Healthcare Corp reported record revenue and net profit for FY20 (ending 30 June) with plans to expand production capacity by 59% by the end of FY21 (click <a href="https://links.sgx.com/1.0.0/corporate-announcements/AVQBF0S5EVGA4X49/e1151bdaad5c8e86eba8e861085899e65b1bb46019dd8a0aa008356f2897e6bb">here</a> for more). 
Since the STI high on 9 June, iEdge SG All Healthcare Index has generated a 34% total return. Constituents that saw a significant pick up in trading activity over those nine weeks included the Vicplas International, QT Vascular, Hyphens Pharma International, Top Glove and UG Healthcare. Together the constituents of the iEdge SG All Healthcare Index have seen S$55.5 million in average daily turnover in the 2020 year to 17 August.
</body></html>





Singapore’s Healthcare Sector is aptly represented by the iEdge SG All Healthcare Index which has generated an 81% total return in the 2020 year to 17 August, predominately driven by Top Glove Corp Bhd, Riverstone Holdings and Medtecs International Corp.  
	 
	
Since the STI high on 9 June, iEdge SG All Healthcare Index has generated a 34% total return. Constituents that saw a significant pick up in trading activity over those nine weeks included the Vicplas International, QT Vascular, Hyphens Pharma International, Top Glove Corp Bhd and UG Healthcare.  
	 
	There have also been multiple outlier and performance skews for the top quartile of global health stocks by market value, with 128% average total returns and 23% median total returns. Life science, medical devices and medical supplies have been the strongest segments of the global sector.

 

The combined market value of globally-listed healthcare stocks has increased 17% in the 2020 year-to-date to S$13.7 trillion.  
Top Glove Corp Bhd (”Top Glove”) has moved from being outside the top 120 Asia Pacific Healthcare stocks by market value to within the top 40, in addition to now ranking as ASEAN’s biggest healthcare stock by market value. Top Glove is expected to release its FY20 (ending 31 August) results by the end of September, after reporting the Group's 9MFY20 Sales Revenue was RM 4.1 billion, a 14% YoY increase, while Profit After Tax was RM 577.8 million, a 97% YoY increase, which had also exceeded the net profits for the full financial year 2019 by 57%. In addition to being ASEAN’s biggest healthcare stock and the largest constituent of the iEdge SG All Healthcare Index, Top Glove also emerged its position as the world’s largest manufacturer of nitrile gloves, in addition to being the world’s largest manufacturer of natural rubber gloves and surgical gloves.  From the end of 2019, thorough to the major market lows of 23 March, the iEdge SG All Healthcare Index had also declined 19.2%, however has since rebounded to generate a 2020 year to 17 August total return of 81.3%.   
As illustrated below, the iEdge SG All Healthcare Index has also continued to generate gains, since the STI’s post-23 March high on 9 June.  The iEdge SG All Healthcare Index has declined 6.4% since forming is record high of close of 2,617 on 7 August.   



      
    
    STI

The iEdge SG All Healthcare Index is currently trading at a P/E ratio of 51.6x (up from 24.4x at end of 2019), which compares to the median P/E of the top quartile of global healthcare stocks at 40.8x (up from 30.8x at end of 2019). Meanwhile the simple average but skewed P/E of the top quartile of global healthcare stocks has increased from 58.0x to 90.8x. Similarly, the top quartile of global health stocks by market value have seen a skew in 2020 to 17 August performances, with 128% average total returns and 23% median total returns. Life science, medical devices and medical supplies have been the strongest segments of the global Sector.  Over the course of 2020, the iEdge SG All Healthcare Index has seen both Riverstone Holdings and Medtecs International Corporation rise to the top three heavyweights of the Index.  
Riverstone Holdings was previously the ninth biggest weight at the end of 2020 and Medtecs International Corporation (“Medtecs”) was previously the outside the twenty largest Index weights. Together, Top Glove, Riverstone Holdings and Medtecs now make up more than half the entire Index weight. Riverstone Holdings posted a 119.3% YoY increase in 1HFY20 net profit to RM137.5 million driven by the surge in demand for its products worldwide (for more click here).  
The next rebalance date for the iEdge SG All Healthcare index is on 28 Sep 2020, based on data retrieved on review date 31 August 2020. This means that effective 28 September any constituents with an Index weight above 10% will see their weightings moved back to 10%. This process also took place at the last rebalance which was effective the open of 23 March, however Top Glove’s outperformance of the day of 23 March saw the stock end the day with a 13.9% weightage.


      
    
    Index Weights


As illustrated above, Top Glove has seen its weightage in the Index increase from 13.9% at the time of the major market lows on 23 March to 23.8% on 9 June which was the date of the post-23 March STI high. Its weighting reached as high as 28.5% on 27 July and has since consolidated back to 23.5% as of 17 August.  
Another stock that has entered the 10 biggest weights of the Index as of 17 August 2020 is Vicplas International which operates both a Medical Devices segment and a Pipes and pipe fittings segment. The company reported back in March that 1HFY20 (ending 31 Jan) revenue for the medical devices segment was $29.8 million, an increase of 67.9% from 1HFY19 due to increased orders from its customers while its segment result improved to $2.9 million in 1H FY20 from negative $0.1 million in 1HFY19.  Medtecs has led the performances of the 10 biggest weights of the iEdge SG All Healthcare Index in the 2020 year to 17 August. On 11 August, Medtecs reported 1HFY20 (ending 30 June) Group revenue increased significantly by 390.5% from US$33.2 million in 1HFY19 to US$162.6 million in 1HFY20 from increased demand for personal protective apparels due to the COVID-19 global pandemic; which also raised awareness on healthcare products and led to increase in sales from its existing customers. The Group’s net profit after tax increased from US$386,000 in 1HFY19 to US$38.9 million in 1HFY20 due to higher sales, higher profit margins and foreign exchange gains. For more click here.




			Current Top 10 Index Weights
			
			
			SGX Code
			
			
			Total Return:

			31 Dec 19 - 23 Mar 20 %
			
			
			Total Return:

			23 Mar 20 - 9 Jun 20 

			%
			
			
			Total Return: 

			9 Jun 20 - 17 Aug 20 %
			
			
			260D Volatility

			%
			
			
			Total Return YTD 

			%
			
		


			TOP GLOVE CORP BHD
			
			
			BVA
			
			
			28.8
			
			
			183.6
			
			
			32.1
			
			
			71.7
			
			
			379.5
			
		


			RIVERSTONE HOLDINGS
			
			
			AP4
			
			
			-19.5
			
			
			207.2
			
			
			60.4
			
			
			58.2
			
			
			293.5
			
		


			MEDTECS INTERNATIONAL CORP
			
			
			546
			
			
			83.8
			
			
			245.6
			
			
			589.4
			
			
			165.4
			
			
			4278.4
			
		


			PARKWAYLIFE REAL ESTATE
			
			
			C2PU
			
			
			-16.4
			
			
			28.2
			
			
			2.4
			
			
			28.8
			
			
			6.6
			
		


			IHH HEALTHCARE BHD
			
			
			Q0F
			
			
			-13.4
			
			
			15.8
			
			
			-4.3
			
			
			28.5
			
			
			-4.8
			
		


			RAFFLES MEDICAL GROUP
			
			
			BSL
			
			
			-27.0
			
			
			28.1
			
			
			-9.7
			
			
			27.2
			
			
			-17.5
			
		


			TIANJIN ZHONG XIN PHARM CO-S
			
			
			T14
			
			
			-35.0
			
			
			49.4
			
			
			10.9
			
			
			36.7
			
			
			2.3
			
		


			FIRST REAL ESTATE INVT TRUST
			
			
			AW9U
			
			
			-41.0
			
			
			24.5
			
			
			-14.4
			
			
			51.0
			
			
			-40.2
			
		


			VICPLAS INTERNATIONAL
			
			
			569
			
			
			-18.9
			
			
			53.2
			
			
			203.0
			
			
			109.8
			
			
			250.0
			
		


			Q &amp; M DENTAL GROUP SINGAPORE
			
			
			QC7
			
			
			-24.0
			
			
			33.4
			
			
			0.0
			
			
			39.9
			
			
			-3.1
			
		


			Average
			
			
			 
			
			
			-8.2
			
			
			86.9
			
			
			87.0
			
			
			61.7
			
			
			514.5
			
		


			Median
			
			
			 
			
			
			-19.2
			
			
			41.4
			
			
			6.7
			
			
			45.4
			
			
			4.5
			
		

 Source: SGX StockFacts, Bloomberg, Reuters (Data as of 17 August 2020)

 

The next five largest weights of the iEdge SG All Healthcare Index are currently Thomson Medical Group, UG Healthcare Corp, TalkMED Group, Singapore Medical Group and IX Biopharma. UG Healthcare’s share price has moved from 14 cents at the end of 2019 to S$2.63 as of 17 August. On 11 August, UG Healthcare Corp reported record revenue and net profit for FY20 (ending 30 June) with plans to expand production capacity by 59% by the end of FY21 (click here for more).  
Since the STI high on 9 June, iEdge SG All Healthcare Index has generated a 34% total return. Constituents that saw a significant pick up in trading activity over those nine weeks included the Vicplas International, QT Vascular, Hyphens Pharma International, Top Glove and UG Healthcare.  Together the constituents of the iEdge SG All Healthcare Index have seen S$55.5 million in average daily turnover in the 2020 year to 17 August.



