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

Lippo Malls Indonesia Retail Trust (LMRT SP)

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SGX lists 34 REITs, seven stapled trusts and three property trusts with a combined market cap of more than S$100 billion. S-REITs was the top net buy sector in January-June 2019, drawing net institutional inflows of S$396.3 million. 
	 </li>
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Among SGX’s 44 trusts, 11 are engaged in the development, ownership, leasing, management and operation of shopping malls located in Singapore, Malaysia, Indonesia, Mainland China, Hong Kong, Japan and Australia. These 11 retail REITs have a combined market cap of more than S$30 billion. 
	 </li>
	<li>Among the 11 retail REITs, the five best performers in the 2019 YTD were: Lippo Malls Indonesia Retail Trust (+37.2%), Mapletree North Asia Commercial Trust (+32.0%), Sasseur REIT (+31.7%), Frasers Centrepoint Trust (+30.3%) and Fortune REIT (+26.2%). They have averaged a total return of +31.5% in YTD.</li>
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SGX lists 34 REITs, seven stapled trusts and three property trusts with a combined market capitalisation of more than S$100 billion. S-REITs was the top net buy sector in January-June 2019, drawing net institutional inflows of S$396.3 million.

Among SGX’s 44 trusts, 11 are engaged in the development, ownership, leasing, management and operation of shopping malls located in Singapore, Malaysia, Indonesia, Mainland China, Hong Kong, Japan and Australia. These 11 retail REITs have a combined market cap of more than S$30 billion.

Note that Mapletree North Asia Commercial Trust’s retail assets also include office segments, and the trust derived 54% of its gross revenue, and 55% of its net property income, in the FY18/19 financial period from retail operations.

Among the 11 retail REITs, the five best performers in the 2019 YTD were: Lippo Malls Indonesia Retail Trust (+37.2%), Mapletree North Asia Commercial Trust (+32.0%), Sasseur REIT (+31.7%), Frasers Centrepoint Trust (+30.3%) and Fortune REIT (+26.2%). The five have averaged a YTD total return of +31.5%, bringing their one-year and three-year total returns to +19.2% and +25.4% respectively.

Note that Fortune REIT, which is dual-listed on Hong Kong Exchange, last month announced plans to delist from SGX.

The tables below detail the 11 retail REITs listed on SGX, sorted by YTD total return.

<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>
		</tr>
<tr>
<td>
			LIPPO MALLS INDONESIA RETAIL TRUST
			</td>
			<td>
			D5IU
			</td>
			<td>
			695
			</td>
			<td>
			37.2
			</td>
			<td>
			-18.6
			</td>
			<td>
			-11.9
			</td>
		</tr>
<tr>
<td>
			MAPLETREE NORTH ASIA COMMERCIAL TRUST^
			</td>
			<td>
			RW0U
			</td>
			<td>
			4,645
			</td>
			<td>
			32.0
			</td>
			<td>
			34.4
			</td>
			<td>
			74.1
			</td>
		</tr>
<tr>
<td>
			SASSEUR REIT
			</td>
			<td>
			CRPU
			</td>
			<td>
			953
			</td>
			<td>
			31.7
			</td>
			<td>
			22.3
			</td>
			<td>
			NA
			</td>
		</tr>
<tr>
<td>
			FRASERS CENTREPOINT TRUST
			</td>
			<td>
			J69U
			</td>
			<td>
			3,040
			</td>
			<td>
			30.3
			</td>
			<td>
			32.0
			</td>
			<td>
			54.5
			</td>
		</tr>
<tr>
<td>
			FORTUNE REIT*
			</td>
			<td>
			F25U
			</td>
			<td>
			3,696
			</td>
			<td>
			26.2
			</td>
			<td>
			25.8
			</td>
			<td>
			10.3
			</td>
		</tr>
<tr>
<td>
			CAPITALAND MALL TRUST
			</td>
			<td>
			C38U
			</td>
			<td>
			10,106
			</td>
			<td>
			23.5
			</td>
			<td>
			40.8
			</td>
			<td>
			48.3
			</td>
		</tr>
<tr>
<td>
			CAPITALAND RETAIL CHINA TRUST
			</td>
			<td>
			AU8U
			</td>
			<td>
			1,598
			</td>
			<td>
			21.6
			</td>
			<td>
			15.9
			</td>
			<td>
			28.6
			</td>
		</tr>
<tr>
<td>
			STARHILL GLOBAL REIT
			</td>
			<td>
			P40U
			</td>
			<td>
			1,712
			</td>
			<td>
			19.0
			</td>
			<td>
			28.6
			</td>
			<td>
			19.3
			</td>
		</tr>
<tr>
<td>
			SPH REIT
			</td>
			<td>
			SK6U
			</td>
			<td>
			2,819
			</td>
			<td>
			11.9
			</td>
			<td>
			16.3
			</td>
			<td>
			36.8
			</td>
		</tr>
<tr>
<td>
			DASIN RETAIL TRUST
			</td>
			<td>
			CEDU
			</td>
			<td>
			496
			</td>
			<td>
			6.6
			</td>
			<td>
			11.1
			</td>
			<td>
			NA
			</td>
		</tr>
<tr>
<td>
			BHG RETAIL REIT
			</td>
			<td>
			BMGU
			</td>
			<td>
			354
			</td>
			<td>
			1.3
			</td>
			<td>
			3.0
			</td>
			<td>
			16.2
			</td>
		</tr>
<tr>
<td>
			Average
			</td>
			<td>
			 
