“We view the liquidity boost as positive for the stock market,” say CGSI analysts Lock Mun Yee and Lim Siew Khee. “In addition to liquidity, fundamental and investible theses remain the key focus for investors, and we see broadening of research and improving listing support, investor protection and confidence as complementary to the entire value chain.”
In the wake of the Monetary Authority of Singapore’s (MAS) appointment of the first batch of fund managers that will launch fund strategies under the Equity Market Development Programme (EQDP), CGS International has removed SIA Engineering (SIE), BRC Asia, Frencken Group, Pan-United and PropNex from their “high-conviction list” due to “share price outperformance”.
Taking their place are Singapore Exchange (SGX), Yangzijiang Shipbuilding, LHN and Hong Leong Asia (HLA), according to a July 21 CGSI report.
