Tag: Singapore stock market

  • Five Singapore Companies Listed by Dow Jones – Reviews

    Five Singapore Companies Listed by Dow Jones – Reviews

    5 min read

    Five Singapore companies are listed by Dow Jones

    by Guy Avtalyon

    According to Business Insider “, five Singapore companies on the Dow Jones Sustainability Index 2019 Asia Pacific, and two are on the World list.”

    And BusinessInsider added

    “On Tuesday (September 17), five of these firms -CapitaLand, City Developments, DBS Group Holdings, Sembcorp Industries, and ComfortDelGro ā€“ saw their initiatives recognized by the Dow Jones Sustainability Index (DJSI), which is seen as a key reference point for sustainability investment globally.”

    So, let’s see the inside of these Five Singapore companies.

    CapitaLand Ltd.

    Ticker SES(C31)
    Market cap $13,198.89M

    One of five Singapore companies on the Dow Jones list is CapitaLand. The main activity of this company is a real estate and consultancy services. CapitaLand Ltd. is the biggest real estate investor in Southeast Asia. It was founded in 2000 by a merger of DBS Land and Pidemco Land, two real estate investors in Singapore linked to the government. Temasek Holdings, Singapore’s wealth fund, holds an almost 40% share. CapitaLand is managed by CEO Lee Chee Koon.

    The majority of its assets are in Singapore and China. CapitaLand has plans to grow more in China.Ā 

    About 80% of CapitaLand’s assets are in Singapore and China, where the company plans to expand more.

    The uniqueness and power of this company lie in developing many types of real estate such as shopping centers, apartments or individual projects. But CapitaLand owns The Ascot, one of the global biggest chains of international serviced apartments. Among other business, it holds 5 publicly listed real estate investment trusts and numerous private equity funds. For example, it privatized CapitaMalls Asia and immediately delisted it from the Singapore Exchange. The explanation was, it is a part of the restructuring. Australand Property Group was the part of CapitaLand but it has been sold.

    The parts of this company are in Singapore, Malaysia, and Indonesia under ticker CL SMI, China under ticker CL China, Vietnam and there is, also, CapitaLand International. The company is geographically separated. Each part is involved in the area from where operates.

    The CL International part involves in Europe, the US and the Middle East, but also in Singapore, Malaysia, Indonesia, China, and Vietnam. CapitaLand headquarter is in Singapore.

    You want to know: Singapore Stock Market ā€“ Why To Invest?

    City Developments Limited

    Ticker SES(C09)
    Market cap $6,481.47M

    Another one of five Singapore companies on the Dow Jones is City Developments. It is one of the biggest real estate development companies in Singapore with a long history. Its focus is on residential and hotel development. It was established in 1963 and went public the same year, its shares were listed on the Malayan Stock Exchange. Today it is listed on the Singapore Exchange. City Developments is managed by Kwek Sherman. He is a grandson of the founder of Hong Leong’s Group and heir to one of the wealthiest families in Southeast Asia, Kwek Hong Png. Hong Leong Group still holds the majority of City Developments’ shares.

    Its portfolio holds large condos, retail and office complexes in Singapore and overseas. It is the majority shareholder of Millennium & Copthorne Hotels and its more than 110 hotels all over the world, which is listed in London exchange.

    When Singapore’s property market was a slowdown, the company find a place for developing in Japan. At the end of 2014, it bought 16,815 sq. meters of the estate in Tokyo’s downtown to build condos. At the same time, City Developments expanded in Australia.Ā 

    City Developments Ltd. is focused on property development, rental properties, and hotel operations. But there is a so-called The Others Sector part which covers clubs ownership, other investments, consultancy services, etc. The company was founded on September 7, 1963, and its headquarters is in Singapore.

    DBS Group Holdings

    Ticker SES(D05)
    Market cap $46,913.89M

    DBS Group Holdings was founded in 1968 as The Development Bank of Singapore. At first, it was a financing company for Singaporean businesses and city development projects. But the bank expanded in China and Southeast Asia and in 2003 the name was changed to DBS as it became a regional bank.

    DBS Group has the largest chain of over 2300 offices and self-service ATMs. It also holds the leading role in Singapore’s banking sector.

    CEO Piyush Gupta is on the head of the group since 2009. Under Gupta’s management, DBS is experiencing expansion beyond the region. It bought Societe Generale’s private banking business in Singapore and Hong Kong in 2014 for $220 million. The aim was clear, to grow its money management business to attract millionaires in Asia. DBS was also the first Singaporean bank registered in China. It was in 2007. Now DBS has offices in 10 major Chinese cities, with more than 50 offices in Hong Kong only.

    DBS Group Holdings Ltd. is an investment company. It is focused on retail, small and medium-sized companies, corporate, and investment banking assistance. It works as consumer banking/wealth management, institutional banking, and treasury markets. The Treasury Markets section is all about structuring, market-making, and trading of treasury products. The company was established in 1968 and its headquarter is in Singapore.

    Sembcorp Industries

    Ticker SES(U96)
    Market cap $2,880.48M

    This is one of Singapore’s largest conglomerates. Sembcorp Industries has three main businesses: marine, utility and urban development. The marine and offshore business are handled by publicly-listed subsidiary Sembcorp Marine. Its rigs and platforms are present in almost all foreign offshore oil places all over the world.Ā 

    Sembcorp has an important position in various governmental industrial park development plans in China and Vietnam. The current Group President Neil McGregor is CEO too. In 2006 with Tang in the head,Ā  Sembcorp Industries won the bid for water desalination and power plant project in the United Arab Emirates. It was its first big project in the Middle East. Temasek Holdings is its largest shareholder with about 50% ownership.