			</td>
			<td>
			 
			</td>
			<td>
			21.9
			</td>
			<td>
			19.2
			</td>
			<td>
			25.1
			</td>
		</tr>
</tbody></table>
Source: Bloomberg &amp; StockFacts (data as of 5 July 2019) *Fortune REIT, dual-listed on HKEx, plans to delist from SGX ^Mapletree North Asia Commercial Trust’s retail assets also include office properties

<table class="table table-striped"><tbody>
<tr>
<td>
			Name
			</td>
			<td>
			SGX Code
			</td>
			<td>
			12M Div Ind Yld (%)
			</td>
			<td>
			P/B (x)
			</td>
			<td>
			Geographic Breakdown by Portfolio Value
			</td>
		</tr>
<tr>
<td>
			LIPPO MALLS INDONESIA RETAIL TRUST
			</td>
			<td>
			D5IU
			</td>
			<td>
			8.0
			</td>
			<td>
			1.0
			</td>
			<td>
			100% Indonesia
			</td>
		</tr>
<tr>
<td>
			MAPLETREE NORTH ASIA COMMERCIAL TRUST
			</td>
			<td>
			RW0U
			</td>
			<td>
			5.2
			</td>
			<td>
			0.8
			</td>
			<td>
			64% Hong Kong, 25% China, 11% Japan
			</td>
		</tr>
<tr>
<td>
			SASSEUR REIT
			</td>
			<td>
			CRPU
			</td>
			<td>
			8.3
			</td>
			<td>
			0.9
			</td>
			<td>
			100% China
			</td>
		</tr>
<tr>
<td>
			FRASERS CENTREPOINT TRUST
			</td>
			<td>
			J69U
			</td>
			<td>
			4.1
			</td>
			<td>
			1.1
			</td>
			<td>
			100% Singapore
			</td>
		</tr>
<tr>
<td>
			FORTUNE REIT*
			</td>
			<td>
			F25U
			</td>
			<td>
			4.7
			</td>
			<td>
			0.7
			</td>
			<td>
			100% Hong Kong
			</td>
		</tr>
<tr>
<td>
			CAPITALAND MALL TRUST
			</td>
			<td>
			C38U
			</td>
			<td>
			4.3
			</td>
			<td>
			1.1
			</td>
			<td>
			100% Singapore
			</td>
		</tr>
<tr>
<td>
			CAPITALAND RETAIL CHINA TRUST
			</td>
			<td>
			AU8U
			</td>
			<td>
			6.5
			</td>
			<td>
			1.0
			</td>
			<td>
			100% China
			</td>
		</tr>
<tr>
<td>
			STARHILL GLOBAL REIT
			</td>
			<td>
			P40U
			</td>
			<td>
			5.7
			</td>
			<td>
			0.8
			</td>
			<td>
			69.5% Singapore, 16.2% Australia, 11.6% Malaysia, 2.7% China &amp; Japan
			</td>
		</tr>
<tr>
<td>
			SPH REIT
			</td>
			<td>
			SK6U
			</td>
			<td>
			5.1
			</td>
			<td>
			1.1
			</td>
			<td>
			100% Singapore~
			</td>
		</tr>
<tr>
<td>
			DASIN RETAIL TRUST
			</td>
			<td>
			CEDU
			</td>
			<td>
			8.3
			</td>
			<td>
			0.6
			</td>
			<td>
			100% China
			</td>
		</tr>
<tr>
<td>
			BHG RETAIL REIT
			</td>
			<td>
			BMGU
			</td>
			<td>
			7.4
			</td>
			<td>
			0.9
			</td>
			<td>
			100% China
			</td>
		</tr>
<tr>
<td>
			Average
			</td>
			<td>
			 
