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

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Advance estimates indicate that Singapore’s Manufacturing Sector grew 7.1% in 2020, rebounding from a 1.4% decline in 2019. The SIPMM PMI ended the year with at 50.5 in December, with sixth straight months of expansions. Manufacturing sentiment has also been improving across the region. 
	 </li>
	<li>
Singapore’s 20 most traded manufacturing-related stocks generated a median gain of 41% in 2020, following median gains of 11% in 2019. The group of 20 stocks averaged S$230 million of daily trading turnover in 2020. 
	 </li>
	<li>The average 256% return of the 20 stocks reflected the “K-shaped” performances across the various goods producing industries. Seven stocks related to the production of medical supplies averaged 179% returns in 2020, whilst six technology manufacturing-related stocks averaged a 44% return in 2020.</li>
</ul>
 

Growth of Local Manufacturing &amp; Regional Supply Chains 
Advance estimates indicate that Singapore’s Manufacturing Sector grew 7.1% in 2020, rebounding from a 1.4% decline in 2019. As reported by monthly industrial production numbers throughout 2020 the manufacturing sector was supported by output expansions in biomedical manufacturing, electronics, precision engineering offsetting declines in transport engineering and general manufacturing. Similar “K-shaped” perfomances were recorded across manufacturing-related stocks that are connected to such industries. The SIPMM Purchasing Managing Index (“PMI”) ended 2020 with a 50.5 reading for December, with sixth straight months of expansions. Over the last two months of 2020, the two sub-indices of the SIPMM PMI which saw the most decline since January 2018, New Orders and Output had both inched higher, from 50.6 to 50.8, and from 51.3 to 51.4 respectively. Back in January 2018, the SIPMM PMI recorded its highest expansion since December 2009 and has not been back to the 53.1 level since. That month also coincided with the United States announcing tariffs on Solar Panels and Washing Machines, a key beachhead in the recent US-China trade tensions. The Electronics PMI at 51.2 is at a 27 month high on demand for technology products and services. Technology is a also a key part of Signapore’s most trading manufacturign-related stocks.   
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 <img src='https://api2.sgx.com/sites/default/files/2021-01/Capture_4.PNG' alt='Singapore Manufacturing Sector Growth' />
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 <div class='content-caption'>Singapore Manufacturing Sector Growth</div>
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Manufacturing sentiment has also been improving across the region. By the end of 2020, IHS Market PMIs for Asia ranged between 49.1 for Malaysia (the only country of the nine below the 50.0 threshold) to 59.4 for Taiwan, with Japan back at 50.0 after being in contraction since May 2019. While confidence across the regional supply chain quickly rebounded following the significant lows in April, the average PMI of the nine Asian countries had continued to inch up from 51.6 to 52.6 over the last two months of 2020. Bloomberg’s Chief Asia Economist Chang Shu noted with the PMI results that Asia’s manufacturing sector was persevering even as the coronavirus worsened, with challenges in the months ahead as infection surges in the region and beyond undermine demand. Regional supply chains have also been subject to much restructuring over recent years, influenced by the rise of the Asia purchasing power, in addition to technology, communication and e-commerce developments. This has all served as a means for upstream companies to move downstream and directly face the growing pool of consumers, a sub-trend that has extended to the various goods producing business listed in Singapore. For instance, Singapore’s most traded manufacturing-related stock in 2020, Wilmar has over the years established a comprehensive sales and distribution network reaching traditional retail outlets, supermarkets, convenience stores and hyper-marts, reaching about five billion consumers worldwide. 
 

Singapore’s 20 most traded manufacturing-related stocks generated a median gain of 41% in 2020, with the 256% average return reflected the “K-shaped” performances across the various industries. For instance, stocks related to the production of medical supplies, Medtecs International Corporation, Riverstone Holdings, Top Glove Corporation Berhad, UG Healthcare Corporation, Biolidics, Vicplas International and Sri Trang Agro-Industry PCL averaged 179% returns in 2020, whilst the five STI manufacturing-related stocks averaged a 3% total return. The six technology manufacturing-related stocks averaged a 44% return in 2020, backing up from 99% average total returns in 2020. Combined the 20 stocks accoutned for approximately 17% of the day-to-day turnover of all stocks listed in Singapore in 2020. As discussed in the recent SGX My Gateway Report (click <a href="https://ebm.cheetahmail.com/c/tag/hBf8vi8B86%24MfB932-PAAApi2DY/doc.html?t_params=W9KLujoE6S15OwCWclPQX9SgdFxRucpW0Igbjgxfs015-35EJ6qc0xL70mpwyyVWHaka5qJVUdbBHoYE838IrXC">here</a>), Wilmar International, Medtecs International Corporation, Riverstone Holdings, UMS Holdings, Top Glove Corporation Berhard and UG Healthcare Corporation were also among a number of stocks that saw significant increases in trading turnover in 2020. 
These 20 most traded Singapore-listed stocks that are goods producing or are focused on goods producing businesses are tabled below.