iEdge SG All Healthcare Index Extends 2020 YTD Gain to 80%  

Pharmesis International / Equity Bottom-Up

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<html><body>
<ul>
<li>
In the 2020 YTD, the iEdge SG All Healthcare Index has climbed 35% bringing its annualised total return since the end of 2010 to 9.2%. The stocks that have had the most impact on the Index in the YTD included Top Glove (reporting 3QFY20 results on 11 June) and Riverstone. 
	 </li>
	<li>
Moreover, combined turnover of the iEdge SG All Healthcare Index constituents has surged 328% from an average daily turnover of S$7.4 million in 2019, to S$31.9 million in the 2020 year to 9 June. In total, 22 Healthcare stocks have seen increased investor participation. 
	 </li>
	<li>
Stocks that saw the largest percentage growth in turnover included Medtecs Int Corp, UG Healthcare Corp, Biolidics, Top Glove Corp Bhd and Hyphens Pharma Int. Together, these five stocks averaged daily turnover of S$14.7 million in the 2020 year to 9 June. 
	 </li>
</ul>
With sharp declines in economic output across the world, economic policies have focused on the provision of  stable money markets and synchronised fiscal stimulus. The key social and economic risk going into 2H20 remains the potential for second waves of COVID-19.  Global Healthcare Stocks Led by Biotech, Healthcare Supplies and Medical Devices in YTD 
The top quartile of global Healthcare stocks by market value have generated a median total return of 8.3% in the 2020 year to 9 June, with the average total return significantly higher at 26.8%. This was due to a positive skew in performances by biotech, healthcare supplies and medical devices. 
Similar performances have been observed in Singapore. In the 2020 year to 9 June, the iEdge SG All Healthcare Index has generated a 35.3% total return. The constituents generated a 45.1% average total return, with the median total return at -1.0%. Surge in Investor Participation 
While the performance of the Healthcare stocks have been more or less aligned with global leaders, trading turnover in these stocks has surged in the 2020 year through to 9 June.  
While overall average daily turnover in the Singapore stock market for the 2020 year to 9 June is up 50% from 2019 levels, the Healthcare stocks that make up the iEdge SG All Healthcare Index has seen their combined turnover surge 328% to S$31.9 million in the 2020 year to 9 June. The constituents of the iEdge SG All Healthcare Index are tabled below and sort by the highest average turnover in the 2020 year to 9 June. 
 

<table class="table table-striped"><tbody>
<tr>
<td>
			Stock
			</td>
			<td>
			SGX Code
			</td>
			<td>
			Mkt Cap S$
			</td>
			<td>
			2020 YTD Total Return %
			</td>
			<td>
			2019 Average Daily Turnover S$
			</td>
			<td>
			2020 Average Daily Turnover S$
			</td>
			<td>
			Average Daily Turnover Growth
			</td>
		</tr>
<tr>
<td>
			MEDTECS INTERNATIONAL CORP
			</td>
			<td>
			546
			</td>
			<td>
			129,111,640
			</td>
			<td>
			535.1
			</td>
			<td>
			34,401
			</td>
			<td>
			7,265,786
			</td>
			<td>
			21021%
			</td>
		</tr>
<tr>
<td>
			BIOLIDICS LTD
			</td>
			<td>
			8YY
			</td>
			<td>
			102,841,408
			</td>
			<td>
			61.2
			</td>
			<td>
			29,061
			</td>
			<td>
			3,371,334
			</td>
			<td>
			11501%
			</td>
		</tr>
<tr>
<td>
			RIVERSTONE HOLDINGS LTD
			</td>
			<td>
			AP4
			</td>
			<td>
			1,682,260,736
			</td>
			<td>
			147.5
			</td>
			<td>
			163,916
			</td>
			<td>
			3,022,302
			</td>
			<td>
			1744%
			</td>
		</tr>
<tr>
<td>
			PARKWAYLIFE REAL ESTATE
			</td>
			<td>
			C2PU
			</td>
			<td>
			2,111,458,304
			</td>
			<td>
			7.2
			</td>
			<td>
			1,540,374
			</td>
			<td>
			2,983,225
			</td>
			<td>
			94%
			</td>
		</tr>
<tr>
<td>
			CLEARBRIDGE HEALTH LTD
			</td>
			<td>
			1H3
			</td>
			<td>
			106,247,776
			</td>
			<td>
			28.3
			</td>
			<td>
			281,206
			</td>
			<td>
			2,836,946
			</td>
			<td>
			909%
			</td>
		</tr>
<tr>
<td>
			UG HEALTHCARE CORP LTD
			</td>
			<td>
			41A
			</td>
			<td>
			143,147,792
			</td>
			<td>
			421.4
			</td>
			<td>
			11,882
			</td>
			<td>
			2,505,988
			</td>
			<td>
			20991%
			</td>
		</tr>
<tr>
<td>
			FIRST REAL ESTATE INVT TRUST
			</td>
			<td>
			AW9U
			</td>
			<td>
			561,640,384
			</td>
			<td>
			-26.5
			</td>
			<td>
			1,898,734
			</td>
			<td>
			2,395,339
			</td>
			<td>
			26%
			</td>
		</tr>
<tr>
<td>
			RAFFLES MEDICAL GROUP LTD
			</td>
			<td>
			BSL
			</td>
			<td>
			1,710,032,512
			</td>
			<td>
			-6.5
			</td>
			<td>
			1,349,961
			</td>
			<td>
			1,846,121
			</td>
			<td>
			37%
			</td>
		</tr>
<tr>
<td>
			TOP GLOVE CORP BHD
			</td>
			<td>
			BVA
			</td>
			<td>
			15,027,108,864
			</td>
			<td>
			265.4
			</td>
			<td>
			26,717
			</td>
			<td>
			1,032,247
			</td>
			<td>
			3764%
			</td>
		</tr>
<tr>
<td>
			IX BIOPHARMA LTD
			</td>
			<td>
			42C
			</td>
			<td>
			168,712,544
			</td>
			<td>
			15.6
			</td>
			<td>
			40,731
			</td>
			<td>
			872,672
			</td>
			<td>
			2043%
			</td>
		</tr>
<tr>
<td>
			THOMSON MEDICAL GROUP LTD
			</td>
			<td>
			A50
			</td>
			<td>
			1,507,137,920
			</td>
			<td>
			-10.9
			</td>
			<td>
			801,838
			</td>
			<td>
			671,750
			</td>
			<td>
			-16%
			</td>
		</tr>
<tr>
<td>
			Q &amp; M DENTAL GROUP SINGAPORE
			</td>
			<td>
			QC7
			</td>
			<td>
			366,098,496
			</td>
			<td>
			1.4
			</td>
			<td>
			127,257
			</td>
			<td>
			656,526
			</td>
			<td>
			416%
			</td>
		</tr>
<tr>
<td>
			HYPHENS PHARMA INTERNATIONAL
			</td>
			<td>
			1J5
			</td>
			<td>
			90,129,120
			</td>
			<td>
			48.9
			</td>
			<td>
			22,519
			</td>
			<td>
			516,935
			</td>
			<td>
			2196%
			</td>
		</tr>
<tr>
<td>
			HEALTHWAY MEDICAL CORP LTD
			</td>
			<td>
			5NG
			</td>
			<td>
			144,618,912
			</td>
			<td>
			23.1
			</td>
			<td>
			23,750
			</td>
			<td>
			403,682
			</td>
			<td>
			1600%
			</td>
		</tr>
<tr>
<td>
			TIANJIN ZHONG XIN PHARM CO-S
			</td>
			<td>
			T14
			</td>
			<td>
			2,087,414,656
			</td>
			<td>
			-2.9
			</td>
			<td>
			359,020
			</td>
			<td>
			394,296
			</td>
			<td>
			10%
			</td>
		</tr>
<tr>
<td>
			IHH HEALTHCARE BHD
			</td>
			<td>
			Q0F
			</td>
			<td>
			16,235,155,456
			</td>
			<td>
			0.2
			</td>
			<td>
			174,628
			</td>
			<td>
			322,298
			</td>
			<td>
			85%
			</td>
		</tr>
<tr>
<td>
			SINGAPORE MEDICAL GROUP LTD
			</td>
			<td>
			5OT
			</td>
			<td>
			123,065,720
			</td>
			<td>
			-15.0
			</td>
			<td>
			174,418
			</td>
			<td>
			290,332
			</td>
			<td>
			66%
			</td>
		</tr>
<tr>
<td>
			ASIAMEDIC LTD
			</td>
			<td>
			505
			</td>
			<td>
			12,314,745
			</td>
			<td>
			-8.3
			</td>
			<td>
			12,077
			</td>
			<td>
			170,880
			</td>
			<td>
			1315%
			</td>
		</tr>
<tr>
<td>
			ASIAN HEALTHCARE SPECIALISTS
			</td>
			<td>
			1J3
			</td>
			<td>
			79,728,384
			</td>
			<td>
			-12.5
			</td>
			<td>
			16,888
			</td>
			<td>
			137,552
			</td>
			<td>
			714%
			</td>
		</tr>
<tr>
<td>
			SINGAPORE O&amp;G LTD
			</td>
			<td>
			1D8
			</td>
			<td>
			102,512,648
			</td>
			<td>
			-28.3
			</td>
			<td>
			106,293
			</td>
			<td>
			67,125
			</td>
			<td>
			-37%
			</td>
		</tr>
<tr>
<td>
			OUE LIPPO HEALTHCARE LTD
			</td>
			<td>
			5WA
			</td>
			<td>
			164,395,776
			</td>
			<td>
			-36.2
			</td>
			<td>
			6,931
			</td>
			<td>
			30,780
			</td>
			<td>
			344%
			</td>
		</tr>
<tr>
<td>
			HC SURGICAL SPECIALISTS LTD
			</td>
			<td>
			1B1
			</td>
			<td>
			48,446,600
			</td>
			<td>
			-37.5
			</td>
			<td>
			10,407
			</td>
			<td>
			22,543
			</td>
			<td>
			117%
			</td>
		</tr>
<tr>
<td>
			CORDLIFE GROUP LTD
			</td>
			<td>
			P8A
			</td>
			<td>
			95,252,808
			</td>
			<td>
			-19.4
			</td>
			<td>
			98,719
			</td>
			<td>
			17,560
			</td>
			<td>
			-82%
			</td>
		</tr>
<tr>
<td>
			QT VASCULAR LTD
			</td>
			<td>
			5I0
			</td>
			<td>
			8,941,086
			</td>
			<td>
			33.3
			</td>
			<td>
			17,186
			</td>
			<td>
			12,760
			</td>
			<td>
			-26%
			</td>
		</tr>
<tr>
<td>
			TALKMED GROUP LTD
			</td>
			<td>
			5G3
			</td>
			<td>
			593,164,096
			</td>
			<td>
			-10.2
			</td>
			<td>
			8,287
			</td>
			<td>
			7,472
			</td>
			<td>
			-10%
			</td>
		</tr>
<tr>
<td>
			VICPLAS INTERNATIONAL LTD
			</td>
			<td>
			569
			</td>
			<td>
			59,905,968
			</td>
			<td>
			24.2
			</td>
			<td>
			4,265
			</td>
			<td>
			6,887
			</td>
			<td>
			61%
			</td>
		</tr>
<tr>
<td>
			ISEC HEALTHCARE LTD
			</td>
			<td>
			40T
			</td>
			<td>
			157,596,320
			</td>
			<td>
			-14.1
			</td>
			<td>
			86,891
			</td>
			<td>
			2,331
			</td>
			<td>
			-97%
			</td>
		</tr>
<tr>
<td>
			AOXIN Q &amp; M DENTAL GROUP LTD
			</td>
			<td>
			1D4
			</td>
			<td>
			51,512,612
			</td>
			<td>
			-25.8
			</td>
			<td>
			4,386
			</td>
			<td>
			1,354
			</td>
			<td>
			-69%
			</td>
		</tr>
<tr>
<td>
			ASIA VETS HOLDINGS LTD
			</td>
			<td>
			5RE
			</td>
			<td>
			11,379,600
			</td>
			<td>
			-30.8
			</td>
			<td>
			1,654
			</td>
			<td>
			1,067
			</td>
			<td>
			-35%
			</td>
		</tr>
<tr>
<td>
			SUNTAR ECO-CITY LTD
			</td>
			<td>
			BKZ
			</td>
			<td>
			28,869,600
			</td>
			<td>
			80.4
			</td>
			<td>
			405
			</td>
			<td>
			648
			</td>
			<td>
			60%
			</td>
		</tr>
<tr>
<td>
			ALLIANCE HEALTHCARE GROUP LT
			</td>
			<td>
			MIJ
			</td>
			<td>
			39,498,788
			</td>
			<td>
			35.7
			</td>
			<td>
			2,799
			</td>
			<td>
			243
			</td>
			<td>
			-91%
			</td>
		</tr>
<tr>
<td>
			PHARMESIS INTERNATIONAL LTD
			</td>
			<td>
			BFK
			</td>
			<td>
			4,830,000
			</td>
			<td>
			-2.3
			</td>
			<td>
			295
			</td>
			<td>
			234
			</td>
			<td>
			-21%
			</td>
		</tr>
</tbody></table>
Source: SGX StockFacts, Bloomberg, Refinitiv (Data as of 9 June 2020) 
The stocks that have had the most impact on the Index in the 2020 year to date included Top Glove Corporation Bhd and Riverstone Holdings. 
 

