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

Equity Bottom-Up

Hutchison Port Holdings Trust / Equity Bottom-Up

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In recent weeks the Lion-OCBC Securities Hang Seng TECH ETF (“HS TECH ETF”) has ranked as the second most traded ETF listed on SGX, averaging daily trading ranges of 200 bps. The ETF has also been recipient to S$208 million in inflow, since debuting in December 2020.   
	 </li>
	<li>
The five biggest stocks of the FTSE ST China Index, YZJ Shipbldg, Wilmar Intl, HPH Trust USD, CapLand China Trust and Nanofilm, have also averaged daily trading ranges of 223 bps, ranging from 160 bps for CapLand China Trust to 335 bps for HPH Trust USD. 
	 </li>
	<li>Nanofilm has averaged 14.3 tick trading ranges over the past month, equivalent to 14.3 cents as stock is trading above S$1.00. Since listing on 30 October, the stock has rallied from an issue price of S$2.59 to an all-time high of S$6.49 formed on 21 July. </li>
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 Over the past one month has seen the Lion-OCBC Securities Hang Seng TECH ETF (“HS TECH ETF”) average 1.5x trading ranges of the Hang Seng Index, with the HS TECH ETF averaging daily amplitudes of 200 basis points (“bps”). This means on average, HS TECH ETF units valued at S$10,000 have on average been swinging by S$200 between the daily high and low. The HS TECH ETF also saw an average of 26 ticks between the daily high and low during the past month. Amplitude represents the difference between daily high and daily low price divided by the volume weighted average price of the stock, and used to gauge the tradability of a stock, with the higher amplitude reflecting greater potential for risk to return for active and intra-day traders. The amplitude of the HS Tech Index was double the average amplitude of both the four remaining ETFs that ranked as the five most traded ETFs over the month, in addition to the three other China-focused ETFs listed on SGX. 
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 <img src='https://api2.sgx.com/sites/default/files/2021-07/Capture_16.PNG' alt='2021 to 19 July Price Change in SGD' />
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 <div class='content-caption'>2021 to 19 July Price Change in SGD</div>
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While the HS Tech ETF generated a 9.2% price decline in SGD terms from the end of 2020 through to 19 July, the ETF has also been recipient to S$208 million in inflow since debuting in December 2020 through to 19 July, with inflows recorded for every month through to the end of June. For the month of July through to 19 July, the HS Tech ETF was recipient to S$33 million in inflows. The HS TECH ETF, with heavyweight stocks such as Tencent Holdings, Alibaba Group Holding, Meituan, JD.com Inc and Xiaomi Corp provides investors with a new China-focused market distinct from the existing China-focused stocks that comprise the FTSE ST China Index. Both the HS TECH Index and FTSE ST China Index maintain a less than 0.4 simple correlation over the past 5 years. Moreover with the recent propensity for swings in the Technology Sector, the price-ratio spread of the HS TECH Index to the FTSE ST China Index has moved from one standard deviation below the 3-month mean on 11 May, to two standard deviations above the 3 month mean on 29 June, before moving back to one standard deviation below the 3 month mean on 6 July. The five largest stocks of the FTSE ST China Index by market value, Yangzijiang Shipbuilding, Wilmar International, Hutchison Port Holdings Trust USD, CapitaLand China Trust and Nanofilm Technologies International, have also averaged daily trading ranges that have paralleled the HS TECH ETF over the past month. The five stocks have averaged daily trading ranges of 223 bps over the period, ranging from 160 bps for CapitaLand China Trust to 335 bps for Hutchison Port Holdings Trust USD. The FTSE ST China Index tracks the constituents of the FTSE ST All-Share Index, which have a majority of their sales from, or operating assets located in China. 
The tradability metrics of the five most traded ETFs and the five largest stocks of the FTSE ST China Index by market value are tabled below.