<table class="table table-striped"><tbody>
<tr>
<td>
			Stock
			</td>
			<td>
			Code
			</td>
			<td>
			Sector
			</td>
			<td>
			Mkt Cap at end of 2020 S$M
			</td>
			<td>
			Net Insti Inflow in 2020 S$M
			</td>
			<td>
			4Q20 Total Return
			</td>
			<td>
			2020 Total Return
			</td>
			<td>
			2019 Total Return
			</td>
		</tr>
<tr>
<td>
			Wilmar Intl
			</td>
			<td>
			F34
			</td>
			<td>
			Consumer Non-Cyclicals
			</td>
			<td>
			29,370
			</td>
			<td>
			-42
			</td>
			<td>
			6%
			</td>
			<td>
			17%
			</td>
			<td>
			36%
			</td>
		</tr>
<tr>
<td>
			YZJ Shipbldg SGD
			</td>
			<td>
			BS6
			</td>
			<td>
			Industrials
			</td>
			<td>
			3,681
			</td>
			<td>
			-173
			</td>
			<td>
			-4%
			</td>
			<td>
			-11%
			</td>
			<td>
			-7%
			</td>
		</tr>
<tr>
<td>
			Venture
			</td>
			<td>
			V03
			</td>
			<td>
			Technology (Hardware/ Software)
			</td>
			<td>
			5,632
			</td>
			<td>
			169
			</td>
			<td>
			1%
			</td>
			<td>
			25%
			</td>
			<td>
			21%
			</td>
		</tr>
<tr>
<td>
			ST Engineering
			</td>
			<td>
			S63
			</td>
			<td>
			Industrials
			</td>
			<td>
			11,901
			</td>
			<td>
			55
			</td>
			<td>
			10%
			</td>
			<td>
			1%
			</td>
			<td>
			17%
			</td>
		</tr>
<tr>
<td>
			Medtecs Intl*
			</td>
			<td>
			546
			</td>
			<td>
			Healthcare
			</td>
			<td>
			549
			</td>
			<td>
			22
			</td>
			<td>
			-7%
			</td>
			<td>
			2628%
			</td>
			<td>
			37%
			</td>
		</tr>
<tr>
<td>
			AEM
			</td>
			<td>
			AWX
			</td>
			<td>
			Technology (Hardware/ Software)
			</td>
			<td>
			949
			</td>
			<td>
			16
			</td>
			<td>
			-10%
			</td>
			<td>
			75%
			</td>
			<td>
			154%
			</td>
		</tr>
<tr>
<td>
			ThaiBev
			</td>
			<td>
			Y92
			</td>
			<td>
			Consumer Non-Cyclicals
			</td>
			<td>
			18,460
			</td>
			<td>
			-137
			</td>
			<td>
			21%
			</td>
			<td>
			-15%
			</td>
			<td>
			49%
			</td>
		</tr>
<tr>
<td>
			Riverstone
			</td>
			<td>
			AP4
			</td>
			<td>
			Healthcare
			</td>
			<td>
			1,645
			</td>
			<td>
			-39
			</td>
			<td>
			-36%
			</td>
			<td>
			143%
			</td>
			<td>
			-17%
			</td>
		</tr>
<tr>
<td>
			Sembcorp Marine
			</td>
			<td>
			S51
			</td>
			<td>
			Industrials
			</td>
			<td>
			1,795
			</td>
			<td>
			-107
			</td>
			<td>
			-2%
			</td>
			<td>
			-83%
			</td>
			<td>
			-14%
			</td>
		</tr>
<tr>
<td>
			UMS
			</td>
			<td>
			558
			</td>
			<td>
			Technology (Hardware/ Software)
