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.

Asia’s leading multi-asset exchange

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

Geoff Howie

SGX Market Strategist, Equity & Fixed Income

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The FTSE ST China Index consists of stocks of the FTSE ST All-Share Index that have reported either at least 50% of their revenues from Mainland China, or reported at least 50% of their operating assets are located in Mainland China. 
	 </li>
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China’s economy has slowed in the wake of the ongoing Sino-US trade dispute, with both industrial output and retail sales growth declining sharply in April. The country’s manufacturing activity also contracted more than expected in May, fuelling economists’ expectations that the government will have to roll out more stimulus measures to bolster growth. 
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	<li>In Jan-May 2019, the FTSE ST China Index’s five best-performing constituents were: Hi-P Intl (+36.1%), China Aviation Oil (+22.0%), Ying Li Intl (+19.8%), EC World REIT (+17.6%) and CapitaLand Retail China Trust (+14.0%). The five averaged a total return of +22% in the YTD.</li>
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The FTSE ST China Index consists of stocks of the FTSE ST All-Share Index that have reported either at least 50% of their revenues from Mainland China, or reported at least 50% of their operating assets are located in Mainland China. The 19 constituents of the Index have a combined market capitalisation of more than S$60 billion. The constituents with the five largest weights in the Index are: Hongkong Land (42.1%), Wilmar International (25.1%), Yangzijiang Shipbuilding (11.3%), Hutchison Port Holdings Trust (6.2%) and CapitaLand Retail China Trust (3.4%).

Over the last three years, the Index has generated a total return of 19.0%. This compares with total returns of 16.6% and 36.7% for the CSI 300 Index and FTSE China A50 Index respectively, and total returns of 1.2% and 43.3% for the Shanghai Composite Index and Hang Seng Index, over the same period.
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 <img src="https://api2.sgx.com/sites/default/files/2019-06/FTSE%20China%20Index%203Y%20Total%20Returns_0.JPG" alt="FTSE China Index 3Y Total Returns">
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 <div class="content-caption">FTSE China Index 3Y Total Returns</div>
Slower Growth, Uncertain Outlook

China’s economy has slowed in the wake of the ongoing Sino-US trade dispute, with both industrial output and retail sales growth declining sharply. In April, industrial output growth eased to 5.4% from 8.5% in March, while retail sales rose by 7.2%, well below the 8.7% increase in March, and the lowest in more than a decade.

The country’s manufacturing activity also contracted more than expected in May, with the official manufacturing Purchasing Managers’ Index (PMI) falling sharply to 49.4 from 50.1 in April. As a result, economists believe the government will have to roll out more stimulus measures as the world’s second-largest economy continues to grapple with the impact of bilateral trade tensions.

Best-Performing Index Constituents in Jan-May 2019

In the first five months of 2019, the FTSE ST China Index’s five best-performing constituents were: Hi-P International (+36.1%), China Aviation Oil (+22.0%), Ying Li International (+19.8%), EC World REIT (+17.6%) and CapitaLand Retail China Trust (+14.0%). The five averaged a total return of +21.9% in the YTD, bringing their one-year and there-year total returns to -0.3% and +61.4% respectively.

The table below details the 10 best-performing constituents of the FTSE ST China Index, sorted by Jan-May 2019 total returns.