<ul>
<li>
On 11 March, Top Glove Corporation Bhd noted in its 2QFY20 (ending 29 Feb) results that the Group envisioned very solid quarters ahead, having already secured exceptionally large sales orders for the ensuing few months on the back of the COVID-19 outbreak. This saw a surge in sales orders for gloves, an essential item in the medical sector. The company added that the interplay of several other factors, which included the plunge in oil prices, augured well for Top Glove’s performance for 2HFY20. The company added that demand for gloves is also expected to continue to grow by at least 10% every year, as awareness and usage increases, all the more so with the COVID-19 pandemic. Note Top Glove Corporation Bhd, will be releasing its 3QFY20 (ending 31 May) tomorrow on 11 June. 
	 </li>
	<li>On 11 May, Riverstone Holdings noted the Group’s cleanroom and healthcare glove segments continued to record robust sales volume growth, with the growth in orders for the healthcare segment in particular increasing significantly due to surging worldwide demand amid the COVID-19 pandemic. This uptick in demand contributed to an improved performance for its 1QFY20 (ending 30 March), as the Group recorded a 16.2% year-on-year increase in revenue to RM279.4 million.</li>
</ul>
 
 Due to their recent price movements, Top Glove Corporation Bhd and Riverstone Holdings currently maintain the highest weightings in the iEdge SG All Healthcare Index. Note that Index constituents will have their index weights capped at 10% at each semi-annual Index review in in March and September. 
The iEdge SG All Healthcare Index is a free-float market capitalisation weighted index that measures the performance of the listed healthcare segment in Singapore. Constituents in the index include healthcare providers, manufactures &amp; distributers of medical equipment, pharmaceutical companies, biotechnology companies and healthcare asset owners. 
 

To be eligible for index inclusion, new constituents must either:

<ol>
<li>derive at least 50% of sales revenue from the healthcare sector; or</li>
	<li>(maintain at least 50% of operating assets within the healthcare sector (this may therefore extend eligibility to Healthcare REITs). 
	 </li>
</ol>
To be eligible for index inclusion, existing constituents must either:

<ol>
<li>derive at least 40% of sales revenue from the healthcare sector; or</li>
	<li>maintain at least 40% of operating assets within the healthcare sector. For more information click here. 
	 </li>
</ol>
For more information, click <a href="https://www.sgx.com/indices/products/sgxhc#Product%20Information">here</a>.
</body></html>





In the 2020 YTD, the iEdge SG All Healthcare Index has climbed 35% bringing its annualised total return since the end of 2010 to 9.2%. The stocks that have had the most impact on the Index in the YTD included Top Glove (reporting 3QFY20 results on 11 June) and Riverstone. 
	 
	
Moreover, combined turnover of the iEdge SG All Healthcare Index constituents has surged 328% from an average daily turnover of S$7.4 million in 2019, to S$31.9 million in the 2020 year to 9 June. In total, 22 Healthcare stocks have seen increased investor participation. 
	 
	
Stocks that saw the largest percentage growth in turnover included Medtecs Int Corp, UG Healthcare Corp, Biolidics, Top Glove Corp Bhd and Hyphens Pharma Int. Together, these five stocks averaged daily turnover of S$14.7 million in the 2020 year to 9 June. 
	 

With sharp declines in economic output across the world, economic policies have focused on the provision of  stable money markets and synchronised fiscal stimulus. The key social and economic risk going into 2H20 remains the potential for second waves of COVID-19.    Global Healthcare Stocks Led by Biotech, Healthcare Supplies and Medical Devices in YTD  
The top quartile of global Healthcare stocks by market value have generated a median total return of 8.3% in the 2020 year to 9 June, with the average total return significantly higher at 26.8%. This was due to a positive skew in performances by biotech, healthcare supplies and medical devices.  
Similar performances have been observed in Singapore. In the 2020 year to 9 June, the iEdge SG All Healthcare Index has generated a 35.3% total return. The constituents generated a 45.1% average total return, with the median total return at -1.0%.  Surge in Investor Participation  
While the performance of the Healthcare stocks have been more or less aligned with global leaders, trading turnover in these stocks has surged in the 2020 year through to 9 June.   
While overall average daily turnover in the Singapore stock market for the 2020 year to 9 June is up 50% from 2019 levels, the Healthcare stocks that make up the iEdge SG All Healthcare Index has seen their combined turnover surge 328% to S$31.9 million in the 2020 year to 9 June. The constituents of the iEdge SG All Healthcare Index are tabled below and sort by the highest average turnover in the 2020 year to 9 June. 
 




