However, dismissing the SGX entirely means overlooking a number of advantages that locally-based investors would enjoy.
For years, the Singapore Exchange (SGX) has been shunned because of its low liquidity and muted volatility, which often translates into smaller gains — if trades can be made. By contrast, markets such as the US’s New York Stock Exchange (NYSE) and Nasdaq have arguably offered better returns, mainly due to higher liquidity and greater price swings.
With tech giants such as Alphabet (Google’s parent), Apple, Amazon, Microsoft and now Nvidia dominating headlines, it is little surprise that local investors look overseas for faster growth and excitement. Over the past five years, Alphabet has delivered gains of more than 200%, compared with about 143% for DBS Group Holdings, SGX’s largest listed company.