			</td>
			<td>
			576
			</td>
			<td>
			19
			</td>
			<td>
			11%
			</td>
			<td>
			10%
			</td>
			<td>
			90%
			</td>
		</tr>
<tr>
<td>
			Top Glove
			</td>
			<td>
			BVA
			</td>
			<td>
			Healthcare
			</td>
			<td>
			16,045
			</td>
			<td>
			-72
			</td>
			<td>
			-25%
			</td>
			<td>
			300%
			</td>
			<td>
			-14%
			</td>
		</tr>
<tr>
<td>
			UG Healthcare*
			</td>
			<td>
			8K7
			</td>
			<td>
			Healthcare
			</td>
			<td>
			361
			</td>
			<td>
			-15
			</td>
			<td>
			-30%
			</td>
			<td>
			1157%
			</td>
			<td>
			-34%
			</td>
		</tr>
<tr>
<td>
			Jiutian Chemical*
			</td>
			<td>
			C8R
			</td>
			<td>
			Materials &amp; Resources
			</td>
			<td>
			163
			</td>
			<td>
			3
			</td>
			<td>
			71%
			</td>
			<td>
			382%
			</td>
			<td>
			-11%
			</td>
		</tr>
<tr>
<td>
			Hi-P
			</td>
			<td>
			H17
			</td>
			<td>
			Industrials
			</td>
			<td>
			1,623
			</td>
			<td>
			35
			</td>
			<td>
			70%
			</td>
			<td>
			34%
			</td>
			<td>
			101%
			</td>
		</tr>
<tr>
<td>
			Golden Agri-Res
			</td>
			<td>
			E5H
			</td>
			<td>
			Consumer Non-Cyclicals
			</td>
			<td>
			2,018
			</td>
			<td>
			-9.1
			</td>
			<td>
			12%
			</td>
			<td>
			-30%
			</td>
			<td>
			-2%
			</td>
		</tr>
<tr>
<td>
			Frencken
			</td>
			<td>
			E28
			</td>
			<td>
			Technology (Hardware/ Software)
			</td>
			<td>
			563
			</td>
			<td>
			10
			</td>
			<td>
			34%
			</td>
			<td>
			47%
			</td>
			<td>
			128%
			</td>
		</tr>
<tr>
<td>
			Nanofilm
			</td>
			<td>
			MZH
			</td>
			<td>
			Technology (Hardware/ Software)
			</td>
			<td>
			2,897
			</td>
			<td>
			-30
			</td>
			<td>
			51%
			</td>
			<td>
			70%
			</td>
			<td>
			N/A
			</td>
		</tr>
<tr>
<td>
			Biolidics*
			</td>
			<td>
			8YY
			</td>
			<td>
			Healthcare
			</td>
			<td>
			79
			</td>
			<td>
			-5
			</td>
			<td>
			-5%
			</td>
			<td>
			22%
			</td>
			<td>
			11%
			</td>
		</tr>
<tr>
<td>
			Vicplas Intl
			</td>
			<td>
			569
			</td>
			<td>
			Healthcare
			</td>
			<td>
			127
			</td>
			<td>
			1
			</td>
			<td>
			-19%
			</td>
			<td>
			169%
			</td>
			<td>
			11%
			</td>
		</tr>
<tr>
<td>
			Sri Trang Agro
			</td>
			<td>
			NC2
			</td>
			<td>
			Consumer Cyclicals
			</td>
			<td>
			1,782
			</td>
			<td>
			-38
			</td>
			<td>
			2%
			</td>
			<td>
			179%
			</td>
			<td>
			-37%
			</td>
		</tr>
<tr>
<td>
			Median
			</td>
			<td>
			 
