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

When she's not managing operations, assessing risk, or evaluating strategy and deals, Singtel Group Chief Corporate Officer Jeann Low finds strength in solitude.
"Being quiet allows me to recharge, which is why I usually run on the treadmill or take walks. It's a great way to de-clutter and clear the mind," said Low.
"Often, solutions to work issues emerge when I'm just running or walking, not actively seeking answers. I find I'm able to think more clearly, and can take the relevant course of action."
Having spent nearly two decades of her career in Southeast Asia's largest telecoms operator, Low, 55, is no stranger to the complexities of corporate dynamics.

When she's not managing operations, assessing risk, or evaluating strategy and deals, Singtel Group Chief Corporate Officer Jeann Low finds strength in solitude.
"Being quiet allows me to recharge, which is why I usually run on the treadmill or take walks. It's a great way to de-clutter and clear the mind," said Low.
"Often, solutions to work issues emerge when I'm just running or walking, not actively seeking answers. I find I'm able to think more clearly, and can take the relevant course of action."
Having spent nearly two decades of her career in Southeast Asia's largest telecoms operator, Low, 55, is no stranger to the complexities of corporate dynamics.

We ask the questions that need to be asked, Hong Bao Media Holdings Pte Ltd

Mark Laudi • Investor Central

We ask the questions that need to be asked

Hong Bao Media Holdings Pte Ltd

Four years into its transformation strategy, Singtel says it will take more time for its new ventures to contribute to profits.Its Group Digital Life unit, which includes advertising firm Amobee and OTT video joint venture HOOQ, generated S$454 mln in operating revenue. This was a 45.3% improvement on the previous year, but is still a fraction of the nearly S$17 bln in group revenue, which was down 2%.Trustwave, a Chicago-based business it bought last September, generated S$147 mln in operating revenue, but a S$27 mln net loss including amortisation of intangibles and acquisition finance costs. These details were provided on page 104 of the Annual Report.An earlier version of this report said Singtel had written off its Trustwave acquisition. This is incorrect. I am sorry for the error.

Four years into its transformation strategy, Singtel says it will take more time for its new ventures to contribute to profits.Its Group Digital Life unit, which includes advertising firm Amobee and OTT video joint venture HOOQ, generated S$454 mln in operating revenue. This was a 45.3% improvement on the previous year, but is still a fraction of the nearly S$17 bln in group revenue, which was down 2%.Trustwave, a Chicago-based business it bought last September, generated S$147 mln in operating revenue, but a S$27 mln net loss including amortisation of intangibles and acquisition finance costs. These details were provided on page 104 of the Annual Report.An earlier version of this report said Singtel had written off its Trustwave acquisition. This is incorrect. I am sorry for the error.

Singtel: Transformation Will Take More Time

Leading Independent Investment Research, Morningstar, Inc.

Morningstar

Leading Independent Investment Research

Morningstar, Inc.

Morningstar, Inc. is a leading provider of independent investment research in North America, Europe, Australia, and Asia. We offer an extensive line of products and services for individual investors, financial advisors, asset managers, and retirement plan providers and sponsors. 

Morningstar provides data on more than 500,000 investment offerings, including stocks, mutual funds, and similar vehicles, along with real-time global market data on more than 16 million equities, indexes, futures, options, commodities, and precious metals, in addition to foreign exchange and Treasury markets. Morningstar also offers investment management services through its investment advisory subsidiaries, with more than $180 billion in assets under advisement or management as of June 30, 2015. We have operations in 27 countries.

Download the Morningstar Fact Sheet : http://corporate.morningstar.com/US/documents/MarketingFactSheets/AboutMorningstarFactsheet.pdf

As a result of disappointing earnings year-to date, management lowered its 2016 guidance for net profit to “single-digit decline” from “stable performance.” We downgrade our near-term earnings forecasts by 4%-5%. The share price has risen by around 16% over the past month, presumably due to press reports that the likelihood of new entrants raising the required money to enter the market has reduced.We have always maintained the raising money for a fourth entrant into the mobile market would be difficult and have only contemplated a new entrant in or bear case scenario. The new entrants maintain they are on track to raise the funds but of course we would expect them to maintain that stance publicly even if they were struggling. The current dividend yield of 5% looks attractive, particularly as interest rates decline.Analyst: Dan Baker

As a result of disappointing earnings year-to date, management lowered its 2016 guidance for net profit to “single-digit decline” from “stable performance.” We downgrade our near-term earnings forecasts by 4%-5%. The share price has risen by around 16% over the past month, presumably due to press reports that the likelihood of new entrants raising the required money to enter the market has reduced.We have always maintained the raising money for a fourth entrant into the mobile market would be difficult and have only contemplated a new entrant in or bear case scenario. The new entrants maintain they are on track to raise the funds but of course we would expect them to maintain that stance publicly even if they were struggling. The current dividend yield of 5% looks attractive, particularly as interest rates decline.Analyst: Dan Baker

M1's Downgrades 2016 Guidance Due to Over-The-Top Messaging Service Erosion

Differentiated global TMT & Internet Research

New Street Research Insights

New Street Research

Research is provided by our team of experienced analysts. Our work is idea driven, based on independence of thought, sector expertise, and firmly focused on fundamentals and valuation of telecoms and internet names globally. New Street is headquartered in London with offices in New York, Singapore and Australia. 