			Stock
			
			
			SGX Code
			
			
			Mkt Cap S$
			
			
			2020 YTD Total Return %
			
			
			2019 Average Daily Turnover S$
			
			
			2020 Average Daily Turnover S$
			
			
			Average Daily Turnover Growth
			
		


			MEDTECS INTERNATIONAL CORP
			
			
			546
			
			
			129,111,640
			
			
			535.1
			
			
			34,401
			
			
			7,265,786
			
			
			21021%
			
		


			BIOLIDICS LTD
			
			
			8YY
			
			
			102,841,408
			
			
			61.2
			
			
			29,061
			
			
			3,371,334
			
			
			11501%
			
		


			RIVERSTONE HOLDINGS LTD
			
			
			AP4
			
			
			1,682,260,736
			
			
			147.5
			
			
			163,916
			
			
			3,022,302
			
			
			1744%
			
		


			PARKWAYLIFE REAL ESTATE
			
			
			C2PU
			
			
			2,111,458,304
			
			
			7.2
			
			
			1,540,374
			
			
			2,983,225
			
			
			94%
			
		


			CLEARBRIDGE HEALTH LTD
			
			
			1H3
			
			
			106,247,776
			
			
			28.3
			
			
			281,206
			
			
			2,836,946
			
			
			909%
			
		


			UG HEALTHCARE CORP LTD
			
			
			41A
			
			
			143,147,792
			
			
			421.4
			
			
			11,882
			
			
			2,505,988
			
			
			20991%
			
		


			FIRST REAL ESTATE INVT TRUST
			
			
			AW9U
			
			
			561,640,384
			
			
			-26.5
			
			
			1,898,734
			
			
			2,395,339
			
			
			26%
			
		


			RAFFLES MEDICAL GROUP LTD
			
			
			BSL
			
			
			1,710,032,512
			
			
			-6.5
			
			
			1,349,961
			
			
			1,846,121
			
			
			37%
			
		


			TOP GLOVE CORP BHD
			
			
			BVA
			
			
			15,027,108,864
			
			
			265.4
			
			
			26,717
			
			
			1,032,247
			
			
			3764%
			
		


			IX BIOPHARMA LTD
			
			
			42C
			
			
			168,712,544
			
			
			15.6
			
			
			40,731
			
			
			872,672
			
			
			2043%
			
		


			THOMSON MEDICAL GROUP LTD
			
			
			A50
			
			
			1,507,137,920
			
			
			-10.9
			
			
			801,838
			
			
			671,750
			
			
			-16%
			
		


			Q &amp; M DENTAL GROUP SINGAPORE
			
			
			QC7
			
			
			366,098,496
			
			
			1.4
			
			
			127,257
			
			
			656,526
			
			
			416%
			
		


			HYPHENS PHARMA INTERNATIONAL
			
			
			1J5
			
			
			90,129,120
			
			
			48.9
			
			
			22,519
			
			
			516,935
			
			
			2196%
			
		


			HEALTHWAY MEDICAL CORP LTD
			
			
			5NG
			
			
			144,618,912
			
			
			23.1
			
			
			23,750
			
			
			403,682
			
			
			1600%
			
		


			TIANJIN ZHONG XIN PHARM CO-S
			
			
			T14
			
			
			2,087,414,656
			
			
			-2.9
			
			
			359,020
			
			
			394,296
			
			
			10%
			
		


			IHH HEALTHCARE BHD
			
			
			Q0F
			
			
			16,235,155,456
			
			
			0.2
			
			
			174,628
			
			
			322,298
			
			
			85%
			
		


			SINGAPORE MEDICAL GROUP LTD
			
			
			5OT
			
			
			123,065,720
			
			
			-15.0
			
			
			174,418
			
			
			290,332
			
			
			66%
			
		


			ASIAMEDIC LTD
			
			
			505
			
			
			12,314,745
			
			
			-8.3
			
			
			12,077
			
			
			170,880
			
			
			1315%
			
		


			ASIAN HEALTHCARE SPECIALISTS
			
			
			1J3
			
			
			79,728,384
			
			
			-12.5
			
			
			16,888
			
			
			137,552
			
			
			714%
			
		


			SINGAPORE O&amp;G LTD
			
			
			1D8
			
			
			102,512,648
			
			
			-28.3
			
			
			106,293
			
			
			67,125
			
			
			-37%
			
		


			OUE LIPPO HEALTHCARE LTD
			
			
			5WA
			
			
			164,395,776
			
			
			-36.2
			
			
			6,931
			
			
			30,780
			
			
			344%
			
		


			HC SURGICAL SPECIALISTS LTD
			
			
			1B1
			
			
			48,446,600
			
			
			-37.5
			
			
			10,407
			
			
			22,543
			
			
			117%
			
		


			CORDLIFE GROUP LTD
			
			
			P8A
			
			
			95,252,808
			
			
			-19.4
			
			
			98,719
			
			
			17,560
			
			
			-82%
			
		


			QT VASCULAR LTD
			
			
			5I0
			
			
			8,941,086
			
			
			33.3
			
			
			17,186
			
			
			12,760
			
			
			-26%
			
		


			TALKMED GROUP LTD
			
			
			5G3
			
			
			593,164,096
			
			
			-10.2
			
			
			8,287
			
			
			7,472
			
			
			-10%
			
		


			VICPLAS INTERNATIONAL LTD
			
			
			569
			
			
			59,905,968
			
			
			24.2
			
			
			4,265
			
			
			6,887
			
			
			61%
			
		


			ISEC HEALTHCARE LTD
			
			
			40T
			
			
			157,596,320
			
			
			-14.1
			
			
			86,891
			
			
			2,331
			
			
			-97%
			
		


			AOXIN Q &amp; M DENTAL GROUP LTD
			
			
			1D4
			
			
			51,512,612
			
			
			-25.8
			
			
			4,386
			
			
			1,354
			
			
			-69%
			
		


			ASIA VETS HOLDINGS LTD
			
			
			5RE
			
			
			11,379,600
			
			
			-30.8
			
			
			1,654
			
			
			1,067
			
			
			-35%
			
		


			SUNTAR ECO-CITY LTD
			
			
			BKZ
			
			
			28,869,600
			
			
			80.4
			
			
			405
			
			
			648
			
			
			60%
			
		


			ALLIANCE HEALTHCARE GROUP LT
			
			
			MIJ
			
			
			39,498,788
			
			
			35.7
			
			
			2,799
			
			
			243
			
			
			-91%
			
		


			PHARMESIS INTERNATIONAL LTD
			
			
			BFK
			
			
			4,830,000
			
			
			-2.3
			
			
			295
			
			
			234
			
			
			-21%
			
		

Source: SGX StockFacts, Bloomberg, Refinitiv (Data as of 9 June 2020)   
The stocks that have had the most impact on the Index in the 2020 year to date included Top Glove Corporation Bhd and Riverstone Holdings. 
 



On 11 March, Top Glove Corporation Bhd noted in its 2QFY20 (ending 29 Feb) results that the Group envisioned very solid quarters ahead, having already secured exceptionally large sales orders for the ensuing few months on the back of the COVID-19 outbreak. This saw a surge in sales orders for gloves, an essential item in the medical sector. The company added that the interplay of several other factors, which included the plunge in oil prices, augured well for Top Glove’s performance for 2HFY20. The company added that demand for gloves is also expected to continue to grow by at least 10% every year, as awareness and usage increases, all the more so with the COVID-19 pandemic. Note Top Glove Corporation Bhd, will be releasing its 3QFY20 (ending 31 May) tomorrow on 11 June.  
	 
	On 11 May, Riverstone Holdings noted the Group’s cleanroom and healthcare glove segments continued to record robust sales volume growth, with the growth in orders for the healthcare segment in particular increasing significantly due to surging worldwide demand amid the COVID-19 pandemic. This uptick in demand contributed to an improved performance for its 1QFY20 (ending 30 March), as the Group recorded a 16.2% year-on-year increase in revenue to RM279.4 million.

 
 Due to their recent price movements, Top Glove Corporation Bhd and Riverstone Holdings currently maintain the highest weightings in the iEdge SG All Healthcare Index. Note that Index constituents will have their index weights capped at 10% at each semi-annual Index review in in March and September.  
The iEdge SG All Healthcare Index is a free-float market capitalisation weighted index that measures the performance of the listed healthcare segment in Singapore. Constituents in the index include healthcare providers, manufactures &amp; distributers of medical equipment, pharmaceutical companies, biotechnology companies and healthcare asset owners. 
 

To be eligible for index inclusion, new constituents must either:


derive at least 50% of sales revenue from the healthcare sector; or
	(maintain at least 50% of operating assets within the healthcare sector (this may therefore extend eligibility to Healthcare REITs). 
	 

To be eligible for index inclusion, existing constituents must either:


derive at least 40% of sales revenue from the healthcare sector; or
	maintain at least 40% of operating assets within the healthcare sector. For more information click here. 
	 

For more information, click here.



Investor Participation in Healthcare Stocks has Surged in 2020 

<!DOCTYPE html PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN" "http://www.w3.org/TR/REC-html40/loose.dtd">
<html><body>
<ul>
<li>
The 10 SG stocks beyond the 30 STI constituents that have attracted the most Net Institutional Inflows since the recent 23 March market low include NetLink NBN Trust, AEM, MINT, StarHub, FLT, Keppel REIT, Keppel DC REIT, Thomson Medical, SIAECO and Q &amp; M. 
	 </li>
	<li>
The 10 stocks have a combined market value of S$27 billion and traded a combined S$109 million in daily turnover for the first four months of 2020. Since the 23 March low, the 10 stocks were recipient to a combined net institutional inflow of S$122 million.  
	 </li>
	<li>For the month of April, these 10 stocks averaged a 20% gain, more than three times the gains of the STI. This brought their average total return for the first four months of 2020 to -1%, with AEM, Keppel DC REIT &amp; NetLink NBN Trust the strongest performers for the period. </li>
</ul>
 

At 18% on 30 April, the Straits Times Index (“STI”) 10-day annualised volatility had returned much closer to its long term normalised levels of 12%. This followed the short term volatility gauge reaching as high as 80% in late March, with the STI forming an intra-year low at 2,208 on 23 March.

In April, global stock markets continued partial recoveries from the 23 March low, and in the case of the S&amp;P 500, the alternative equally weighted index outpaced the capitalisation weighted index. Looking back, the most recent full year that saw the equally weighted S&amp;P 500 Index outperform the capitalisation weighted S&amp;P 500 Index was back in 2016, and on a monthly basis, this has generally occurred only one-third of the time since 2016. In part, this reflects the current scale of the US’ recent fiscal and monetary policy responses that are intended to support businesses well beyond the big end of town. As Federal Reserve Chair noted in last week’s press conference, as important job creators, medium-sized and small-sized businesses are worth so much more to the economy than the sum of their net assets.