<table class="table table-striped"><tbody>
<tr>
<td>
			Name
			</td>
			<td>
			SGX Code
			</td>
			<td>
			Market Cap (S$M)
			</td>
			<td>
			Total Return YTD (%)
			</td>
			<td>
			Total Return 1Y (%)
			</td>
			<td>
			Total Return 3Y (%)
			</td>
			<td>
			T12M Div Ind Yld (%)
			</td>
		</tr>
<tr>
<td>
			HI-P INTL
			</td>
			<td>
			H17
			</td>
			<td>
			949
			</td>
			<td>
			36.1
			</td>
			<td>
			-12.9
			</td>
			<td>
			254.2
			</td>
			<td>
			4.3
			</td>
		</tr>
<tr>
<td>
			CHINA AVIATION OIL
			</td>
			<td>
			G92
			</td>
			<td>
			1,075
			</td>
			<td>
			22.0
			</td>
			<td>
			-20.7
			</td>
			<td>
			31.4
			</td>
			<td>
			3.6
			</td>
		</tr>
<tr>
<td>
			YING LI INTL
			</td>
			<td>
			5DM
			</td>
			<td>
			358
			</td>
			<td>
			19.8
			</td>
			<td>
			13.0
			</td>
			<td>
			-0.7
			</td>
			<td>
			NA
			</td>
		</tr>
<tr>
<td>
			EC WORLD REIT
			</td>
			<td>
			BWCU
			</td>
			<td>
			623
			</td>
			<td>
			17.6
			</td>
			<td>
			17.0
			</td>
			<td>
			NA
			</td>
			<td>
			8.1
			</td>
		</tr>
<tr>
<td>
			CAPITALAND RETAIL CHINA TRUST
			</td>
			<td>
			AU8U
			</td>
			<td>
			1,508
			</td>
			<td>
			14.0
			</td>
			<td>
			1.8
			</td>
			<td>
			22.2
			</td>
			<td>
			6.8
			</td>
		</tr>
<tr>
<td>
			YANGZIJIANG SHIPBUILDING
			</td>
			<td>
			BS6
			</td>
			<td>
			5,445
			</td>
			<td>
			13.4
			</td>
			<td>
			46.9
			</td>
			<td>
			66.8
			</td>
			<td>
			3.7
			</td>
		</tr>
<tr>
<td>
			SIIC ENVIRONMENT
			</td>
			<td>
			BHK
			</td>
			<td>
			769
			</td>
			<td>
			12.9
			</td>
			<td>
			-22.0
			</td>
			<td>
			-52.1
			</td>
			<td>
			6.8
			</td>
		</tr>
<tr>
<td>
			WILMAR INTL
			</td>
			<td>
			F34
			</td>
			<td>
			20,887
			</td>
			<td>
			7.5
			</td>
			<td>
			4.7
			</td>
			<td>
			7.5
			</td>
			<td>
			3.2
			</td>
		</tr>
<tr>
<td>
			HONGKONG LAND
			</td>
			<td>
			H78
			</td>
			<td>
			21,604
			</td>
			<td>
			6.7
			</td>
			<td>
			-5.0
			</td>
			<td>
			17.5
			</td>
			<td>
			3.3
			</td>
		</tr>
<tr>
<td>
			HONG LEONG ASIA
			</td>
			<td>
			H22
			</td>
			<td>
			393
			</td>
			<td>
			6.1
			</td>
			<td>
			-43.8
			</td>
			<td>
			-31.0
			</td>
			<td>
			NA
			</td>
		</tr>
<tr>
<td>
			Average
			</td>
			<td>
			 
			</td>
			<td>
			 
			</td>
			<td>
			15.6
			</td>
			<td>
			-2.1
			</td>
			<td>
			31.6
			</td>
			<td>
			4.0
			</td>
		</tr>
</tbody></table>
Source: Bloomberg &amp; StockFacts (data as of 31 May 2019)

Over the first five months of the year, the five least-performing constituents of the Index were: Valuetronics Ltd (-8.3%), Geo Energy Resources (-9.2%), Delong Holdings (-6.2%), CITIC Envirotech (-12.8%) and China Sunsine Chemical (-4.2%). The five averaged a total return of -8.2% over the period.
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The FTSE ST China Index consists of stocks of the FTSE ST All-Share Index that have reported either at least 50% of their revenues from Mainland China, or reported at least 50% of their operating assets are located in Mainland China. 
	 
	
China’s economy has slowed in the wake of the ongoing Sino-US trade dispute, with both industrial output and retail sales growth declining sharply in April. The country’s manufacturing activity also contracted more than expected in May, fuelling economists’ expectations that the government will have to roll out more stimulus measures to bolster growth. 
	 
	In Jan-May 2019, the FTSE ST China Index’s five best-performing constituents were: Hi-P Intl (+36.1%), China Aviation Oil (+22.0%), Ying Li Intl (+19.8%), EC World REIT (+17.6%) and CapitaLand Retail China Trust (+14.0%). The five averaged a total return of +22% in the YTD.

The FTSE ST China Index consists of stocks of the FTSE ST All-Share Index that have reported either at least 50% of their revenues from Mainland China, or reported at least 50% of their operating assets are located in Mainland China. The 19 constituents of the Index have a combined market capitalisation of more than S$60 billion. The constituents with the five largest weights in the Index are: Hongkong Land (42.1%), Wilmar International (25.1%), Yangzijiang Shipbuilding (11.3%), Hutchison Port Holdings Trust (6.2%) and CapitaLand Retail China Trust (3.4%).

