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

<!DOCTYPE html PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN" "http://www.w3.org/TR/REC-html40/loose.dtd">
<html><body>
<ul>
<li>
In July, Consumer Staples was the top net buy sector on SGX, drawing total institutional inflows of S$26.9 million. Among the top institutional net buy stocks that month, Wilmar ranked second with inflows of S$27.9 million. 
	 </li>
	<li>
In 7M2019, Consumer Staples garnered total institutional inflows of S$160.4 million. Over this period, the segment generated a total return of +20.0%, double the benchmark STI’s total return of +10.3%. 
	 </li>
	<li>The three largest and best-performing Consumer Staples stocks in 7M2019 were: ThaiBev (+40.0%), Wilmar (+30.4%) and Golden Agri (+22.8%), which generated an average total return of +31.1%.</li>
</ul>
SGX lists more than 140 consumer stocks with a combined market capitalisation of over S$100 billion. Among these, more than 100 belong to the consumer discretionary sector, while the remainder are classified under the consumer staples segment.

Consumer Staples stocks are typically regarded as defensive in nature, as the businesses of food manufacturing and the processing of agricultural products tend to be less impacted by economic cycles and overall demand is more inelastic.

Consumer Staples was the top net buy sector in the month of July, drawing total institutional inflows of S$26.9 million. Among the top institutional net buy stocks, Wilmar International ranked second with inflows of S$27.9 million, after its China subsidiary received regulatory approval to list on the Shenzhen Stock Exchange later this year.

Between January and July 2019, Consumer Staples garnered total institutional inflows of S$160.4 million. Over the first seven months of the year, the segment generated a total return of +20.0%, double the benchmark Straits Times Index’s (STI) total return of +10.3%.
<figure>
 <img src="https://api2.sgx.com/sites/default/files/2019-08/Institutional%20Flows%20for%20Consumer%20Staples.png" alt="Institutional Inflows for Consumer Staples Sector">
 </figure>
 <div class="content-caption">Institutional Inflows for Consumer Staples Sector</div>
Source: SGX data

The 10 largest capitalised Consumer Staples stocks on SGX have a combined market cap of about S$80 billion, and are well-diversified – both in terms of product range as well as geographical spread. The majority of these players report more than half their revenues to the Asia Pacific and/or global markets, excluding Singapore.

In 7M2019, these 10 largest Consumer Staples plays averaged a total return of +8.6%, bringing their one-year and three-year total returns to -0.3% and +8.6% respectively. They also average a 12-month dividend indicated yield of 3.0%.

The three largest best performers among the 10 were: Thai Beverage (+40.0%), Wilmar International (+30.4%) and Golden Agri-Resources (+22.8%). Over 7M2019, they averaged a total return of +31.1%, bringing their one-year and three-year total returns to +17.1% and +5.0% respectively.