10 Non-STI Stocks that Attracted Most Net Institutional Inflows since 23 March

Of the 10 SGX-listed stocks that attracted the highest net institutional inflows since 23 March that are not currently not large enough to qualify for STI conclusion, eight of the 10 stocks outpaced the STI in the month of April. For the two stocks that did not outpace the STI in April, they have been significantly more defensive that the STI over the first four months of 2020.

The 10 SGX-listed non-STI stocks that attracted the highest net institutional inflows from 24 March through to 30 April were NetLink NBN Trust, AEM Holdings, Mapletree Industrial Trust, StarHub, Frasers Logistics &amp; Commercial Trust, Keppel REIT, Keppel DC REIT, Thomson Medical Group, SIA Engineering Co and Q &amp; M Dental Group Singapore.

Reordering these 10 stocks to the high net institutional inflow proportionate to 30 April market capitalisation, they are: AEM Holdings, Q &amp; M Dental Group Singapore, NetLink NBN Trust, StarHub, Frasers Logistics &amp; Commercial Trust, Mapletree Industrial Trust, Keppel REIT, Keppel DC REIT, Thomson Medical Group, SIA Engineering Co.

<ul></ul>
</body></html>

<figure>
 <img src='https://api2.sgx.com/sites/default/files/2020-05/April%20Total%20Return.PNG' alt='April Total Return ' />
 </figure>
 <div class='content-caption'>April Total Return </div>
<!DOCTYPE html PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN" "http://www.w3.org/TR/REC-html40/loose.dtd">
<html><body>
The net institutional inflows and individual price performances of the 10 stocks are tabled below.

<table class="table table-striped"><tbody>
<tr>
<td>
			Name
			</td>
			<td>
			Code
			</td>
			<td>
			Average daily Turnover in 2020 YTD S$M
			</td>
			<td>
			Mkt Cap S$M
			</td>
			<td>
			Net Institutional Inflow since 23 March 2020 S$M 
			</td>
			<td>
			April Total Return %
			</td>
			<td>
			YTD Total Return %
			</td>
		</tr>
<tr>
<td>
			AEM HOLDINGS
			</td>
			<td>
			AWX
			</td>
			<td>
			18.9
			</td>
			<td>
			671
			</td>
			<td>
			19.1
			</td>
			<td>
			46.7
			</td>
			<td>
			21.3
			</td>
		</tr>
<tr>
<td>
			Q &amp; M DENTAL GROUP SINGAPORE
			</td>
			<td>
			QC7
			</td>
			<td>
			0.7
			</td>
			<td>
			378
			</td>
			<td>
			3.1
			</td>
			<td>
			35.8
			</td>
			<td>
			4.7
			</td>
		</tr>
<tr>
<td>
			NETLINK NBN TRUST
			</td>
			<td>
			CJLU
			</td>
			<td>
			12.5
			</td>
			<td>
			3,897
			</td>
			<td>
			27.5
			</td>
			<td>
			10.5
			</td>
			<td>
			5.8
			</td>
		</tr>
<tr>
<td>
			STARHUB
			</td>
			<td>
			CC3
			</td>
			<td>
			4.2
			</td>
			<td>
			2,580
			</td>
			<td>
			15.0
			</td>
			<td>
			12.0
			</td>
			<td>
			4.9
			</td>
		</tr>
<tr>
<td>
			FRASERS LOGISTICS &amp; COMMERCIAL
			</td>
			<td>
			BUOU
			</td>
			<td>
			12.2
			</td>
			<td>
			2,398
			</td>
			<td>
			13.6
			</td>
			<td>
			24.5
			</td>
			<td>
			-11.2
			</td>
		</tr>
<tr>
<td>
			MAPLETREE INDUSTRIAL TRUST
			</td>
			<td>
			ME8U
			</td>
			<td>
			25.7
			</td>
			<td>
			5,613
			</td>
			<td>
			17.7
			</td>
			<td>
			4.9
			</td>
			<td>
			-0.7
			</td>
		</tr>
<tr>
<td>
			KEPPEL REIT
			</td>
			<td>
			K71U
			</td>
			<td>
			12.0
			</td>
			<td>
			3,583
			</td>
			<td>
			9.5
			</td>
			<td>
			13.1
			</td>
			<td>
			-12.4
			</td>
		</tr>
<tr>
<td>
			KEPPEL DC REIT
			</td>
			<td>
			AJBU
			</td>
			<td>
			20.2
			</td>
			<td>
			3,837
			</td>
			<td>
			8.9
			</td>
			<td>
			2.6
			</td>
			<td>
			14.0
			</td>
		</tr>
<tr>
<td>
			THOMSON MEDICAL GROUP
			</td>
			<td>
			A50
			</td>
			<td>
			0.8
			</td>
			<td>
			1,613
			</td>
			<td>
			3.6
			</td>
			<td>
			35.6
			</td>
			<td>
			-4.7
			</td>
		</tr>
<tr>
<td>
			SIA ENGINEERING CO
			</td>
			<td>
			S59
			</td>
			<td>
			1.5
			</td>
			<td>
			2,095
			</td>
			<td>
			3.4
			</td>
			<td>
			9.4
			</td>
			<td>
			-33.7
			</td>
		</tr>
<tr>
<td>
			Average
			</td>
			<td>
			 
			</td>
			<td>
			 
			</td>
			<td>
			 
			</td>
			<td>
			 
			</td>
			<td>
			19.5
			</td>
			<td>
			-1.2
			</td>
		</tr>
</tbody></table>
 Source: SGX, Bloomberg, Thomson Reuters (Data as of 30 April 2020

The three best performing stocks over the first four months of 2020 tabled above were AEM Holdings and Keppel DC REIT and NetLink NBN Trust, with the growth of Internet Enterprises a common thread to these stocks.

 

<ul>
<li>On 28 April, AEM Holdings reported its best quarterly performance on record in 1QFY20 (ended 31 March) with revenue up 179% to S$147 million, on increased orders from its main customer. The test and handling solutions provider for semiconductor and electronics companies (serving advanced computing, 5G and AI markets) maintains its revenue guidance for FY20 to be between S$360 million to S$380 million (was S$222 million in the FY17). Click <a href="https://links.sgx.com/1.0.0/corporate-announcements/CLELOVPFO7OA9SES/24980385d847dc4cc83eca0c5f4f3b762ee7d67eaa51b5c32a61fc3f0d098e3b">here</a> for more. 
	 </li>
	<li>On 21 April, Keppel DC REIT reported its 1QFY20 (ended 31 March) Net Property Income grew 28.3% year-on-year, click here for more. In the FY18 AGM, Keppel DC REIT Management Limited CEO Chua Hsien Yang, reiterated policy was to not share tenant names, rather share “Trade Sector” of the REIT clients. This was due to confidentiality to the location of the data centres very important to clients. In the FY19 Annual Report, under “Trade Sector for December 2019, Internet Enterprise made up 48.5% of rental income. Furthermore at the FY18 AGM, the CEO stated that its clients included “hyperscale cloud providers that are now amongst the largest companies in the world and the risk of default are very low”. 
	 </li>
	<li>NetLink NBN Management Pte. Ltd., as trustee-manager of NetLink NBN Trust, will be announcing the financial results of NetLink NBN Trust for the full year and fourth quarter ended 31 March 2020, after the close of trading on 6 May 2020.</li>
</ul>
</body></html>





The 10 SG stocks beyond the 30 STI constituents that have attracted the most Net Institutional Inflows since the recent 23 March market low include NetLink NBN Trust, AEM, MINT, StarHub, FLT, Keppel REIT, Keppel DC REIT, Thomson Medical, SIAECO and Q &amp; M.  
	 
	
The 10 stocks have a combined market value of S$27 billion and traded a combined S$109 million in daily turnover for the first four months of 2020. Since the 23 March low, the 10 stocks were recipient to a combined net institutional inflow of S$122 million.   
	 
	For the month of April, these 10 stocks averaged a 20% gain, more than three times the gains of the STI. This brought their average total return for the first four months of 2020 to -1%, with AEM, Keppel DC REIT &amp; NetLink NBN Trust the strongest performers for the period. 

 

At 18% on 30 April, the Straits Times Index (“STI”) 10-day annualised volatility had returned much closer to its long term normalised levels of 12%. This followed the short term volatility gauge reaching as high as 80% in late March, with the STI forming an intra-year low at 2,208 on 23 March.

In April, global stock markets continued partial recoveries from the 23 March low, and in the case of the S&amp;P 500, the alternative equally weighted index outpaced the capitalisation weighted index. Looking back, the most recent full year that saw the equally weighted S&amp;P 500 Index outperform the capitalisation weighted S&amp;P 500 Index was back in 2016, and on a monthly basis, this has generally occurred only one-third of the time since 2016. In part, this reflects the current scale of the US’ recent fiscal and monetary policy responses that are intended to support businesses well beyond the big end of town. As Federal Reserve Chair noted in last week’s press conference, as important job creators, medium-sized and small-sized businesses are worth so much more to the economy than the sum of their net assets.

10 Non-STI Stocks that Attracted Most Net Institutional Inflows since 23 March

Of the 10 SGX-listed stocks that attracted the highest net institutional inflows since 23 March that are not currently not large enough to qualify for STI conclusion, eight of the 10 stocks outpaced the STI in the month of April. For the two stocks that did not outpace the STI in April, they have been significantly more defensive that the STI over the first four months of 2020.

The 10 SGX-listed non-STI stocks that attracted the highest net institutional inflows from 24 March through to 30 April were NetLink NBN Trust, AEM Holdings, Mapletree Industrial Trust, StarHub, Frasers Logistics &amp; Commercial Trust, Keppel REIT, Keppel DC REIT, Thomson Medical Group, SIA Engineering Co and Q &amp; M Dental Group Singapore.