    Sembcorp Industries Ltd. is an investment holding company. It is engaged in the production and supply of utility services, storage of oil products and chemicals. It operates through main sections: utilities, marine, and urban development. It is also involved in businesses relating to minting, design and construction activities, and offshore engineering. The company was established in 1998 and its headquarter is in Singapore.

    Read this: Singapore Stock Market ā€“ Why To Invest?

    ComfortDelGro Corp. Ltd.

    Ticker SES(C52)
    Market cap $3,852.21M

    ComfortDelGro is a land transport and an investment holding company with more than 46,000 taxis, buses, and rental vehicles all over the world. It was established in 2003 with the merger of the Singaporean transport companies Comfort Group and DelGro. London’s Metroline (city bus operator) is one of ComfortDelGro’s major branches. The interesting fact about ComfortDelGro is that no shareholder holds more than 10% of shares.

    Because of the limited area and population in Singapore, the company was forced to find opportunities away from this city-state. In 2013, it has bought a part of London’s FirstGroup’s bus business. In the same year, it bought the Melbourne bus operator Driver Group. Almost half of the company’s operating profit is produced from businesses in China, Australia, the U.K., Ireland, Vietnam, and Malaysia. Yang Ban Seng is managing director and groupā€™s CEO.

    ComfortDelGro is holding company which mainly invests in the ground transportation services. It is involved in several areas through separate divisions. It operates a public transportation service, which covers bus, rail, and taxi services. Bus division is also involved in operating shuttle and coach rental services, and fare collection. Taxi division is involved in operating the bureau services and advertising of it. The automotive engineering division is involved in the maintenance, manufacturing of specialized vehicles, coach assembly, collision repairs, automotive engineering services, and sale of diesel fuel. The inspection and testing division provides MOT and similar regulatory mandated vehicle testing, but also non-vehicle testing, inspections and consulting. The driving centers division is providing services for driving schools. While the car rental and leasing division is covering services of vehicle renting and leasing to customers.
    The company was established in 2003 and its headquarter is in Singapore.

  • Singapore Stock Market – Why To Invest?

    Singapore Stock Market – Why To Invest?

    Singapore Stock Market - Why To Invest?
    Singapore stock market is strong and that fact causes investors from all meridians to invest in with a high level of safety.

    By Gorica Gligorijevic

    Singapore stock market is healthy and that fact brings investors from all meridians. The reason is that Singapore’s market provides them to invest with a high level of trust.

    According to the IMD World Competitiveness Rankings 2019, Singapore is rated as the worldā€™s most competitive economy. In 2019,Ā  it rose from third place to the top. This progress was caused by educated professionals, excellent technological base, and, most important, advantageous tax policies.Ā 

    The global investment community is observing Singapore for its trade and financial areas. According to some researches, this country could easily catch nearly a third of the worldā€™s agri-commodity trade by 2025.

    This success came due to geographical position, low tax rates, absence of corruption, experienced workforce, etc. Singapore stock market is the largest in Southeast Asia and works for more than 700 companies.

    You would like: Trade on the Indian stock market and win

    Is the Singapore stock market is cheaper?

    The Singapore stock market begins with the Singapore stock exchange or the SGX exchange. SGX Singapore is one of the 30 parts of the Straits Times Index (STI).

    Singapore’s benchmark Straits Times Index (STI) didnā€™t avoid the global sell-off last year, but the STI kept better so, Singapore’s shares are still cheaper. According to leading wealth managers, they are extremely attractive.

    This year, Singaporeā€™s stock market delivered beautiful returns to investors. This can confirm major investors such as UBS Global Wealth Management and Citi Private Bank. If you take a dividend as a referent, Singapore ranks very high.Ā 

    To show you the Singapore stock market is cheaper, let’s take a look at some data.

    The STI’s average PE ratio from 1973 to 2010 was 16.9 but in 1973 it was 35, which was the historical highest. The lowest P/E ratio was in 2009, and the current P/E, since August, 16, the ratio of 10.3.

    So, you can see that Singapore stocks are cheaper than average.

    We can also use the other method. The net-stock number shows that there is a lot of net-stocks, more than usual, which lead us to conclude they are cheap right now. You know that when supply is bigger than demandā€¦

    Where to invest in Singapore?

    Let’s say you want to buy Singapore stocks right now. Our suggestion is to find, for example, 10 – 15 cheapest shares and keep them to the next ranking. It is usually for one year. Of course, you shouldn’t buy any share just because it is cheap. The odds to hit the rotten are surprisingly high.

    Traders-Paradise gives you a track to follow. We made some selection, but maybe you will pick different.

    UOB-Kay Hian Holdings Limited with a market cap of 977.8 and a P/E ratio at 0.689 is a good choice. The further is SLB Development Ltd, market capitalization – 105.0, P/E ratio – 0.697. Or Sing Holdings Limited with a market cap 158.4 and with P/E ratio 0.899.

    These are just three suggestions and criteria to employ when investing in the Singapore stock market. But you are the one who has to decide where to invest in. We are here to give you a hint.

    The benefits of investing in the Singapore stock market

    * open and free economy

    * favorable tax rates

    * excellent technological infrastructure

    * high-skilled professionals

    * favorable P/E ratio

    * plenty of cheap net-stocks

    But there are some risks involved.

    Singapore’s economy depends on foreign trade. And, Singapore is deeply connected with China’s economy so the trade war between China and the US influences Singapore’s economy too.

    If you want to invest in foreign markets, the Singapore stock market is one of the best. Singapore has succeeded to develop an excellent business-friendly atmosphere.