Singapore is UBS’ most preferred equity markets in this region and Tan urges investors to look past the short term challenges, and stay vested and bullish.
SINGAPORE (June 17): Being a small and open economy, Singapore has suffered a brutal hit from the ongoing Covid-19 pandemic. The lockdowns across various countries have stalled tourism, while the state has adopted ‘circuit breaker’ measures in a bid to stem the spread of the virus.
Year to date, the MSCI Singapore Free Index Futures has slumped 17.4% in light of the virus. According to Tan Min Lan, Asia-Pacific head of UBS Wealth Management’s chief investment office, the Singapore economy is “one of the worst performing markets” for the year. Valuations wise, equities in Singapore are trading at slightly below one time on a price to book value basis, similar to the market bottoming during the 2008 Global Financial Crisis.