Reordering these 10 stocks to the high net institutional inflow proportionate to 30 April market capitalisation, they are: AEM Holdings, Q &amp; M Dental Group Singapore, NetLink NBN Trust, StarHub, Frasers Logistics &amp; Commercial Trust, Mapletree Industrial Trust, Keppel REIT, Keppel DC REIT, Thomson Medical Group, SIA Engineering Co.





      
    
    April Total Return 


The net institutional inflows and individual price performances of the 10 stocks are tabled below.




			Name
			
			
			Code
			
			
			Average daily Turnover in 2020 YTD S$M
			
			
			Mkt Cap S$M
			
			
			Net Institutional Inflow since 23 March 2020 S$M 
			
			
			April Total Return %
			
			
			YTD Total Return %
			
		


			AEM HOLDINGS
			
			
			AWX
			
			
			18.9
			
			
			671
			
			
			19.1
			
			
			46.7
			
			
			21.3
			
		


			Q &amp; M DENTAL GROUP SINGAPORE
			
			
			QC7
			
			
			0.7
			
			
			378
			
			
			3.1
			
			
			35.8
			
			
			4.7
			
		


			NETLINK NBN TRUST
			
			
			CJLU
			
			
			12.5
			
			
			3,897
			
			
			27.5
			
			
			10.5
			
			
			5.8
			
		


			STARHUB
			
			
			CC3
			
			
			4.2
			
			
			2,580
			
			
			15.0
			
			
			12.0
			
			
			4.9
			
		


			FRASERS LOGISTICS &amp; COMMERCIAL
			
			
			BUOU
			
			
			12.2
			
			
			2,398
			
			
			13.6
			
			
			24.5
			
			
			-11.2
			
		


			MAPLETREE INDUSTRIAL TRUST
			
			
			ME8U
			
			
			25.7
			
			
			5,613
			
			
			17.7
			
			
			4.9
			
			
			-0.7
			
		


			KEPPEL REIT
			
			
			K71U
			
			
			12.0
			
			
			3,583
			
			
			9.5
			
			
			13.1
			
			
			-12.4
			
		


			KEPPEL DC REIT
			
			
			AJBU
			
			
			20.2
			
			
			3,837
			
			
			8.9
			
			
			2.6
			
			
			14.0
			
		


			THOMSON MEDICAL GROUP
			
			
			A50
			
			
			0.8
			
			
			1,613
			
			
			3.6
			
			
			35.6
			
			
			-4.7
			
		


			SIA ENGINEERING CO
			
			
			S59
			
			
			1.5
			
			
			2,095
			
			
			3.4
			
			
			9.4
			
			
			-33.7
			
		


			Average
			
			
			 
			
			
			 
			
			
			 
			
			
			 
			
			
			19.5
			
			
			-1.2
			
		

 Source: SGX, Bloomberg, Thomson Reuters (Data as of 30 April 2020

The three best performing stocks over the first four months of 2020 tabled above were AEM Holdings and Keppel DC REIT and NetLink NBN Trust, with the growth of Internet Enterprises a common thread to these stocks.

 


On 28 April, AEM Holdings reported its best quarterly performance on record in 1QFY20 (ended 31 March) with revenue up 179% to S$147 million, on increased orders from its main customer. The test and handling solutions provider for semiconductor and electronics companies (serving advanced computing, 5G and AI markets) maintains its revenue guidance for FY20 to be between S$360 million to S$380 million (was S$222 million in the FY17). Click here for more. 
	 
	On 21 April, Keppel DC REIT reported its 1QFY20 (ended 31 March) Net Property Income grew 28.3% year-on-year, click here for more. In the FY18 AGM, Keppel DC REIT Management Limited CEO Chua Hsien Yang, reiterated policy was to not share tenant names, rather share “Trade Sector” of the REIT clients. This was due to confidentiality to the location of the data centres very important to clients. In the FY19 Annual Report, under “Trade Sector for December 2019, Internet Enterprise made up 48.5% of rental income. Furthermore at the FY18 AGM, the CEO stated that its clients included “hyperscale cloud providers that are now amongst the largest companies in the world and the risk of default are very low”. 
	 
	NetLink NBN Management Pte. Ltd., as trustee-manager of NetLink NBN Trust, will be announcing the financial results of NetLink NBN Trust for the full year and fourth quarter ended 31 March 2020, after the close of trading on 6 May 2020.