			</td>
			<td>
			6.1
			</td>
			<td>
			0.9
			</td>
			<td>
			 
			</td>
		</tr>
</tbody></table>
Source: Bloomberg &amp; StockFacts (data as of 5 July 2019) ~Revenue breakdown by geography doesn't include Australian property acquired on 21 Dec 2018

REIT-Owned Malls Seen Outperforming Amidst Challenging Market Conditions

In its report dated 17 April 2019, Maybank Kim Eng Research noted that it expects REIT-owned malls to outperform the broader retail market in Singapore, with leasing demand supported by F&amp;B offerings and activity-based tenants.

Tourism receipts have declined amidst sluggish growth in visitor arrivals. According to <a href="https://www.stb.gov.sg/content/dam/stb/documents/statistics-marketing-insights/international-visitor-arrivals/pdf/Visitor%20Arrivals%202019_1.pdf">data</a> from Singapore Tourism Board, the city-state’s May international visitor arrivals edged 0.9% higher YoY to 1.5 million. Domestic consumer sentiment also remains cautious amidst persistent US-Sino trade tensions. Singapore’s April retail sales declined 1.8% YoY for the third month in a row, extending March’s 1% fall. Excluding motor vehicles, retail sales fell 2% YoY, <a href="https://www.singstat.gov.sg/-/media/files/publications/industry/mrsapr19.pdf">data</a> from the Department of Statistics showed.

The report added that larger destination malls such as Causeway Point – owned by Frasers Centrepoint Trust – will perform better with shopper traffic and tenant sales growth.

In a report dated 3 July 2019, CGS-CIMB Research noted that shopping malls owned by REITs continue to enjoy high occupancy on the back of active tenant and footfall management.

For calendar year 2Q 2019, retail REITs are expected to continue to deliver higher YoY distribution per unit (DPU) levels due to contributions from acquisitions made earlier, such as CapitaLand Mall Trust’s purchase of 70% of Westgate and SPH REIT’s acquisition of The Rail Mall in Singapore and Figtree Grove in Australia, the report added.
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SGX lists 34 REITs, seven stapled trusts and three property trusts with a combined market cap of more than S$100 billion. S-REITs was the top net buy sector in January-June 2019, drawing net institutional inflows of S$396.3 million. 
	 
	
Among SGX’s 44 trusts, 11 are engaged in the development, ownership, leasing, management and operation of shopping malls located in Singapore, Malaysia, Indonesia, Mainland China, Hong Kong, Japan and Australia. These 11 retail REITs have a combined market cap of more than S$30 billion. 
	 
