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Straits Times
4 days ago
- Business
- Straits Times
Singapore shares bounce back after 6-day losing streak; STI up 1%
Sign up now: Get ST's newsletters delivered to your inbox Across the broader market, advancers beat decliners 361 to 206, after 1.5 billion securities worth $1.5 billion changed hands. SINGAPORE - Stocks on the Singapore Exchange (SGX) rebounded on Aug 4, snapping a six-day losing streak, even as Asian indexes closed mixed. The local market had fallen for six straight sessions from July 25 to Aug 1, marking its longest losing streak since April 9. The Straits Times Index (STI) rose 1 per cent or 43.4 points to 4197.23. Across the broader market, advancers beat decliners 361 to 206, after 1.5 billion securities worth $1.5 billion changed hands. 'The broad bid tone was linked to a more accommodative Federal Reserve outlook, which had been increasingly discounted over the prior Asia week,' Mr Geoff Howie, market strategist at SGX, told The Business Times. He added that the iEdge S-Reit Index posted its strongest daily gain since April as softer US employment data and downward revisions to prior months flipped rate expectations. This pushed the odds of a Federal Reserve cut on Sept 17 to 80 per cent from under 40 per cent before the release. Market sentiment, however, is turning sour. Swissquote Bank senior analyst Ipek Ozkardeskaya noted that the three-month average for US job gains dropped to 35,000, which is below the 50,000 level often viewed as a recession signal. She added that higher rate cut expectations due to recession fears are good news for US President Donald Trump, but a weak economy was not part of his promise. Top stories Swipe. Select. Stay informed. Singapore Govt forms 5 new committees to look at longer-term economic strategies; report due in mid-2026 Singapore Ong Beng Seng to be sentenced on Aug 15, prosecution does not object to fine due to his poor health Singapore All recruits at BMTC will be trained to fly drones and counter them: Chan Chun Sing Singapore Pritam Singh had hoped WP would 'tip one or two more constituencies' at GE2025 Singapore Eu Yan Sang warns of counterfeits of its health supplements being sold online Singapore Electric car-sharing firm BlueSG to wind down current operations on Aug 8 Singapore Woman, 26, hit by car after dashing across street near Orchard Road Singapore Car passenger dies after accident involving bus in Yishun 'Cutting rates at the wrong moment won't magically rescue markets, and scapegoating the Bureau of Labour Statistics (BLS) for the outcome of his administration's chaotic policies risks damaging the credibility of US economic data.' she said. Mr Trump fired BLS commissioner Erika McEntarfer on Aug 1, accusing her of manipulating the weaker-than-expected employment growth numbers. Regional bourses ended mixed on Aug 4. South Korea's Kospi and Hong Kong's Hang Seng Index each rose 0.9 per cent, while Japan's Nikkei 225 fell 1.3 per cent and Malaysia's KLCI slipped 0.4 per cent. Back home, on the STI, Mapletree Pan Asia Commercial Trust was the top gainer. It rose 3.1 per cent or $0.04 to $1.32. Thai Beverage came in at the bottom of the table, shedding 1.1 per cent or $0.005 to $0.46.