The table below details the 10 largest Consumer Staples stocks on SGX, sorted by 7M2019 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>
			P/E (x)
			</td>
			<td>
			Div Ind Yld (%)
			</td>
		</tr>
<tr>
<td>
			THAI BEVERAGE
			</td>
			<td>
			Y92
			</td>
			<td>
			20,970
			</td>
			<td>
			40.0
			</td>
			<td>
			12.3
			</td>
			<td>
			-11.9
			</td>
			<td>
			20.6
			</td>
			<td>
			2.0
			</td>
		</tr>
<tr>
<td>
			WILMAR INTL
			</td>
			<td>
			F34
			</td>
			<td>
			25,206
			</td>
			<td>
			30.4
			</td>
			<td>
			31.4
			</td>
			<td>
			40.1
			</td>
			<td>
			15.0
			</td>
			<td>
			2.6
			</td>
		</tr>
<tr>
<td>
			GOLDEN AGRI-RESOURCES
			</td>
			<td>
			E5H
			</td>
			<td>
			3,820
			</td>
			<td>
			22.8
			</td>
			<td>
			7.5
			</td>
			<td>
			-13.1
			</td>
			<td>
			NM*
			</td>
			<td>
			1.9
			</td>
		</tr>
<tr>
<td>
			OLAM INTL
			</td>
			<td>
			O32
			</td>
			<td>
			6,277
			</td>
			<td>
			20.0
			</td>
			<td>
			-9.7
			</td>
			<td>
			12.5
			</td>
			<td>
			20.9
			</td>
			<td>
			3.8
			</td>
		</tr>
<tr>
<td>
			SHENG SIONG GROUP
			</td>
			<td>
			OV8
			</td>
			<td>
			1,759
			</td>
			<td>
			11.3
			</td>
			<td>
			12.0
			</td>
			<td>
			30.6
			</td>
			<td>
			24.1
			</td>
			<td>
			2.9
			</td>
		</tr>
<tr>
<td>
			FRASER &amp; NEAVE
			</td>
			<td>
			F&amp;N
			</td>
			<td>
			4,159
			</td>
			<td>
			5.6
			</td>
			<td>
			-7.2
			</td>
			<td>
			43.0
			</td>
			<td>
			15.6
			</td>
			<td>
			2.6
			</td>
		</tr>
<tr>
<td>
			FIRST RESOURCES
			</td>
			<td>
			EB5
			</td>
			<td>
			2,376
			</td>
			<td>
			2.4
			</td>
			<td>
			-1.3
			</td>
			<td>
			4.1
			</td>
			<td>
			16.5
			</td>
			<td>
			2.1
			</td>
		</tr>
<tr>
<td>
			BUMITAMA AGRI
			</td>
			<td>
			P8Z
			</td>
			<td>
			999
			</td>
			<td>
			-3.7
			</td>
			<td>
			-13.2
			</td>
			<td>
			-8.5
			</td>
			<td>
			10.7
			</td>
			<td>
			4.7
			</td>
		</tr>
<tr>
<td>
			DAIRY FARM INTL
			</td>
			<td>
			D01
			</td>
			<td>
			13,110
			</td>
			<td>
			-15.1
			</td>
			<td>
			-5.1
			</td>
			<td>
			23.8
			</td>
			<td>
			NM*
			</td>
			<td>
			3.0
			</td>
		</tr>
<tr>
<td>
			JAPFA LTD
			</td>
			<td>
			UD2
			</td>
			<td>
			913
			</td>
			<td>
			-28.0
			</td>
			<td>
			-29.5
			</td>
			<td>
			-34.2
			</td>
			<td>
			7.1
			</td>
			<td>
			4.1
			</td>
		</tr>
<tr>
<td>
			Average
			</td>
			<td>
			 
			</td>
			<td>
			 
			</td>
			<td>
			8.6
			</td>
			<td>
			-0.3
			</td>
			<td>
			8.6
			</td>
			<td>
			 
			</td>
			<td>
			 
			</td>
		</tr>
</tbody></table>
Source: Bloomberg &amp; StockFacts (data as of 31 July 2019) *NM: Not Meaningful
</body></html>





In July, Consumer Staples was the top net buy sector on SGX, drawing total institutional inflows of S$26.9 million. Among the top institutional net buy stocks that month, Wilmar ranked second with inflows of S$27.9 million. 
	 
	
In 7M2019, Consumer Staples garnered total institutional inflows of S$160.4 million. Over this period, the segment generated a total return of +20.0%, double the benchmark STI’s total return of +10.3%.  
	 
	The three largest and best-performing Consumer Staples stocks in 7M2019 were: ThaiBev (+40.0%), Wilmar (+30.4%) and Golden Agri (+22.8%), which generated an average total return of +31.1%.

SGX lists more than 140 consumer stocks with a combined market capitalisation of over S$100 billion. Among these, more than 100 belong to the consumer discretionary sector, while the remainder are classified under the consumer staples segment.

Consumer Staples stocks are typically regarded as defensive in nature, as the businesses of food manufacturing and the processing of agricultural products tend to be less impacted by economic cycles and overall demand is more inelastic.