	Among the 11 retail REITs, the five best performers in the 2019 YTD were: Lippo Malls Indonesia Retail Trust (+37.2%), Mapletree North Asia Commercial Trust (+32.0%), Sasseur REIT (+31.7%), Frasers Centrepoint Trust (+30.3%) and Fortune REIT (+26.2%). They have averaged a total return of +31.5% in YTD.

SGX lists 34 REITs, seven stapled trusts and three property trusts with a combined market capitalisation of more than S$100 billion. S-REITs was the top net buy sector in January-June 2019, drawing net institutional inflows of S$396.3 million.

Among SGX’s 44 trusts, 11 are engaged in the development, ownership, leasing, management and operation of shopping malls located in Singapore, Malaysia, Indonesia, Mainland China, Hong Kong, Japan and Australia. These 11 retail REITs have a combined market cap of more than S$30 billion.

Note that Mapletree North Asia Commercial Trust’s retail assets also include office segments, and the trust derived 54% of its gross revenue, and 55% of its net property income, in the FY18/19 financial period from retail operations.

Among the 11 retail REITs, the five best performers in the 2019 YTD were: Lippo Malls Indonesia Retail Trust (+37.2%), Mapletree North Asia Commercial Trust (+32.0%), Sasseur REIT (+31.7%), Frasers Centrepoint Trust (+30.3%) and Fortune REIT (+26.2%). The five have averaged a YTD total return of +31.5%, bringing their one-year and three-year total returns to +19.2% and +25.4% respectively.

Note that Fortune REIT, which is dual-listed on Hong Kong Exchange, last month announced plans to delist from SGX.

The tables below detail the 11 retail REITs listed on SGX, sorted by YTD total return.




			Name
			
			
			SGX Code
			
			
			Market Cap (S$M)
			
			
			Total Return YTD (%)
			
			
			Total Return 1Y (%)
			
			
			Total Return 3Y (%)
			
		


			LIPPO MALLS INDONESIA RETAIL TRUST
			
			
			D5IU
			
			
			695
			
			
			37.2
			
			
			-18.6
			
			
			-11.9
			
		


			MAPLETREE NORTH ASIA COMMERCIAL TRUST^
			
			
			RW0U
			
			
			4,645
			
			
			32.0
			
			
			34.4
			
			
			74.1
			
		


			SASSEUR REIT
			
			
			CRPU
			
			
			953
			
			
			31.7
			
			
			22.3
			
			
			NA
			
		


			FRASERS CENTREPOINT TRUST
			
			
			J69U
			
			
			3,040
			
			
			30.3
			
			
			32.0
			
			
			54.5
			
		


			FORTUNE REIT*
			
			
			F25U
			
			
			3,696
			
			
			26.2
			
			
			25.8
			
			
			10.3
			
		


			CAPITALAND MALL TRUST
			
			
			C38U
			
			
			10,106
			
			
			23.5
			
			
			40.8
			
			
			48.3
			
		


			CAPITALAND RETAIL CHINA TRUST
			
			
			AU8U
			
			
			1,598
			
			
			21.6
			
			
			15.9
			
			
			28.6
			
		


			STARHILL GLOBAL REIT
			
			
			P40U
			
			
			1,712
			
			
			19.0
			
			
			28.6
			
			
			19.3
			
		


			SPH REIT
			
			
			SK6U
			
			
			2,819
			
			
			11.9
			
			
			16.3
			
			
			36.8
			
		


			DASIN RETAIL TRUST
			
			
			CEDU
			
			
			496
			
			
			6.6
			
			
			11.1
			
			
			NA
			
		


			BHG RETAIL REIT
			
			
			BMGU
			
			
			354
			
			
			1.3
			
			
			3.0
			
			
			16.2
			
		


			Average
			
			
			 
			
			
			 
			
			
			21.9
			
			
			19.2
			
			
			25.1
			
		