Business Times
4 days ago
- Business
- Business Times
Singapore shares bounce back after 6-day losing streak; STI up 1%
[SINGAPORE] Stocks on the Singapore Exchange (SGX) rebounded on Monday (Aug 4), snapping a six-day losing streak, even as Asian indices closed mixed. The local market had fallen for six straight sessions from Jul 25 to Aug 1, marking its longest losing streak since Apr 9. The Straits Times Index (STI) rose 1 per cent or 43.4 points to 4197.23. Across the broader market, advancers beat decliners 361 to 206, after 1.5 billion securities worth S$1.5 billion changed hands. 'The broad bid tone was linked to a more accommodative Federal Reserve outlook, which had been increasingly discounted over the prior Asia week,' Geoff Howie, market strategist at SGX, told The Business Times. He added that the iEdge S-Reit Index posted its strongest daily gain since April as softer US employment data and downward revisions to prior months flipped rate expectations. This pushed the odds of a Federal Reserve cut on Sep 17 to 80 per cent from under 40 per cent before the release. Market sentiment, however, is turning sour. Ipek Ozkardeskaya, senior analyst at Swissquote Bank, noted that the three-month average for US job gains dropped to 35,000, which is below the 50,000 level often viewed as a recession signal. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up She added that higher rate cut expectations due to recession fears are good news for US President Donald Trump, but a weak economy was not part of his promise. 'Cutting rates at the wrong moment won't magically rescue markets, and scapegoating the Bureau of Labor Statistics (BLS) for the outcome of his administration's chaotic policies risks damaging the credibility of US economic data.' she said. Trump fired BLS commissioner Erika McEntarfer on Friday, accusing her of manipulating the weaker-than-expected employment growth numbers. Regional bourses ended mixed on Monday. South Korea's Kospi and Hong Kong's Hang Seng Index each rose 0.9 per cent, while Japan's Nikkei 225 fell 1.3 per cent and Malaysia's KLCI slipped 0.4 per cent. Back home, on the STI, Mapletree Pan Asia Commercial Trust was the top gainer. It rose 3.1 per cent or S$0.04 to S$1.32. Thai Beverage came in at the bottom of the table, shedding 1.1 per cent or S$0.005 to S$0.46. The trio of local banks closed in the black. DBS gained 0.6 per cent or S$0.29 to S$47.89, OCBC rose 0.7 per cent or S$0.11 to S$16.9, and UOB was up 0.8 per cent or S$0.30 to S$36.37.
Business Times
20-07-2025
- Business
- Business Times
Reit ETFs see 40% AUM growth in past year as S-Reits regain appeal
[SINGAPORE] Over the past 12 months, Singapore-listed real estate investment trust (Reit) exchange-traded funds (ETFs) have seen more than S$300 million in net new inflows, reflecting continued investor demand. The combined assets under management (AUM) of these ETFs have surged by 40 per cent over a year, reaching an all-time high of S$1.2 billion by the end of the first half of 2025. This growth in AUM has outpaced the Reit sector's price movements, as reflected by the iEdge S-Reit Index and FTSE EPRA Nareit Index which reported total returns of 10.5 per cent and 12.5 per cent respectively. Both retail and institutional investors have actively contributed to the growth of AUM for Reit ETFs in Singapore. On average, the five Reit ETFs have posted total returns of 10.7 per cent over the past year ended Jun 30, 2025. Trading activity for these Reit ETFs also surged by 34 per cent quarter on quarter for the April to June 2025 period. Among the top 10 traded ETFs listed in Singapore, the Lion-Phillip S-Reit ETF and the NikkoAM-StraitsTrading Asia ex Japan Reit ETF stood out, recording the highest net inflows. The Lion-Phillip S-Reit ETF, Singapore's first and largest ETF focusing on S-Reits, tracks the Morningstar Singapore Reit Yield Focus Index, which includes 21 constituents and boasts an AUM of more than S$540 million. As one of the two pure-play Singapore Reit ETFs, it offers a dividend yield of 5.8 per cent and achieved total returns of 4.1 per cent in the first half of 2025. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up The NikkoAM-StraitsTrading Asia ex Japan Reit ETF tracks the FTSE EPRA Nareit Asia ex Japan Net Total Return Reit Index, consisting of 43 constituents across Singapore, Malaysia, Hong Kong, India, South Korea, Thailand and the Philippines. Singapore remains the largest exposure at 68 per cent of the portfolio. Notably, this ETF distributes quarterly dividends, unlike the others which distribute semi-annually. It ranks as the second-largest Reit ETF by AUM, with over S$420 million, yielding 5.8 per cent in dividends and generating total returns of 6.0 per cent in the first half of 2025. In terms of returns, the UOB Asia-Pacific Green Reit ETF was the best-performing Reit ETF for the first half of 2025, returning 9.3 per cent in total returns. The underlying index, the iEdge-UOB Apac Yield Focus Green Reit Index, emphasises environmental factors such as energy consumption, water consumption, GHG emissions and green building certifications. The index has 50 Reits across Australia (42 per cent), Japan (32 per cent), Singapore (19 per cent), and Hong Kong (7 per cent). The UOB Apac Green Reit ETF presents an option for investors seeking sustainable investments while maintaining highly competitive dividend yields. The CSOP iEdge S-Reit Leaders ETF has the highest dividend yield among the five Reit ETFs at 6 per cent. It tracks the iEdge S-Reit Leaders Index, which comprises 22 S-Reits. Phillip Securities research analyst Helena Wang recently initiated coverage on the Phillip SGX Apac Dividend Leaders Reit ETF for its exposure to 31 Reits in the Asia-Pacific ex Japan region, and its consistent dividend growth. The report highlighted that since 2021, dividends have remained steady between four and six Singapore cents per share. The ETF's book value has also become more attractive, historically trading at 1.3 times the price-to-book ratio, and now at 0.8 times. The ETF tracks the iEdge Apac ex-Japan Dividend Leaders Reit Index, which selects Reits based on their dividend payout. SGX RESEARCH The writer is a research analyst at SGX. For more research and information on Singapore's Reit sector, visit for the S-Reits & Property Trusts Chartbook.