Top 10 Mid-Caps with Most Institutional Inflows Since 23 March

Singapore Small-Caps with Significant Institutional Inflow in 2019 

<figure>
 <img src='https://api2.sgx.com/sites/default/files/2019-09/Kopi%20C%20Q%26M%20Dental.PNG' alt='Q&M Dental ' />
 </figure>
 <div class='content-caption'>Q&M Dental </div>
<!DOCTYPE html PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN" "http://www.w3.org/TR/REC-html40/loose.dtd">
<html><body>Growing up, Dr Raymond Ang's favourite hangout was Singapore General Hospital, the 198-year-old grand dame of healthcare institutions in the city-state. 
"My dad worked as a clinical technician, running SGH's EEG and ECG machines, and I would hang around him after school," recalled the Chief Operating Officer of SGX-listed Q &amp; M Dental Group (Singapore) Ltd. Electroencephalograms (EEGs) and electrocardiograms (ECGs) are tests that monitor electrical activity of the brain and heart. 
"As a kid, I spent quite a lot of time in the hospital, and that piqued my interest in healthcare. I was intrigued by the idea of being able to help someone, of making a difference to another person's well-being." 
Unfortunately - or fortunately in retrospect - Ang's attempt to pursue a course in medicine at the National University of Singapore decades later fell flat. 
"Everyone wanted to do medicine. Dentistry was not popular then - it wasn't a degree that you could impress someone important, like your future mother-in-law, for example," chuckled Ang. 
"Dental school was my second choice, and it was there that I met Chin Siau - another medical-school reject - and we became buddies," he added, referring to Dr Ng Chin Siau, Founder and Chief Executive Officer of Q &amp; M Dental Group. 
"We got to know each other pretty well during those years at university. He taught me how to play mahjong, and I probably helped to finance his education, since he frequently beat me at the game and won my pocket money!" Ang guffawed. 
That bond - forged over the clacking of mahjong tiles and spanning three decades - proved to be a catalyst for the transformation of the Group into a regional dental services provider. 
At first, their paths diverged. After graduation, Ng went on to open his Q &amp; M dental clinics, while Ang joined another dental practice. They became competitors, jockeying to see who could build a bigger network. Nearly another decade passed before their love for the Chinese tile-based game brought them together again. 
"We reconnected at a mahjong session with friends. At the time, I was thinking of leaving my practice, and it so happened that Chin Siau wanted to find someone to help him grow Q &amp; M to the next stage," Ang said. Catch a Shooting Star 
Back in the 80s and 90s, Singapore's dental industry was fragmented. "Each dentist was a sole proprietor, running his own business. Chin Siau had a grand vision of uniting a group of dentists under one roof to form the largest dental network in Singapore, with the eventual goal of listing it on the stock exchange," he recalled. 
"That was revolutionary. In those days, no one even liked to see a dentist, and doing an IPO for a dental practice was virtually unheard of." 
But Ang had faith, and he shared Ng's dream. "I believe that if you hitch a ride on a shooting star, you will go places you might not be able to reach on your own. And Chin Siau was that shooting star." 
In 2008, Ang was appointed Executive Director of Q &amp; M Dental Group. A year later, he assumed the role of Chief Operating Officer, managing the Group's human resources, information technology and marketing functions. 
The Bachelor of Dental Surgery graduate is also an elected member of the Singapore Dental Council (SDC). He chairs the SDC Audit Committee, and sits on the Complaints Panel, as well as the Continuing Professional Education (CPE) Committee. 
Q &amp; M Dental Group made its debut on the Mainboard of Singapore Exchange in November 2009. It celebrates its decade as a listed company this year, with a market capitalisation of over S$380 million. 
Today, it operates 74 dental outlets and four medical clinics in Singapore, 27 dental clinics in Malaysia, as well as three dental supplies and equipment distribution companies across Singapore, Malaysia and China. With more than 230 experienced dentists and nearly 400 supporting staff, the Group has an outreach of more than 600,000 patients locally. 
The Group owns 42.6% of Aoxin Q &amp; M Dental Group, which listed on SGX's Catalist board in April 2017. Aoxin manages and operates six dental hospitals and 11 dental polyclinics across eight cities in Liaoning province, north China. It also has its own dental laboratory and equipment distribution company. 
For Ang, the Group's growth journey has been nothing short of dramatic, splattered with blood, sweat and tears. 
"It's been a pretty wild ride," he admitted with a chortle. "To be able to accomplish one IPO in your lifetime is quite an achievement, but we actually did two, and both were dental IPOs, which is quite unusual." Bolt From the Blue 
On hindsight, what does he consider to be Q &amp; M Dental's make-or-break strategy? "It was the decision to expand overseas in 2013 and 2014 that was critical to our success," Ang said. 
"Singapore is a small market - there are only so many teeth you can drill or pull out," he noted, tongue firmly in cheek. 
Malaysia was the first and most obvious choice, being the city-state's closest neighbour and home base for many of the Group's dentists. Next was China, due to its physical proximity to Singapore, and demographic as the world's most populous country. 
"Back then, there were all these horror stories about investing in China and losing your pants. That made us very cautious about going into that market," he recalled. 
"At the same time, there was overwhelming competition. Every father's son and mother's daughter was venturing into the Tier 1 cities of Beijing, Shanghai and Guangzhou - all of us were chasing the same patient pool, which consisted of wealthy Chinese nationals and expatriates." 
In those early years, the Group's clinics in Nanjing and Beijing didn't bear much fruit. "We didn't lose money, but we didn't make much either." 
The turning point came as a bolt from the blue, with an unsolicited telephone call from Shenyang-based oral medicine specialist Dr Shao Yongxin, who later became the CEO of Aoxin Q &amp; M Dental Group. 
"Dr Shao had heard about Q &amp; M Dental Group in Singapore, and wanted to learn from us, to find out how he could also successfully list his dental hospital on the stock exchange," Ang said. 
Through Shao, Ang and Ng were introduced not only to the joys of baijiu (白酒) - China's national liquor distilled from fermented grains that packs a fiery punch - but also Shenyang, capital of Liaoning, the country's largest province in the northeast. 
"With a population of about eight million, Shenyang is a huge city, but no one was there. This partnership also gave us the opportunity to own private dental hospitals - the main mode of expansion in China's dental industry - as opposed to individual clinics." 
Owning private dental hospitals in Shenyang also opened up other opportunities, including research and development (R&amp;D) collaborations, human resources management, as well as access to China's healthcare insurance programs. These dental hospitals are also a branch of Jinzhou Medical University, which facilitates the training of its dental students. 
"This means that patients are queuing up for appointments in our clinics, rather than our dentists sitting around waiting for patients to call. In China, the population is where you win the game," he added. No Risk, No Gain 
While the road ahead will have its fair share of bumps, the Group's focus and strategy are clear. "We will continue to pursue organic expansion in our existing markets of Singapore, Malaysia and China, which have enjoyed good growth so far," Ang noted. 
"The next big wave of our regional push - into Southeast Asia - will take place within three years," he said, adding that the Group is exploring opportunities in Thailand, Cambodia, Myanmar and Vietnam. 
Competition in Southeast Asia's dental markets remains muted, partly due to the splintered nature of the industry. "Not many local dental firms are expanding as aggressively as us overseas, and there are pockets of opportunity, particularly in Indochina." 
But new markets also mean increased risk exposure. "To grow, we need to take calculated risks - no risk, no gain." 
That's why the Group is taking its time to understand regulatory infrastructure and policies in the different markets before jumping in. "We've been spending time building knowledge in each country, and looking at whether we should work with strong local partners," Ang noted. 
Ultimately, it's about leveraging Q &amp; M Dental Group's already familiar brand. "Our success in China has attracted attention, and our name is known in the region. The next step is to for us become the top clinical dentistry brand in Asia Pacific," he added. 
And the outlook is bright, thanks to favourable healthcare dynamics. 
"In the 70s and 80s, people never cared much about their teeth - if it rots, pull it out; if you lose all your teeth, just get dentures. But as the population matures and wealth increases, consumers' expectations and healthcare standards change," Ang pointed out. 
There's now a growing realisation that teeth do more than just chew food - they also play important roles in speech, physical appearance and first impressions. 
"Societies are moving away from pull and replace to preventing decay and loss, as well as aesthetics, such as orthodontics and veneers. Overall demand for dental services will also rise as populations age," he added. 
With industry trends shifting more into specialist dental services, such as root canals, crowns and bridges, constant technological innovation is critical to keep abreast of the competition. 
Q &amp; M Dental is one of the pioneers of Computer-Aided Design/Computer-Aided Manufacturing (CAD/CAM) dentistry in Singapore, and the first worldwide to produce multi-layer zirconium blocks - used in teeth restoration - through its Chinese associate Aidite (Qinhuangdao) Technology. 
"We're moving into pioneer territory by developing AI-based diagnostics and treatments, which will raise the bar on treatment quality and planning in the region," he added. 
To achieve this, Q &amp; M Dental AI was set up in November 2018. The first prototype of the artificial intelligence (AI) software is expected to be rolled out in the final quarter of this year. The Next Generation 
Apart from tech, grooming and retaining talent looms large in Ang's mind. 
"What keeps me awake at night - apart from too many cups of coffee - is the issue of leadership renewal," he said. "Although Chin Siau and I are in our 50s, and we still have some way to go, we need to focus on the next generation of leaders at Q &amp; M." 
"The key is to tackle this not when current management is on its way out, but when we - and the organisation - are on our way up. With the latter, our employees will be able to grow together with us, understand the culture better, and plan for the long term more effectively," he added. 
The Group set up its Q &amp; M College of Dentistry subsidiary in end-2018, and is planning to offer a post-graduate dental diploma programme, training new dentists in implant dentistry, root canal treatment, prosthodontics and other surgical procedures. It also offers sponsorships and bursaries for aspiring dental graduates, as well as job attachments to the Group's specialists and senior dentists in the region. 
When the jovial 50-year-old is not caught up in board or investor meetings, he is treating patients in his Bukit Panjang and City Square Mall clinics. "I make it a point to see patients twice a week - that's my down time and I really enjoy it," Ang grinned. 
"Dentistry is a science, where one plus one equals two. Running a listed company is not - the results are not 100% predictable. You can do everything right, and things can still turn out wrong!" he added with a guffaw. 
At the end of the day, Ang's passion is his patients. That also forms the backbone of the Quan Ming (全民) brand, which means "for the people" in Mandarin.  
"I always tell my dentists - I am not your boss, your patients are your boss, and they're paying your salaries. It's your job to impress them and keep them happy," he noted. 
"Ultimately, the patient must come first - that has always been our priority and the Group's focus."</body></html>

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Q &amp; M Dental Group (Singapore) Ltd

Q &amp; M Dental Group is a leading private dental healthcare group in Asia, established in 1996. The Group operates 74 dental outlets and four medical clinics in Singapore, 27 dental clinics in Malaysia, as well as three dental supplies and equipment distribution companies across Singapore, Malaysia and China. Underpinned by over 230 experienced dentists and close to 400 supporting staff, the Group owns the largest network of private dental outlets in Singapore, with an outreach of more than 600,000 patients. 
The company website is: <a href="http://edm.sgx.com/a/hBdevgmB86%24MfB9zo82AAAAAAcq/link8">www.qandm.com.sg</a>. 
Click <a href="http://edm.sgx.com/a/hBdevgmB86%24MfB9zo82AAAAAAcq/link9">here</a> for the company's StockFacts page. 
For the three months ended 30 June 2019 financial results, click <a href="http://edm.sgx.com/a/hBdevgmB86%24MfB9zo82AAAAAAcq/link10">here</a>. 
To read the previously published SGX kopi-C profile of Aoxin Q &amp; M Dental, click <a href="http://edm.sgx.com/a/hBdevgmB86%24MfB9zo82AAAAAAcq/link11">here</a>.

About kopi-C: the Company brew

Text: Jennifer LH Tan Photo: Company file kopi-C is a regular column on the SGX Research website that features C-level executives of leading companies listed on Singapore Exchange. These interviews are profiles of senior management aimed at helping investors better understand the individuals who run these corporations. 
For previous editions of kopi-C: the Company brew, please click <a href="http://edm.sgx.com/a/hBdevgmB86%24MfB9zo82AAAAAAcq/link12">here</a>.   
For more information, or if you would like your senior executives to be featured on SGX Market Dialogues, please send suggestions to <a href="mailto:jennifer.tan@sgx.com">jennifer.tan@sgx.com</a>.
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    Q&M Dental 