			</td>
			<td>
			 
			</td>
			<td>
			 
			</td>
			<td>
			 
			</td>
			<td>
			1%
			</td>
			<td>
			41%
			</td>
			<td>
			11%
			</td>
		</tr>
<tr>
<td>
			Average
			</td>
			<td>
			 
			</td>
			<td>
			 
			</td>
			<td>
			 
			</td>
			<td>
			 
			</td>
			<td>
			8%
			</td>
			<td>
			256%
			</td>
			<td>
			27%
			</td>
		</tr>
</tbody></table>
 *Listed on Catalist, Source: SGX StockFacts, Refinitiv and Bloomberg (Data as of 31 December 2020).
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Advance estimates indicate that Singapore’s Manufacturing Sector grew 7.1% in 2020, rebounding from a 1.4% decline in 2019. The SIPMM PMI ended the year with at 50.5 in December, with sixth straight months of expansions. Manufacturing sentiment has also been improving across the region. 
	 
	
Singapore’s 20 most traded manufacturing-related stocks generated a median gain of 41% in 2020, following median gains of 11% in 2019. The group of 20 stocks averaged S$230 million of daily trading turnover in 2020.  
	 
	The average 256% return of the 20 stocks reflected the “K-shaped” performances across the various goods producing industries. Seven stocks related to the production of medical supplies averaged 179% returns in 2020, whilst six technology manufacturing-related stocks averaged a 44% return in 2020.

 

Growth of Local Manufacturing &amp; Regional Supply Chains  
Advance estimates indicate that Singapore’s Manufacturing Sector grew 7.1% in 2020, rebounding from a 1.4% decline in 2019. As reported by monthly industrial production numbers throughout 2020 the manufacturing sector was supported by output expansions in biomedical manufacturing, electronics, precision engineering offsetting declines in transport engineering and general manufacturing. Similar “K-shaped” perfomances were recorded across manufacturing-related stocks that are connected to such industries.  The SIPMM Purchasing Managing Index (“PMI”) ended 2020 with a 50.5 reading for December, with sixth straight months of expansions. Over the last two months of 2020, the two sub-indices of the SIPMM PMI which saw the most decline since January 2018, New Orders and Output had both inched higher, from 50.6 to 50.8, and from 51.3 to 51.4 respectively. Back in January 2018, the SIPMM PMI recorded its highest expansion since December 2009 and has not been back to the 53.1 level since. That month also coincided with the United States announcing tariffs on Solar Panels and Washing Machines, a key beachhead in the recent US-China trade tensions. The Electronics PMI at 51.2 is at a 27 month high on demand for technology products and services. Technology is a also a key part of Signapore’s most trading manufacturign-related stocks.   



      
    
    Singapore Manufacturing Sector Growth


Manufacturing sentiment has also been improving across the region. By the end of 2020, IHS Market PMIs for Asia ranged between 49.1 for Malaysia (the only country of the nine below the 50.0 threshold) to 59.4 for Taiwan, with Japan back at 50.0 after being in contraction since May 2019. While confidence across the regional supply chain quickly rebounded following the significant lows in April, the average PMI of the nine Asian countries had continued to inch up from 51.6 to 52.6 over the last two months of 2020. Bloomberg’s Chief Asia Economist Chang Shu noted with the PMI results that Asia’s manufacturing sector was persevering even as the coronavirus worsened, with challenges in the months ahead as infection surges in the region and beyond undermine demand.  Regional supply chains have also been subject to much restructuring over recent years, influenced by the rise of the Asia purchasing power, in addition to technology, communication and e-commerce developments. This has all served as a means for upstream companies to move downstream and directly face the growing pool of consumers, a sub-trend that has extended to the various goods producing business listed in Singapore. For instance, Singapore’s most traded manufacturing-related stock in 2020, Wilmar has over the years established a comprehensive sales and distribution network reaching traditional retail outlets, supermarkets, convenience stores and hyper-marts, reaching about five billion consumers worldwide. 
 

Singapore’s 20 most traded manufacturing-related stocks generated a median gain of 41% in 2020, with the 256% average return reflected the “K-shaped” performances across the various industries. For instance, stocks related to the production of medical supplies, Medtecs International Corporation, Riverstone Holdings, Top Glove Corporation Berhad, UG Healthcare Corporation, Biolidics, Vicplas International and Sri Trang Agro-Industry PCL averaged 179% returns in 2020, whilst the five STI manufacturing-related stocks averaged a 3% total return. The six technology manufacturing-related stocks averaged a 44% return in 2020, backing up from 99% average total returns in 2020. Combined the 20 stocks accoutned for approximately 17% of the day-to-day turnover of all stocks listed in Singapore in 2020. As discussed in the recent SGX My Gateway Report (click here), Wilmar International, Medtecs International Corporation, Riverstone Holdings, UMS Holdings, Top Glove Corporation Berhard and UG Healthcare Corporation were also among a number of stocks that saw significant increases in trading turnover in 2020.  
These 20 most traded Singapore-listed stocks that are goods producing or are focused on goods producing businesses are tabled below.