Over the last three years, the Index has generated a total return of 19.0%. This compares with total returns of 16.6% and 36.7% for the CSI 300 Index and FTSE China A50 Index respectively, and total returns of 1.2% and 43.3% for the Shanghai Composite Index and Hang Seng Index, over the same period.

      
    
    FTSE China Index 3Y Total Returns
Slower Growth, Uncertain Outlook

China’s economy has slowed in the wake of the ongoing Sino-US trade dispute, with both industrial output and retail sales growth declining sharply. In April, industrial output growth eased to 5.4% from 8.5% in March, while retail sales rose by 7.2%, well below the 8.7% increase in March, and the lowest in more than a decade.

The country’s manufacturing activity also contracted more than expected in May, with the official manufacturing Purchasing Managers’ Index (PMI) falling sharply to 49.4 from 50.1 in April. As a result, economists believe the government will have to roll out more stimulus measures as the world’s second-largest economy continues to grapple with the impact of bilateral trade tensions.

Best-Performing Index Constituents in Jan-May 2019

In the first five months of 2019, the FTSE ST China Index’s five best-performing constituents were: Hi-P International (+36.1%), China Aviation Oil (+22.0%), Ying Li International (+19.8%), EC World REIT (+17.6%) and CapitaLand Retail China Trust (+14.0%). The five averaged a total return of +21.9% in the YTD, bringing their one-year and there-year total returns to -0.3% and +61.4% respectively.

The table below details the 10 best-performing constituents of the FTSE ST China Index, sorted by Jan-May 2019 total returns.




			Name
			
			
			SGX Code
			
			
			Market Cap (S$M)
			
			
			Total Return YTD (%)
			
			
			Total Return 1Y (%)
			
			
			Total Return 3Y (%)
			
			
			T12M Div Ind Yld (%)
			
		


			HI-P INTL
			
			
			H17
			
			
			949
			
			
			36.1
			
			
			-12.9
			
			
			254.2
			
			
			4.3
			
		


			CHINA AVIATION OIL
			
			
			G92
			
			
			1,075
			
			
			22.0
			
			
			-20.7
			
			
			31.4
			
			
			3.6
			
		


			YING LI INTL
			
			
			5DM
			
			
			358
			
			
			19.8
			
			
			13.0
			
			
			-0.7
			
			
			NA
			
		


			EC WORLD REIT
			
			
			BWCU
			
			
			623
			
			
			17.6
			
			
			17.0
			
			
			NA
			
			
			8.1
			
		


			CAPITALAND RETAIL CHINA TRUST
			
			
			AU8U
			
			
			1,508
			
			
			14.0
			
			
			1.8
			
			
			22.2
			
			
			6.8
			
		


			YANGZIJIANG SHIPBUILDING
			
			
			BS6
			
			
			5,445
			
			
			13.4
			
			
			46.9
			
			
			66.8
			
			
			3.7
			
		


			SIIC ENVIRONMENT
			
			
			BHK
			
			
			769
			
			
			12.9
			
			
			-22.0
			
			
			-52.1
			
			
			6.8
			
		


			WILMAR INTL
			
			
			F34
			
			
			20,887
			
			
			7.5
			
			
			4.7
			
			
			7.5
			
			
			3.2
			
		


			HONGKONG LAND
			
			
			H78
			
			
			21,604
			
			
			6.7
			
			
			-5.0
			
			
			17.5
			
			
			3.3
			
		


			HONG LEONG ASIA
			
			
			H22
			
			
			393
			
			
			6.1
			
			
			-43.8
			
			
			-31.0
			
			
			NA
			
		


			Average
			
			
			 
			
			
			 
			
			
			15.6
			
			
			-2.1
			
			
			31.6
			
			
			4.0
			
		

Source: Bloomberg &amp; StockFacts (data as of 31 May 2019)

Over the first five months of the year, the five least-performing constituents of the Index were: Valuetronics Ltd (-8.3%), Geo Energy Resources (-9.2%), Delong Holdings (-6.2%), CITIC Envirotech (-12.8%) and China Sunsine Chemical (-4.2%). The five averaged a total return of -8.2% over the period.



Ying Li International Real Estate Ltd (YINGLI SP)

China Aviation Oil Singapore Corp (CAO SP)

FTSE China Index’s Five Best Performers in YTD Returned 22% 

EC World Reit

FTSE China Index’s Five Best Performers in YTD Returned 22%