Growing up, Dr Raymond Ang's favourite hangout was Singapore General Hospital, the 198-year-old grand dame of healthcare institutions in the city-state.  
"My dad worked as a clinical technician, running SGH's EEG and ECG machines, and I would hang around him after school," recalled the Chief Operating Officer of SGX-listed Q &amp; M Dental Group (Singapore) Ltd. Electroencephalograms (EEGs) and electrocardiograms (ECGs) are tests that monitor electrical activity of the brain and heart.  
"As a kid, I spent quite a lot of time in the hospital, and that piqued my interest in healthcare. I was intrigued by the idea of being able to help someone, of making a difference to another person's well-being."  
Unfortunately - or fortunately in retrospect - Ang's attempt to pursue a course in medicine at the National University of Singapore decades later fell flat.  
"Everyone wanted to do medicine. Dentistry was not popular then - it wasn't a degree that you could impress someone important, like your future mother-in-law, for example," chuckled Ang.  
"Dental school was my second choice, and it was there that I met Chin Siau - another medical-school reject - and we became buddies," he added, referring to Dr Ng Chin Siau, Founder and Chief Executive Officer of Q &amp; M Dental Group.  
"We got to know each other pretty well during those years at university. He taught me how to play mahjong, and I probably helped to finance his education, since he frequently beat me at the game and won my pocket money!" Ang guffawed.  
That bond - forged over the clacking of mahjong tiles and spanning three decades - proved to be a catalyst for the transformation of the Group into a regional dental services provider.  
At first, their paths diverged. After graduation, Ng went on to open his Q &amp; M dental clinics, while Ang joined another dental practice. They became competitors, jockeying to see who could build a bigger network. Nearly another decade passed before their love for the Chinese tile-based game brought them together again.  
"We reconnected at a mahjong session with friends. At the time, I was thinking of leaving my practice, and it so happened that Chin Siau wanted to find someone to help him grow Q &amp; M to the next stage," Ang said.  Catch a Shooting Star  
Back in the 80s and 90s, Singapore's dental industry was fragmented. "Each dentist was a sole proprietor, running his own business. Chin Siau had a grand vision of uniting a group of dentists under one roof to form the largest dental network in Singapore, with the eventual goal of listing it on the stock exchange," he recalled.  
"That was revolutionary. In those days, no one even liked to see a dentist, and doing an IPO for a dental practice was virtually unheard of."  
But Ang had faith, and he shared Ng's dream. "I believe that if you hitch a ride on a shooting star, you will go places you might not be able to reach on your own. And Chin Siau was that shooting star."  
In 2008, Ang was appointed Executive Director of Q &amp; M Dental Group. A year later, he assumed the role of Chief Operating Officer, managing the Group's human resources, information technology and marketing functions.  
The Bachelor of Dental Surgery graduate is also an elected member of the Singapore Dental Council (SDC). He chairs the SDC Audit Committee, and sits on the Complaints Panel, as well as the Continuing Professional Education (CPE) Committee.  
Q &amp; M Dental Group made its debut on the Mainboard of Singapore Exchange in November 2009. It celebrates its decade as a listed company this year, with a market capitalisation of over S$380 million.  
Today, it operates 74 dental outlets and four medical clinics in Singapore, 27 dental clinics in Malaysia, as well as three dental supplies and equipment distribution companies across Singapore, Malaysia and China. With more than 230 experienced dentists and nearly 400 supporting staff, the Group has an outreach of more than 600,000 patients locally.  
The Group owns 42.6% of Aoxin Q &amp; M Dental Group, which listed on SGX's Catalist board in April 2017. Aoxin manages and operates six dental hospitals and 11 dental polyclinics across eight cities in Liaoning province, north China. It also has its own dental laboratory and equipment distribution company.  
For Ang, the Group's growth journey has been nothing short of dramatic, splattered with blood, sweat and tears.  
"It's been a pretty wild ride," he admitted with a chortle. "To be able to accomplish one IPO in your lifetime is quite an achievement, but we actually did two, and both were dental IPOs, which is quite unusual."  Bolt From the Blue  
On hindsight, what does he consider to be Q &amp; M Dental's make-or-break strategy? "It was the decision to expand overseas in 2013 and 2014 that was critical to our success," Ang said.  
"Singapore is a small market - there are only so many teeth you can drill or pull out," he noted, tongue firmly in cheek.  
Malaysia was the first and most obvious choice, being the city-state's closest neighbour and home base for many of the Group's dentists. Next was China, due to its physical proximity to Singapore, and demographic as the world's most populous country.  
"Back then, there were all these horror stories about investing in China and losing your pants. That made us very cautious about going into that market," he recalled.  
"At the same time, there was overwhelming competition. Every father's son and mother's daughter was venturing into the Tier 1 cities of Beijing, Shanghai and Guangzhou - all of us were chasing the same patient pool, which consisted of wealthy Chinese nationals and expatriates."  
In those early years, the Group's clinics in Nanjing and Beijing didn't bear much fruit. "We didn't lose money, but we didn't make much either."  
The turning point came as a bolt from the blue, with an unsolicited telephone call from Shenyang-based oral medicine specialist Dr Shao Yongxin, who later became the CEO of Aoxin Q &amp; M Dental Group.  
"Dr Shao had heard about Q &amp; M Dental Group in Singapore, and wanted to learn from us, to find out how he could also successfully list his dental hospital on the stock exchange," Ang said.  
Through Shao, Ang and Ng were introduced not only to the joys of baijiu (白酒) - China's national liquor distilled from fermented grains that packs a fiery punch - but also Shenyang, capital of Liaoning, the country's largest province in the northeast.  
"With a population of about eight million, Shenyang is a huge city, but no one was there. This partnership also gave us the opportunity to own private dental hospitals - the main mode of expansion in China's dental industry - as opposed to individual clinics."  
Owning private dental hospitals in Shenyang also opened up other opportunities, including research and development (R&amp;D) collaborations, human resources management, as well as access to China's healthcare insurance programs. These dental hospitals are also a branch of Jinzhou Medical University, which facilitates the training of its dental students.  
"This means that patients are queuing up for appointments in our clinics, rather than our dentists sitting around waiting for patients to call. In China, the population is where you win the game," he added.  No Risk, No Gain  
While the road ahead will have its fair share of bumps, the Group's focus and strategy are clear. "We will continue to pursue organic expansion in our existing markets of Singapore, Malaysia and China, which have enjoyed good growth so far," Ang noted.  
"The next big wave of our regional push - into Southeast Asia - will take place within three years," he said, adding that the Group is exploring opportunities in Thailand, Cambodia, Myanmar and Vietnam.  
Competition in Southeast Asia's dental markets remains muted, partly due to the splintered nature of the industry. "Not many local dental firms are expanding as aggressively as us overseas, and there are pockets of opportunity, particularly in Indochina."  
But new markets also mean increased risk exposure. "To grow, we need to take calculated risks - no risk, no gain."  
That's why the Group is taking its time to understand regulatory infrastructure and policies in the different markets before jumping in. "We've been spending time building knowledge in each country, and looking at whether we should work with strong local partners," Ang noted.  
Ultimately, it's about leveraging Q &amp; M Dental Group's already familiar brand. "Our success in China has attracted attention, and our name is known in the region. The next step is to for us become the top clinical dentistry brand in Asia Pacific," he added.  
And the outlook is bright, thanks to favourable healthcare dynamics.  
"In the 70s and 80s, people never cared much about their teeth - if it rots, pull it out; if you lose all your teeth, just get dentures. But as the population matures and wealth increases, consumers' expectations and healthcare standards change," Ang pointed out.  
There's now a growing realisation that teeth do more than just chew food - they also play important roles in speech, physical appearance and first impressions.  
"Societies are moving away from pull and replace to preventing decay and loss, as well as aesthetics, such as orthodontics and veneers. Overall demand for dental services will also rise as populations age," he added.  
With industry trends shifting more into specialist dental services, such as root canals, crowns and bridges, constant technological innovation is critical to keep abreast of the competition.  
Q &amp; M Dental is one of the pioneers of Computer-Aided Design/Computer-Aided Manufacturing (CAD/CAM) dentistry in Singapore, and the first worldwide to produce multi-layer zirconium blocks - used in teeth restoration - through its Chinese associate Aidite (Qinhuangdao) Technology.  
"We're moving into pioneer territory by developing AI-based diagnostics and treatments, which will raise the bar on treatment quality and planning in the region," he added.  
To achieve this, Q &amp; M Dental AI was set up in November 2018. The first prototype of the artificial intelligence (AI) software is expected to be rolled out in the final quarter of this year.  The Next Generation  
Apart from tech, grooming and retaining talent looms large in Ang's mind.  
"What keeps me awake at night - apart from too many cups of coffee - is the issue of leadership renewal," he said. "Although Chin Siau and I are in our 50s, and we still have some way to go, we need to focus on the next generation of leaders at Q &amp; M."  
"The key is to tackle this not when current management is on its way out, but when we - and the organisation - are on our way up. With the latter, our employees will be able to grow together with us, understand the culture better, and plan for the long term more effectively," he added.  
The Group set up its Q &amp; M College of Dentistry subsidiary in end-2018, and is planning to offer a post-graduate dental diploma programme, training new dentists in implant dentistry, root canal treatment, prosthodontics and other surgical procedures. It also offers sponsorships and bursaries for aspiring dental graduates, as well as job attachments to the Group's specialists and senior dentists in the region.  
When the jovial 50-year-old is not caught up in board or investor meetings, he is treating patients in his Bukit Panjang and City Square Mall clinics. "I make it a point to see patients twice a week - that's my down time and I really enjoy it," Ang grinned.  
"Dentistry is a science, where one plus one equals two. Running a listed company is not - the results are not 100% predictable. You can do everything right, and things can still turn out wrong!" he added with a guffaw.  
At the end of the day, Ang's passion is his patients. That also forms the backbone of the Quan Ming (全民) brand, which means "for the people" in Mandarin.   
"I always tell my dentists - I am not your boss, your patients are your boss, and they're paying your salaries. It's your job to impress them and keep them happy," he noted.  
"Ultimately, the patient must come first - that has always been our priority and the Group's focus."



Q &amp; M Dental Group (Singapore) Ltd

Q &amp; M Dental Group is a leading private dental healthcare group in Asia, established in 1996. The Group operates 74 dental outlets and four medical clinics in Singapore, 27 dental clinics in Malaysia, as well as three dental supplies and equipment distribution companies across Singapore, Malaysia and China. Underpinned by over 230 experienced dentists and close to 400 supporting staff, the Group owns the largest network of private dental outlets in Singapore, with an outreach of more than 600,000 patients.  
The company website is: www.qandm.com.sg.  
Click here for the company's StockFacts page.  
For the three months ended 30 June 2019 financial results, click here.  
To read the previously published SGX kopi-C profile of Aoxin Q &amp; M Dental, click here.

About kopi-C: the Company brew

Text: Jennifer LH Tan Photo: Company file  kopi-C is a regular column on the SGX Research website that features C-level executives of leading companies listed on Singapore Exchange. These interviews are profiles of senior management aimed at helping investors better understand the individuals who run these corporations.  
For previous editions of kopi-C: the Company brew, please click here.    
For more information, or if you would like your senior executives to be featured on SGX Market Dialogues, please send suggestions to jennifer.tan@sgx.com.



Q & M Dental Embarks on Asian Brand-Building Journey

Singapore

Q & M Dental Group (Singapore) Limited operates dental clinics. The Company offers aesthetic, children's and general dentistry; fits crowns, dentures and braces; and offers bleeding gum treatment, gum surgery and oral surgery; and treats snoring and teeth grinding.

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