			Stock
			
			
			Code
			
			
			Sector
			
			
			Mkt Cap at end of 2020 S$M
			
			
			Net Insti Inflow in 2020 S$M
			
			
			4Q20 Total Return
			
			
			2020 Total Return
			
			
			2019 Total Return
			
		


			Wilmar Intl
			
			
			F34
			
			
			Consumer Non-Cyclicals
			
			
			29,370
			
			
			-42
			
			
			6%
			
			
			17%
			
			
			36%
			
		


			YZJ Shipbldg SGD
			
			
			BS6
			
			
			Industrials
			
			
			3,681
			
			
			-173
			
			
			-4%
			
			
			-11%
			
			
			-7%
			
		


			Venture
			
			
			V03
			
			
			Technology (Hardware/ Software)
			
			
			5,632
			
			
			169
			
			
			1%
			
			
			25%
			
			
			21%
			
		


			ST Engineering
			
			
			S63
			
			
			Industrials
			
			
			11,901
			
			
			55
			
			
			10%
			
			
			1%
			
			
			17%
			
		


			Medtecs Intl*
			
			
			546
			
			
			Healthcare
			
			
			549
			
			
			22
			
			
			-7%
			
			
			2628%
			
			
			37%
			
		


			AEM
			
			
			AWX
			
			
			Technology (Hardware/ Software)
			
			
			949
			
			
			16
			
			
			-10%
			
			
			75%
			
			
			154%
			
		


			ThaiBev
			
			
			Y92
			
			
			Consumer Non-Cyclicals
			
			
			18,460
			
			
			-137
			
			
			21%
			
			
			-15%
			
			
			49%
			
		


			Riverstone
			
			
			AP4
			
			
			Healthcare
			
			
			1,645
			
			
			-39
			
			
			-36%
			
			
			143%
			
			
			-17%
			
		


			Sembcorp Marine
			
			
			S51
			
			
			Industrials
			
			
			1,795
			
			
			-107
			
			
			-2%
			
			
			-83%
			
			
			-14%
			
		


			UMS
			
			
			558
			
			
			Technology (Hardware/ Software)
			
			
			576
			
			
			19
			
			
			11%
			
			
			10%
			
			
			90%
			
		


			Top Glove
			
			
			BVA
			
			
			Healthcare
			
			
			16,045
			
			
			-72
			
			
			-25%
			
			
			300%
			
			
			-14%
			
		


			UG Healthcare*
			
			
			8K7
			
			
			Healthcare
			
			
			361
			
			
			-15
			
			
			-30%
			
			
			1157%
			
			
			-34%
			
		


			Jiutian Chemical*
			
			
			C8R
			
			
			Materials &amp; Resources
			
			
			163
			
			
			3
			
			
			71%
			
			
			382%
			
			
			-11%
			
		


			Hi-P
			
			
			H17
			
			
			Industrials
			
			
			1,623
			
			
			35
			
			
			70%
			
			
			34%
			
			
			101%
			
		


			Golden Agri-Res
			
			
			E5H
			
			
			Consumer Non-Cyclicals
			
			
			2,018
			
			
			-9.1
			
			
			12%
			
			
			-30%
			
			
			-2%
			
		


			Frencken
			
			
			E28
			
			
			Technology (Hardware/ Software)
			
			
			563
			
			
			10
			
			
			34%
			
			
			47%
			
			
			128%
			
		


			Nanofilm
			
			
			MZH
			
			
			Technology (Hardware/ Software)
			
			
			2,897
			
			
			-30
			
			
			51%
			
			
			70%
			
			
			N/A
			
		


			Biolidics*
			
			
			8YY
			
			
			Healthcare
			
			
			79
			
			
			-5
			
			
			-5%
			
			
			22%
			
			
			11%
			
		


			Vicplas Intl
			
			
			569
			
			
			Healthcare
			
			
			127
			
			
			1
			
			
			-19%
			
			
			169%
			
			
			11%
			
		


			Sri Trang Agro
			
			
			NC2
			
			
			Consumer Cyclicals
			
			
			1,782
			
			
			-38
			
			
			2%
			
			
			179%
			
			
			-37%
			
		


			Median
			
			
			 
			
			
			 
			
			
			 
			
			
			 
			
			
			1%
			
			
			41%
			
			
			11%
			
		


			Average
			
			
			 
			
			
			 
			
			
			 
			
			
			 
			
			
			8%
			
			
			256%
			
			
			27%
			
		

 *Listed on Catalist, Source: SGX StockFacts, Refinitiv and Bloomberg (Data as of 31 December 2020).



Manufacturing Growth Extended to Stocks in 2020 