<table class="table table-striped"><tbody>
<tr>
<td>
			Most Traded ETFs &amp; Amplitude Over the Past Month
			</td>
			<td>
			Stock Code
			</td>
			<td>
			Average of Amplitude in Bps
			</td>
			<td>
			Average of Amplitude in Ticks
			</td>
		</tr>
<tr>
<td>
			Lion-OCBC Securities Hang Seng TECH ETF
			</td>
			<td>
			HST
			</td>
			<td>
			200
			</td>
			<td>
			26.3
			</td>
		</tr>
<tr>
<td>
			Nikko AM – Straits Trading Asia ex Japan REIT ETF
			</td>
			<td>
			CFA
			</td>
			<td>
			111
			</td>
			<td>
			12.7
			</td>
		</tr>
<tr>
<td>
			Nikko AM Singapore STI ETF
			</td>
			<td>
			G3B
			</td>
			<td>
			105
			</td>
			<td>
			3.3
			</td>
		</tr>
<tr>
<td>
			SPDR®  GOLD SHARES
			</td>
			<td>
			O87
			</td>
			<td>
			89
			</td>
			<td>
			148.4
			</td>
		</tr>
<tr>
<td>
			SPDR® Straits Times Index ETF
			</td>
			<td>
			ES3
			</td>
			<td>
			87
			</td>
			<td>
			27.7
			</td>
		</tr>
<tr>
<td>
			Average
			</td>
			<td>
			 
			</td>
			<td>
			118
			</td>
			<td>
			43.7
			</td>
		</tr>
</tbody></table>
 Source: SGX, Refinitiv, Bloomberg (Data as of 19 July 2021) 
 

<table class="table table-striped"><tbody>
<tr>
<td>
			Largest Stocks of the FTSE ST China Index &amp; Amplitude Over the Past Month
			</td>
			<td>
			Stock Code
			</td>
			<td>
			Average of Amplitude in Bps
			</td>
			<td>
			Average of Amplitude in Ticks
			</td>
		</tr>
<tr>
<td>
			YZJ Shipbldg SGD
			</td>
			<td>
			BS6
			</td>
			<td>
			204
			</td>
			<td>
			2.9
			</td>
		</tr>
<tr>
<td>
			Wilmar Intl
			</td>
			<td>
			F34
			</td>
			<td>
			162
			</td>
			<td>
			7.3
			</td>
		</tr>
<tr>
<td>
			HPH Trust USD
			</td>
			<td>
			NS8U
			</td>
			<td>
			335
			</td>
			<td>
			1.5
			</td>
		</tr>
<tr>
<td>
			CapLand China Trust
			</td>
			<td>
			AU8U
			</td>
			<td>
			160
			</td>
			<td>
			2.2
			</td>
		</tr>
<tr>
<td>
			Nanofilm
			</td>
			<td>
			MZH
			</td>
			<td>
			256
			</td>
			<td>
			14.3
			</td>
		</tr>
<tr>
<td>
			Average
			</td>
			<td>
			 
			</td>
			<td>
			223
			</td>
			<td>
			5.6
			</td>
		</tr>
</tbody></table>
 Source: SGX, Refinitiv, Bloomberg (Data as of 19 July 2021) 
As detailed in the table above, the past months has seen Nanofilm Technologies International has averaged 14.3 tick trading ranges, equivalent to 14.3 cents as stock is trading above S$1.00. Since listing on 30 October, the stock has rallied from an issue price of S$2.59 to an all-time high of S$6.49 formed on 21 July. For its FY20 (ended 31 Dec), Nanofilm Technologies International reported 77% of its external customer revenue to China, based on Group’s entities’ place of business.
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In recent weeks the Lion-OCBC Securities Hang Seng TECH ETF (“HS TECH ETF”) has ranked as the second most traded ETF listed on SGX, averaging daily trading ranges of 200 bps. The ETF has also been recipient to S$208 million in inflow, since debuting in December 2020.    
	 
	
The five biggest stocks of the FTSE ST China Index, YZJ Shipbldg, Wilmar Intl, HPH Trust USD, CapLand China Trust and Nanofilm, have also averaged daily trading ranges of 223 bps, ranging from 160 bps for CapLand China Trust to 335 bps for HPH Trust USD.  
	 
	Nanofilm has averaged 14.3 tick trading ranges over the past month, equivalent to 14.3 cents as stock is trading above S$1.00. Since listing on 30 October, the stock has rallied from an issue price of S$2.59 to an all-time high of S$6.49 formed on 21 July. 

 Over the past one month has seen the Lion-OCBC Securities Hang Seng TECH ETF (“HS TECH ETF”) average 1.5x trading ranges of the Hang Seng Index, with the HS TECH ETF averaging daily amplitudes of 200 basis points (“bps”). This means on average, HS TECH ETF units valued at S$10,000 have on average been swinging by S$200 between the daily high and low. The HS TECH ETF also saw an average of 26 ticks between the daily high and low during the past month. Amplitude represents the difference between daily high and daily low price divided by the volume weighted average price of the stock, and used to gauge the tradability of a stock, with the higher amplitude reflecting greater potential for risk to return for active and intra-day traders. The amplitude of the HS Tech Index was double the average amplitude of both the four remaining ETFs that ranked as the five most traded ETFs over the month, in addition to the three other China-focused ETFs listed on SGX. 



