To be sure, Singapore blue chips have largely been the centre of investors’ attention. From the start of this year until Nov 15, the benchmark 30-stock Straits Times Index (STI) has risen 15.6%, driven mostly by banks on strong earnings growth.
Four months have passed since the Monetary Authority of Singapore (MAS) announced on Aug 2 that a review group would be set up to propose measures to revive the moribund local equities market. Chaired by Second Minister for Finance and MAS Deputy Chairman Chee Hong Tat, the team has up to a year to devise ways to improve trading liquidity and make the market palatable for private companies seeking a public listing.
Depending on who you speak to, some regard this top-down initiative as the last shot at getting the Singapore equities market back on its feet; others deem it too little, too late. In any case, the review group has an unenviable job, considering the local bourse has not really budged despite a barrage of measures over the years aimed at rousing it from its slumber.
