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





During 2020, trusts that represent the S-REIT Sector raised S$3.0 billion in placements, while five trusts raised S$1.5 billion in rights issues. Ascendas REIT conducted the largest placement, with S$800 million raised, while Frasers Centrepoint Trust conducted the biggest rights issue with S$760 million raised. 
	 
	
At the end of 2020, the combined market capitalisation of the S-REIT Sector stood at S$107 billion, which like the end of 2019, represented 12% of the combined value of all Singapore-listed stocks, with the S-REIT Sector doubling its impact in the day-to-day turnover of Singapore-listed stocks.  
	 
	The S-REIT Sector was recipient of S$1.2 billion in net retail inflows in the 2020 year, after retail investors were net sellers of REITs over the first two months of the year. The three SGX-listed REITs ETFs that offer investors diversification into Singapore and regional REITs markets also saw net inflows of S$105 million.

 

On the first trading day of 2021, CapitaLand Retail China Trust announced the completion of the proposed acquisition of the company which holds the Ascendas Xinsu portfolio (click here for more). Acquisitions and secondary fundraisings within the S-REIT Sector continued in 2020. During 2020, nine of the 43 trusts that represent the S-REIT Sector raised funds through the placement of shares, which totaled S$3.0 billion, while five trusts raised S$1.5 billion in rights issues.



      
    
    Funds Raised by S-REIT Sector Placements  in 2020 (S$)


Healthy balance sheets combined with extraordinarily low interest rates also saw a number of acquisitions that were not funded in the secondary market. Asides from CapitaLand Retail China Trust, in the final quarter of 2020, acquisitions were either announced or completed by Keppel REIT (click here and here), Cromwell European REIT (click here and here), Ascendas REIT (click here and here), Mapletree Logistics Trust (click here , here and here), ParkwayLife REIT (click here), Suntec REIT (click here) , Frasers Logistics and Commercial Trust (click here), Frasers Centrepoint Trust (click here), ARA Logos Logisitics Trust (click here), Elite Commercial REIT (click here), AIMS APAC REIT (click here) and Lendlease Global Commercial REIT (click here).  REITs Maintained Relative Market Value and Comparative Turnover in 2020  
By the end of 2020, the combined market capitalisation of the S-REIT Sector stood at S$107 billion, which like the end of 2019, represented 12% of the combined value of all stocks listed for trading on Singapore Exchange. The S-REIT Sector has grown at a an 11% Compund Annual Growth rate over the past 10 years.  
Throughout the year the S-REIT Sector averaged day-to-day turnover of more than S$300 million, 24% of the combined day-to-day turnover of all stocks listed on the exchange, excluding security products such as ETFs. The three SGX-listed REITs ETFs that offer investors diversification into Singapore and regional REITs markets posted full year net inflow of S$105 million, recording a combined AUM of S$464 million in 2020. The Nikko AM-Straits Trading Asia ex Japan REIT ETF and Lion-Phillip S-REIT ETF were also among the top 5 most traded Singapore-listed ETFs in 2020 (click here for more).  The S-REIT Sector was recipient to S$1.2 billion in net retail inflows in 2020, with net institutional outflows of S$340 million. Retail investors turned to net buyers of the S-REIT Sector after February 2020, following net retail outflows of S$72 million in the first two months of 2020.  
The five S-REITs with the highest net retail inflows for the entire 2020 year CapitaLand Integrated Commercial Trust, CapitaLand Retail China Trust, Ascendas REIT, Suntec REIT and Lendlease REIT. With a combined S$579 million of net retail inflows over the year, these five REITs averaged an 8.5% decline in total return over the 2020 year. Ascendas REIT generated a gain of 12.6% in the first three quarters of 2020 with S$89 million of retail outflow. The final quarter of 2020, saw Ascendas REIT decline 6.2% with net retail inflows of S$166 million.  
For much of the year, Keppel DC REIT, Frasers Logisitics &amp; Commercial Trust, ParkwayLife REIT, Mapletree Logistic Trust and Mapletree Industrial Trust led the S-REIT Sector returns, with the five ending 2020 as the Sector’s best performers, averaging 23.5% total returns.  
Meanwhile, First REIT, Lippo Malls Indonesia Retail Trust, ARA US Hospitality Trust, OUE Commercial REIT and Starhill Global REIT led the decliners, averaging 49.3% declines. The table below is sort by market value and details net retail inflows and performances in 2020. The table, below details performances, with financials and valuation as of the end of 2020.  For more information, click here.