      
    
    2021 to 19 July Price Change in SGD


While the HS Tech ETF generated a 9.2% price decline in SGD terms from the end of 2020 through to 19 July, the ETF has also been recipient to S$208 million in inflow since debuting in December 2020 through to 19 July, with inflows recorded for every month through to the end of June. For the month of July through to 19 July, the HS Tech ETF was recipient to S$33 million in inflows.  The HS TECH ETF, with heavyweight stocks such as Tencent Holdings, Alibaba Group Holding, Meituan, JD.com Inc and Xiaomi Corp provides investors with a new China-focused market distinct from the existing China-focused stocks that comprise the FTSE ST China Index. Both the HS TECH Index and FTSE ST China Index maintain a less than 0.4 simple correlation over the past 5 years. Moreover with the recent propensity for swings in the Technology Sector, the price-ratio spread of the HS TECH Index to the FTSE ST China Index has moved from one standard deviation below the 3-month mean on 11 May, to two standard deviations above the 3 month mean on 29 June, before moving back to one standard deviation below the 3 month mean on 6 July.  The five largest stocks of the FTSE ST China Index by market value, Yangzijiang Shipbuilding, Wilmar International, Hutchison Port Holdings Trust USD, CapitaLand China Trust and Nanofilm Technologies International, have also averaged daily trading ranges that have paralleled the HS TECH ETF over the past month. The five stocks have averaged daily trading ranges of 223 bps over the period, ranging from 160 bps for CapitaLand China Trust to 335 bps for Hutchison Port Holdings Trust USD. The FTSE ST China Index tracks the constituents of the FTSE ST All-Share Index, which have a majority of their sales from, or operating assets located in China.   
The tradability metrics of the five most traded ETFs and the five largest stocks of the FTSE ST China Index by market value are tabled below.




			Most Traded ETFs &amp; Amplitude Over the Past Month
			
			
			Stock Code
			
			
			Average of Amplitude in Bps
			
			
			Average of Amplitude in Ticks
			
		


			Lion-OCBC Securities Hang Seng TECH ETF
			
			
			HST
			
			
			200
			
			
			26.3
			
		


			Nikko AM – Straits Trading Asia ex Japan REIT ETF
			
			
			CFA
			
			
			111
			
			
			12.7
			
		


			Nikko AM Singapore STI ETF
			
			
			G3B
			
			
			105
			
			
			3.3
			
		


			SPDR®  GOLD SHARES
			
			
			O87
			
			
			89
			
			
			148.4
			
		


			SPDR® Straits Times Index ETF
			
			
			ES3
			
			
			87
			
			
			27.7
			
		


			Average
			
			
			 
			
			
			118
			
			
			43.7
			
		

 Source: SGX, Refinitiv, Bloomberg (Data as of 19 July 2021) 
 




			Largest Stocks of the FTSE ST China Index &amp; Amplitude Over the Past Month
			
			
			Stock Code
			
			
			Average of Amplitude in Bps
			
			
			Average of Amplitude in Ticks
			
		


			YZJ Shipbldg SGD
			
			
			BS6
			
			
			204
			
			
			2.9
			
		


			Wilmar Intl
			
			
			F34
			
			
			162
			
			
			7.3
			
		


			HPH Trust USD
			
			
			NS8U
			
			
			335
			
			
			1.5
			
		


			CapLand China Trust
			
			
			AU8U
			
			
			160
			
			
			2.2
			
		


			Nanofilm
			
			
			MZH
			
			
			256
			
			
			14.3
			
		


			Average
			
			
			 
			
			
			223
			
			
			5.6
			
		

 Source: SGX, Refinitiv, Bloomberg (Data as of 19 July 2021)   
As detailed in the table above, the past months has seen Nanofilm Technologies International has averaged 14.3 tick trading ranges, equivalent to 14.3 cents as stock is trading above S$1.00. Since listing on 30 October, the stock has rallied from an issue price of S$2.59 to an all-time high of S$6.49 formed on 21 July. For its FY20 (ended 31 Dec), Nanofilm Technologies International reported 77% of its external customer revenue to China, based on Group’s entities’ place of business.



NikkoAM-StraitsTrading Asia Ex Japan REIT ETF (AXJREIT SP)

NikkoAM-StraitsTrading Asia Ex Japan REIT ETF

Recent Intraday Moves of the HS TECH ETF and FTSE ST China Heavyweights 