Business Times
06-07-2025
- Business
- Business Times
S-Reits with best debt profiles have an average gearing ratio of 33.5%
[singapore] Last month, the US Federal Reserve opted to maintain its benchmark interest rate, adopting a cautious stance despite speculation about a potential rate cut as early as July, with chair Jerome Powell stating that future decisions will be data-dependent. Market analysts now predict a 75-basis-point (bps) cut in 2025, up from the previously anticipated 50 bps. Singapore real estate investment trusts (S-Reits) have delivered a commendable performance, closing the first half of 2025 with a 4.2 per cent total return, as indicated by the iEdge S-Reit Index. Over the past 12 months, S-Reits have delivered a 10.5 per cent total return. Notably, the top 10 best-performing S-Reits have delivered double-digit returns in H1 2025. They include Frasers Hospitality Trust (21.5 per cent), CapitaLand Integrated Commercial Trust (14.3 per cent), Frasers Centrepoint Trust (11.4 per cent), CapitaLand Ascendas Reit (10.1 per cent) and Parkway Life Reit (10 per cent). The iEdge S-Reit Index concluded H1 2025 at 1,021 and touched 1,030 on Jul 3, a level which was previously tested three times – in November 2024, January 2025 and April 2025. The consensus estimate target price for the next 12 months is pegged at 1,159. From a balance-sheet standpoint, the S-Reit sector maintains an average gearing ratio of 40 per cent, reflecting prudent capital management; it is also well below the regulatory limit of 50 per cent. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up The 10 S-Reits with the lowest gearing ratios are Sasseur Reit , Aims Apac Reit , Keppel DC Reit , Far East Hospitality Trust , Frasers Hospitality Trust, Frasers Logistics & Commercial Trust , Parkway Life Reit, Starhill Global Reit , IReit Global and Mapletree Pan Asia Commercial Trust . On average, these 10 have a gearing ratio of 33.5 per cent. Sasseur Reit, notable for its low gearing ratio of 25.9 per cent for the first quarter of 2025, reported a slight year-on-year (yoy) dip of 0.2 per cent in its entrusted management agreement (EMA) rental income for the same period. This was primarily due to weaker foreign exchange rates and lower variable income. However, in renminbi terms, Q1 2025 EMA rental income saw a 1.6 per cent yoy increase. The Reit's portfolio occupancy rate improved to 98.9 per cent, up from 97.9 per cent in the previous year, with higher occupancy recorded at its Chongqing Bishan and Kunming outlet malls in China. Its management remains committed to maintaining a healthy balance sheet to seize potential opportunistic acquisitions. Sasseur Reit has the right of first refusal on two assets in Xi'an and Guiyang, and could also look for acquisition opportunities within other assets managed by its sponsor. As at Q1 2025, its sponsor Sasseur Group manages a total of 18 outlet malls, including the four properties owned by the group. UOB Kay Hian research noted that the recent preference for quality names resulted in the three-month compounded Singapore Overnight Rate Average easing by 98 bps to 2.09 per cent in H1 2025. Despite this significant drop, there has been no positive price movement or re-rating for S-Reits. The research house expects broader recovery in liquidity from possible Fed rate cuts at the end of 2025 to lift the sector. However, global geopolitical uncertainties and tariff risks remain in focus, and investors should stay nimble and watch data as they head into the second half of the year. SGX RESEARCH The writer is a research analyst at SGX. For more research and information on Singapore's Reit sector, visit for the S-Reits & Property Trusts Chartbook.