Source: Bloomberg &amp; StockFacts (data as of 5 July 2019) *Fortune REIT, dual-listed on HKEx, plans to delist from SGX ^Mapletree North Asia Commercial Trust’s retail assets also include office properties




			Name
			
			
			SGX Code
			
			
			12M Div Ind Yld (%)
			
			
			P/B (x)
			
			
			Geographic Breakdown by Portfolio Value
			
		


			LIPPO MALLS INDONESIA RETAIL TRUST
			
			
			D5IU
			
			
			8.0
			
			
			1.0
			
			
			100% Indonesia
			
		


			MAPLETREE NORTH ASIA COMMERCIAL TRUST
			
			
			RW0U
			
			
			5.2
			
			
			0.8
			
			
			64% Hong Kong, 25% China, 11% Japan
			
		


			SASSEUR REIT
			
			
			CRPU
			
			
			8.3
			
			
			0.9
			
			
			100% China
			
		


			FRASERS CENTREPOINT TRUST
			
			
			J69U
			
			
			4.1
			
			
			1.1
			
			
			100% Singapore
			
		


			FORTUNE REIT*
			
			
			F25U
			
			
			4.7
			
			
			0.7
			
			
			100% Hong Kong
			
		


			CAPITALAND MALL TRUST
			
			
			C38U
			
			
			4.3
			
			
			1.1
			
			
			100% Singapore
			
		


			CAPITALAND RETAIL CHINA TRUST
			
			
			AU8U
			
			
			6.5
			
			
			1.0
			
			
			100% China
			
		


			STARHILL GLOBAL REIT
			
			
			P40U
			
			
			5.7
			
			
			0.8
			
			
			69.5% Singapore, 16.2% Australia, 11.6% Malaysia, 2.7% China &amp; Japan
			
		


			SPH REIT
			
			
			SK6U
			
			
			5.1
			
			
			1.1
			
			
			100% Singapore~
			
		


			DASIN RETAIL TRUST
			
			
			CEDU
			
			
			8.3
			
			
			0.6
			
			
			100% China
			
		


			BHG RETAIL REIT
			
			
			BMGU
			
			
			7.4
			
			
			0.9
			
			
			100% China
			
		


			Average
			
			
			 
			
			
			6.1
			
			
			0.9
			
			
			 
			
		

Source: Bloomberg &amp; StockFacts (data as of 5 July 2019) ~Revenue breakdown by geography doesn't include Australian property acquired on 21 Dec 2018

REIT-Owned Malls Seen Outperforming Amidst Challenging Market Conditions

In its report dated 17 April 2019, Maybank Kim Eng Research noted that it expects REIT-owned malls to outperform the broader retail market in Singapore, with leasing demand supported by F&amp;B offerings and activity-based tenants.

Tourism receipts have declined amidst sluggish growth in visitor arrivals. According to data from Singapore Tourism Board, the city-state’s May international visitor arrivals edged 0.9% higher YoY to 1.5 million. Domestic consumer sentiment also remains cautious amidst persistent US-Sino trade tensions. Singapore’s April retail sales declined 1.8% YoY for the third month in a row, extending March’s 1% fall. Excluding motor vehicles, retail sales fell 2% YoY, data from the Department of Statistics showed.

The report added that larger destination malls such as Causeway Point – owned by Frasers Centrepoint Trust – will perform better with shopper traffic and tenant sales growth.

In a report dated 3 July 2019, CGS-CIMB Research noted that shopping malls owned by REITs continue to enjoy high occupancy on the back of active tenant and footfall management.

For calendar year 2Q 2019, retail REITs are expected to continue to deliver higher YoY distribution per unit (DPU) levels due to contributions from acquisitions made earlier, such as CapitaLand Mall Trust’s purchase of 70% of Westgate and SPH REIT’s acquisition of The Rail Mall in Singapore and Figtree Grove in Australia, the report added.



Mapletree North Asia Commercial Trust (MAGIC SP)

SGX’s Five Best-Performing Retail REITs Returned 32% in YTD