New Street Research is an independent, partner-owned, research firm specialising in equity and debt research. Our equity research embraces the following sectors:

Pan European Telecom Services and Cable
US Telecoms, Cable, Satellite and Towers
Global Emerging Market Telecoms
Japan Telecoms
Asian Internet
Pan European Healthcare
US Healthcare
Japanese Healthcare

We also provide debt research on:
Pan European Telecom Services and Cable

We recently met telecom operators in India and came away with a relatively optimistic outlook. Our top pick remains <a href="https://www.smartkarma.com/entities/953" target="_blank" data-smartkarma-citation="entities:953">Bharti Airtel </a>(Bharti) but we are positive on the overall industry as well, notwithstanding the looming threat of Reliance Jio's entry. Competition appears to be relatively benign with the major change recently being a refocusing of strategy from <a href="https://www.smartkarma.com/entities/15678" target="_blank" data-smartkarma-citation="entities:15678">Idea Cellular</a> (IDEA) from price and volume to more of a profit focus. Bharti appears to be the key beneficiary of the India market repair…

We recently met telecom operators in India and came away with a relatively optimistic outlook. Our top pick remains Bharti Airtel (Bharti) but we are positive on the overall industry as well, notwithstanding the looming threat of Reliance Jio's entry. Competition appears to be relatively benign with the major change recently being a refocusing of strategy from Idea Cellular (IDEA) from price and volume to more of a profit focus. Bharti appears to be the key beneficiary of the India market repair…

Indian Telcos: Optimistic Outlook as IDEA Reduces Price Competition

<a href="https://www.smartkarma.com/entities/20" target="_blank" data-smartkarma-citation="entities:20">Singapore Telecommunications Limited</a> (Singtel) held an investor day this week to detail their key areas of progress. It was mostly reasonably upbeat with the exception of Thailand (we have commented on the outlook there previously in <a href="https://www.smartkarma.com/insights/thai-telcos-true-s-gains-are-ais-dtacs-loss" target="_blank" data-smartkarma-citation="insights:3902">Thai Telcos: TRUE’s Gains Are AIS/DTACs’ Loss</a>.  We like Singtel for its international assets and strong domestic position.Singtel trades at a modest discount to NAV but the upside in India is key to our positive view on the stock<figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/008/871/original/SK%20HoldCos%20-%20Singapore%20Telecommunications%20Limited%20%282016-06-03%29.png?1464934982" class="editor-image img-responsive" data-smartkarma-image-id="8871"></figure> Shares have recovered from some of…

Singapore Telecommunications Limited (Singtel) held an investor day this week to detail their key areas of progress. It was mostly reasonably upbeat with the exception of Thailand (we have commented on the outlook there previously in Thai Telcos: TRUE’s Gains Are AIS/DTACs’ Loss.  We like Singtel for its international assets and strong domestic position.Singtel trades at a modest discount to NAV but the upside in India is key to our positive view on the stock Shares have recovered from some of…

Singapore

Singapore Telecommunications Limited wireless telecommunication services. The Company offers diverse range of services including fixed, mobile, data, internet, TV,  and digital solutions. Singapore Telecommunications serves customers worldwide.

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Singtel (ST SP)

Singtel Remodels for Digital Future

When she's not managing operations, assessing risk, or evaluating strategy and deals, Singtel Group Chief Corporate Officer Jeann Low finds...

Singapore Exchange Ltd (SGX)

Singtel: Transformation Will Take More Time

Four years into its transformation strategy, Singtel says it will take more time for its new ventures to contribute to profits.Its Group Digital...

Mark Laudi • Investor Central

M1's Downgrades 2016 Guidance Due to Over-The-Top Messaging Service Erosion

As a result of disappointing earnings year-to date, management lowered its 2016 guidance for net profit to “single-digit decline” from “stable...

Morningstar, Inc.

Indian Telcos: Optimistic Outlook as IDEA Reduces Price Competition

We recently met telecom operators in India and came away with a relatively optimistic outlook. Our top pick remains Bharti Airtel (Bharti) but we...

New Street Research

Singtel's Mostly Positive Investor Day

Singapore Telecommunications Limited (Singtel) held an investor day this week to detail their key areas of progress. It was mostly reasonably...

New Street Research

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