Business Times
06-07-2025
- Business
- Business Times
S-Reits with lowest relative gearing have an average ratio of 33.5%
[singapore] Last month, the US Federal Reserve opted to maintain its benchmark interest rate, adopting a cautious stance despite speculation about a potential rate cut as early as July, with chair Jerome Powell stating that future decisions will be data-dependent. Market analysts now predict a 75-basis-point (bps) cut in 2025, up from the previously anticipated 50 bps. Singapore real estate investment trusts (S-Reits) have delivered a commendable performance, closing the first half of 2025 with a 4.2 per cent total return, as indicated by the iEdge S-Reit Index. Over the past 12 months, S-Reits have delivered a 10.5 per cent total return. Notably, the top 10 best-performing S-Reits have delivered double-digit returns in H1 2025. They include Frasers Hospitality Trust (21.5 per cent), CapitaLand Integrated Commercial Trust (14.3 per cent), Frasers Centrepoint Trust (11.4 per cent), CapitaLand Ascendas Reit (10.1 per cent) and Parkway Life Reit (10 per cent). The iEdge S-Reit Index concluded H1 2025 at 1,021 and touched 1,030 on Jul 3, a level which was previously tested three times – in November 2024, January 2025 and April 2025. The consensus estimate target price for the next 12 months is pegged at 1,159. From a balance-sheet standpoint, the S-Reit sector maintains an average gearing ratio of 40 per cent, reflecting prudent capital management; it is also well below the regulatory limit of 50 per cent. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up The 10 S-Reits with the lowest gearing ratios are Sasseur Reit , Aims Apac Reit , Keppel DC Reit , Far East Hospitality Trust , Frasers Hospitality Trust, Frasers Logistics & Commercial Trust , Parkway Life Reit, Starhill Global Reit , IReit Global and Mapletree Pan Asia Commercial Trust . On average, these 10 have a gearing ratio of 33.5 per cent. Sasseur Reit, notable for its low gearing ratio of 25.9 per cent for the first quarter of 2025, reported a slight year-on-year (yoy) dip of 0.2 per cent in its entrusted management agreement (EMA) rental income for the same period. This was primarily due to weaker foreign exchange rates and lower variable income. However, in renminbi terms, Q1 2025 EMA rental income saw a 1.6 per cent yoy increase. The Reit's portfolio occupancy rate improved to 98.9 per cent, up from 97.9 per cent in the previous year, with higher occupancy recorded at its Chongqing Bishan and Kunming outlet malls in China. Its management remains committed to maintaining a healthy balance sheet to seize potential opportunistic acquisitions. Sasseur Reit has the right of first refusal on two assets in Xi'an and Guiyang, and could also look for acquisition opportunities within other assets managed by its sponsor. As at Q1 2025, its sponsor Sasseur Group manages a total of 18 outlet malls, including the four properties owned by the group. UOB Kay Hian research noted that the recent preference for quality names resulted in the three-month compounded Singapore Overnight Rate Average easing by 98 bps to 2.09 per cent in H1 2025. Despite this significant drop, there has been no positive price movement or re-rating for S-Reits. The research house expects broader recovery in liquidity from possible Fed rate cuts at the end of 2025 to lift the sector. However, global geopolitical uncertainties and tariff risks remain in focus, and investors should stay nimble and watch data as they head into the second half of the year. SGX RESEARCH The writer is a research analyst at SGX. For more research and information on Singapore's Reit sector, visit for the S-Reits & Property Trusts Chartbook.