Consumer Staples was the top net buy sector in the month of July, drawing total institutional inflows of S$26.9 million. Among the top institutional net buy stocks, Wilmar International ranked second with inflows of S$27.9 million, after its China subsidiary received regulatory approval to list on the Shenzhen Stock Exchange later this year.

Between January and July 2019, Consumer Staples garnered total institutional inflows of S$160.4 million. Over the first seven months of the year, the segment generated a total return of +20.0%, double the benchmark Straits Times Index’s (STI) total return of +10.3%.

      
    
    Institutional Inflows for Consumer Staples Sector
Source: SGX data

The 10 largest capitalised Consumer Staples stocks on SGX have a combined market cap of about S$80 billion, and are well-diversified – both in terms of product range as well as geographical spread. The majority of these players report more than half their revenues to the Asia Pacific and/or global markets, excluding Singapore.

In 7M2019, these 10 largest Consumer Staples plays averaged a total return of +8.6%, bringing their one-year and three-year total returns to -0.3% and +8.6% respectively. They also average a 12-month dividend indicated yield of 3.0%.

The three largest best performers among the 10 were: Thai Beverage (+40.0%), Wilmar International (+30.4%) and Golden Agri-Resources (+22.8%). Over 7M2019, they averaged a total return of +31.1%, bringing their one-year and three-year total returns to +17.1% and +5.0% respectively.

The table below details the 10 largest Consumer Staples stocks on SGX, sorted by 7M2019 total returns.




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


			THAI BEVERAGE
			
			
			Y92
			
			
			20,970
			
			
			40.0
			
			
			12.3
			
			
			-11.9
			
			
			20.6
			
			
			2.0
			
		


			WILMAR INTL
			
			
			F34
			
			
			25,206
			
			
			30.4
			
			
			31.4
			
			
			40.1
			
			
			15.0
			
			
			2.6
			
		


			GOLDEN AGRI-RESOURCES
			
			
			E5H
			
			
			3,820
			
			
			22.8
			
			
			7.5
			
			
			-13.1
			
			
			NM*
			
			
			1.9
			
		


			OLAM INTL
			
			
			O32
			
			
			6,277
			
			
			20.0
			
			
			-9.7
			
			
			12.5
			
			
			20.9
			
			
			3.8
			
		


			SHENG SIONG GROUP
			
			
			OV8
			
			
			1,759
			
			
			11.3
			
			
			12.0
			
			
			30.6
			
			
			24.1
			
			
			2.9
			
		


			FRASER &amp; NEAVE
			
			
			F&amp;N
			
			
			4,159
			
			
			5.6
			
			
			-7.2
			
			
			43.0
			
			
			15.6
			
			
			2.6
			
		


			FIRST RESOURCES
			
			
			EB5
			
			
			2,376
			
			
			2.4
			
			
			-1.3
			
			
			4.1
			
			
			16.5
			
			
			2.1
			
		


			BUMITAMA AGRI
			
			
			P8Z
			
			
			999
			
			
			-3.7
			
			
			-13.2
			
			
			-8.5
			
			
			10.7
			
			
			4.7
			
		


			DAIRY FARM INTL
			
			
			D01
			
			
			13,110
			
			
			-15.1
			
			
			-5.1
			
			
			23.8
			
			
			NM*
			
			
			3.0
			
		


			JAPFA LTD
			
			
			UD2
			
			
			913
			
			
			-28.0
			
			
			-29.5
			
			
			-34.2
			
			
			7.1
			
			
			4.1
			
		


			Average
			
			
			 
			
			
			 
			
			
			8.6
			
			
			-0.3
			
			
			8.6
			
			
			 
			
			
			 
			
		

Source: Bloomberg &amp; StockFacts (data as of 31 July 2019) *NM: Not Meaningful



Three Largest, Best-Performing Consumer Plays Returned 31% in 7M19

Golden Agri Resources

Three Largest, Best-Performing Consumer Plays Returned 31% in 7M19