			Trust
			
			
			SGX Code
			
			
			Market Cap S$M
			
			
			2020 Net Retail Flow S$M
			
			
			Div. Yield  %
			
			
			Debt to Assets  %
			
			
			P/B (x) 
			
			
			3Q20 Total Return %
			
			
			2020 Total Return %
			
			
			2021 YTD Total Return %
			
		


			CapLand Int Com Trust
			
			
			C38U
			
			
			14,624
			
			
			244
			
			
			5
			
			
			40
			
			
			1.1
			
			
			14
			
			
			-8
			
			
			5
			
		


			Ascendas REIT
			
			
			A17U
			
			
			12,672
			
			
			78
			
			
			5
			
			
			35
			
			
			1.4
			
			
			-6
			
			
			6
			
			
			2
			
		


			Mapletree Log Tr
			
			
			M44U
			
			
			8,389
			
			
			-6
			
			
			4
			
			
			40
			
			
			1.7
			
			
			0
			
			
			20
			
			
			1
			
		


			Mapletree Com Tr
			
			
			N2IU
			
			
			7,161
			
			
			15
			
			
			4
			
			
			34
			
			
			1.2
			
			
			12
			
			
			-8
			
			
			1
			
		


			Mapletree Ind Tr
			
			
			ME8U
			
			
			6,723
			
			
			61
			
			
			4
			
			
			38
			
			
			1.7
			
			
			-9
			
			
			16
			
			
			-1
			
		


			Frasers Log &amp; Com Tr
			
			
			BUOU
			
			
			5,068
			
			
			-53
			
			
			5
			
			
			37
			
			
			1.3
			
			
			4
			
			
			21
			
			
			5
			
		


			Keppel DC REIT
			
			
			AJBU
			
			
			4,507
			
			
			28
			
			
			3
			
			
			35
			
			
			2.4
			
			
			-3
			
			
			38
			
			
			-2
			
		


			Frasers Cpt Tr
			
			
			J69U
			
			
			4,364
			
			
			47
			
			
			4
			
			
			36
			
			
			1.1
			
			
			5
			
			
			-9
			
			
			4
			
		


			Suntec REIT
			
			
			T82U
			
			
			4,238
			
			
			70
			
			
			5
			
			
			42
			
			
			0.7
			
			
			4
			
			
			-15
			
			
			1
			
		


			Keppel REIT
			
			
			K71U
			
			
			3,851
			
			
			-8
			
			
			4
			
			
			35
			
			
			0.8
			
			
			5
			
			
			-6
			
			
			1
			
		


			Ascott Residence Trust*
			
			
			HMN
			
			
			3,357
			
			
			32
			
			
			5
			
			
			35
			
			
			1.0
			
			
			21
			
			
			-15
			
			
			0
			
		


			Mapletree NAC Tr
			
			
			RW0U
			
			
			3,314
			
			
			59
			
			
			8
			
			
			40
			
			
			0.7
			
			
			7
			
			
			-11
			
			
			-1
			
		


			ParkwayLife REIT
			
			
			C2PU
			
			
			2,408
			
			
			8
			
			
			3
			
			
			39
			
			
			2.0
			
			
			-6
			
			
			21
			
			
			3
			
		


			SPH REIT
			
			
			SK6U
			
			
			2,345
			
			
			12
			
			
			3
			
			
			31
			
			
			0.8
			
			
			-4
			
			
			-20
			
			
			0
			
		


			CapitaLand Retail China Tr
			
			
			AU8U
			
			
			2,172
			
			
			122
			
			
			5
			
			
			35
			
			
			0.9
			
			
			28
			
			
			-7
			
			
			3
			
		


			OUE Com REIT
			
			
			TS0U
			
			
			2,060
			
			
			27
			
			
			5
			
			
			40
			
			
			0.6
			
			
			8
			
			
			-29
			
			
			-1
			
		


			Cromwell REIT EUR
			
			
			CNNU
			
			
			2,003
			
			
			19
			
			
			8
			
			
			36
			
			
			0.9
			
			
			0
			
			
			3
			
			
			1
			
		


			Ascendas-iTrust**
			
			
			CY6U
			
			
			1,677
			
			
			13
			
			
			7
			
			
			30
			
			
			1.2
			
			
			1
			
			
			-8
			
			
			7
			
		


			Manulife REIT USD
			
			
			BTOU
			
			
			1,549
			
			
			27
			
			
			8
			
			
			40
			
			
			1.0
			
			
			-3
			
			
			-23
			
			
			0
			
		


			CDL H Trust*
			
			
			J85
			
			
			1,539
			
			
			31
			
			
			5
			
			
			37
			
			
			0.8
			
			
			21
			
			
			-18
			
			
			-1
			
		


			ESR-REIT
			
			
			J91U
			
			
			1,395
			
			
			11
			
			
			7
			
			
			42
			
			
			1.0
			
			
			5
			
			
			-20
			
			
			-1
			
		


			Far East H Trust*
			
			
			Q5T
			
			
			1,196
			
			
			8
			
			
			5
			
			
			40
			
			
			0.7
			
			
			13
			
			
			-13
			
			
			-2
			
		


