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

Geoff Howie

SGX Market Strategist, Equity & Fixed Income

Asia’s leading multi-asset exchange

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.

<!DOCTYPE html PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN" "http://www.w3.org/TR/REC-html40/loose.dtd">



Energy Sector Gains Fuelled by Recent Oil & Thermal Coal Moves

Annual Sector Rotations that Beat the STI in 2017 YTD

FTSE ST China Index generated 25% Total Return over Past 12M

Leading International Investment Research, Edison Investment Research

Edison Investment Research

Leading International Investment Research

Edison is an investment research and advisory company, with offices in North America, Europe, the Middle East and AsiaPac. The heart of Edison is our world renowned equity research platform and deep multi-sector expertise. At Edison Investment Research, our research is widely read by international investors, advisors and stakeholders. Edison Advisors leverages our core research platform to provide differentiated services including investor relations and strategic consulting.

Equity Bottom-Up

China Aviation Oil (Singapore) / Equity Bottom-Up

<p>Q3 results reflected the combined impact on gross margin of the core trading operation due to a return to a backwardation situation in product markets, as well as supply disruptions. More positively, SPIA and the other associates made a stronger contribution. With adverse trading conditions expected to persist for a period of time, management&rsquo;s strategy to reduce volatility is being tested. The key growth drivers of increasing air traffic and an expanding geographic footprint continue to increase trading volumes and augur well for the future. Maintenance of profitability at a lower margin level while backwardation conditions persist should be offset by stronger growth from SPIA next year, but we now assume a more subdued expansion of the core business. The balance sheet remains supportive of further strategic M&amp;A to facilitate growth. Our fair value falls to S$1.88 from S$2.11.</p>

Q3 results reflected the combined impact on gross margin of the core trading operation due to a return to a backwardation situation in product markets, as well as supply disruptions. More positively, SPIA and the other associates made a stronger contribution. With adverse trading conditions expected to persist for a period of time, management&rsquo;s strategy to reduce volatility is being tested. The key growth drivers of increasing air traffic and an expanding geographic footprint continue to increase trading volumes and augur well for the future. Maintenance of profitability at a lower margin level while backwardation conditions persist should be offset by stronger growth from SPIA next year, but we now assume a more subdued expansion of the core business. The balance sheet remains supportive of further strategic M&amp;A to facilitate growth. Our fair value falls to S$1.88 from S$2.11.

China Aviation Oil (Singapore) - Strong volumes in tougher trading environment

Singapore

China Aviation Oil (Singapore) Corporation Ltd is the largest physical jet fuel trader in the Asia Pacific region and a key supplier of imported jet fuel to China's civil aviation industry. The company also engages in the trading of other oil products and investments in oil-related assets. It was incorporated in Singapore on May 26, 1993.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

China Aviation Oil (Singapore) (CAO SP)

Energy Sector Gains Fuelled by Recent Oil & Thermal Coal Moves

Singapore Exchange Ltd (SGX)

Sector Leaders that Beat the STI in 2017

Singapore Exchange Ltd (SGX)

Annual Sector Rotations that Beat the STI in 2017 YTD

Singapore Exchange Ltd (SGX)

FTSE ST China Index generated 25% Total Return over Past 12M

Singapore Exchange Ltd (SGX)

China Aviation Oil (Singapore) - Strong volumes in tougher trading environment

Q3 results reflected the combined impact on gross margin of the core trading operation due to a return to a backwardation situation in product...

Edison Investment Research

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)