			Starhill Global REIT
			
			
			P40U
			
			
			1,144
			
			
			46
			
			
			6
			
			
			39
			
			
			0.6
			
			
			15
			
			
			-28
			
			
			3
			
		


			Prime US REIT USD
			
			
			OXMU
			
			
			1,119
			
			
			23
			
			
			7
			
			
			33
			
			
			0.9
			
			
			-7
			
			
			-14
			
			
			2
			
		


			Sasseur REIT
			
			
			CRPU
			
			
			1,013
			
			
			36
			
			
			8
			
			
			28
			
			
			0.9
			
			
			9
			
			
			0
			
			
			2
			
		


			Frasers H Trust*
			
			
			ACV
			
			
			1,011
			
			
			8
			
			
			3
			
			
			38
			
			
			0.8
			
			
			25
			
			
			-24
			
			
			0
			
		


			Lendlease REIT
			
			
			JYEU
			
			
			936
			
			
			66
			
			
			4
			
			
			36
			
			
			0.9
			
			
			7
			
			
			-18
			
			
			9
			
		


			AIMS APAC REIT
			
			
			O5RU
			
			
			897
			
			
			20
			
			
			7
			
			
			34
			
			
			0.9
			
			
			6
			
			
			-6
			
			
			2
			
		


			KepPacOakREIT USD
			
			
			CMOU
			
			
			873
			
			
			14
			
			
			9
			
			
			38
			
			
			0.9
			
			
			-8
			
			
			-8
			
			
			2
			
		


			ARA LOGOS Log Tr
			
			
			K2LU
			
			
			791
			
			
			28
			
			
			9
			
			
			41
			
			
			1.0
			
			
			1
			
			
			-7
			
			
			10
			
		


			Soilbuild Biz REIT
			
			
			SV3U
			
			
			681
			
			
			5
			
			
			7
			
			
			37
			
			
			0.9
			
			
			10
			
			
			12
			
			
			0
			
		


			IREIT Global
			
			
			UD1U
			
			
			609
			
			
			3
			
			
			8
			
			
			39
			
			
			0.7
			
			
			6
			
			
			-5
			
			
			0
			
		


			Dasin Retail Tr**
			
			
			CEDU
			
			
			591
			
			
			1
			
			
			7
			
			
			39
			
			
			0.6
			
			
			-2
			
			
			-1
			
			
			-3
			
		


			EC World REIT
			
			
			BWCU
			
			
			580
			
			
			11
			
			
			8
			
			
			38
			
			
			0.8
			
			
			7
			
			
			4
			
			
			1
			
		


			United Hampshire REIT USD
			
			
			ODBU
			
			
			420
			
			
			9
			
			
			7
			
			
			36
			
			
			0.9
			
			
			14
			
			
			N/A
			
			
			-3
			
		


			Elite Com REIT GBP
			
			
			MXNU
			
			
			399
			
			
			-1
			
			
			7
			
			
			33
			
			
			1.1
			
			
			6
			
			
			N/A
			
			
			0
			
		


			ARA H Trust USD*
			
			
			XZL
			
			
			398
			
			
			3
			
			
			9
			
			
			43
			
			
			0.6
			
			
			42
			
			
			-48
			
			
			21
			
		


			Sabana REIT
			
			
			M1GU
			
			
			379
			
			
			2
			
			
			7
			
			
			33
			
			
			0.7
			
			
			-3
			
			
			-21
			
			
			1
			
		


			BHG Retail REIT
			
			
			BMGU
			
			
			278
			
			
			-15
			
			
			5
			
			
			36
			
			
			0.7
			
			
			0
			
			
			-16
			
			
			-1
			
		


			First REIT
			
			
			AW9U
			
			
			198
			
			
			40
			
			
			21
			
			
			35
			
			
			0.2
			
			
			-45
			
			
			-75
			
			
			4
			
		


			Lippo Malls Tr
			
			
			D5IU
			
			
			180
			
			
			15
			
			
			13
			
			
			43
			
			
			0.4
			
			
			-12
			
			
			-67
			
			
			-3
			
		


			Average
			
			
			 
			
			
			 
			
			
			 
			
			
			6
			
			
			37
			
			
			1.0
			
			
			5
			
			
			-10
			
			
			2
			
		


			Median
			
			
			 
			
			
			 
			
			
			 
			
			
			6
			
			
			37
			
			
			0.9
			
			
			5
			
			
			-8
			
			
			1
			
		

 Note * Stapled Trust, ** Business Trust. Source: SREITs &amp; Property Trust Chartbook, Refinitiv and Bloomberg (Data as of 12 January 2021)



Lippo Malls Indonesia Retail Trust (LMRT SP)

Frasers Logistics & Commercial Trust (FLT SP)

Lendlease Global Commercial REIT (LREIT SP)

S-REIT Sector Raises S$4.5 Billion in Secondary Fundraisings in 2020 