【SRT】
SRT’s declines during the week were led by retail, data centre and health care subsectors and FCT, KDCREIT and CICT by individual REITs.
According to The Business Times, investors need not fear dilutive equity raisings as they could drive acquisition-led growth. Besides that, with rates falling as evident from low-risk Singapore T-bill yields falling (most recently, 6-month T-bill issued on 13th May 2025 fell to 2.3%), yield-driven investors have to look to yield alternatives like S-REITs.
$CSOP S-REITs INDEX ETF(SRT.SI)$ 2025 WTD Total Return: -0.56%
【MMF】
April’s CPI print showed weaker-than-expected headline and core inflation, and the market reacted positively. However, over the week, UST yields rose, and US nominals cheapened across the curve, especially in the intermediate sectors, resulting in UST curve bear flattening. Despite the weaker April CPI print, there is still uncertainty around the trade and monetary policy due to the 2nd April announcement.
On Friday 16th May 2025, Moody’s downgraded US credit rating from Aaa to Aa1, citing an expanding budget deficit with limited signs of improvement. As this downgrade follows that of Fitch and S&P, it was not totally unexpected, and market volatility is likely to stay milder than in early April.
We expect CSOPUMM to continue to deliver stable yield in the near term. As of 2025/05/16, the fund has a net yield at 4.13%. ^
$CSOP US Dollar Money Market ETF Unlisted Share Class P(HK0000503836)$ $MMF Net 7-day Yield: +4.13%
^ 7-day net yield is calculated based on calendar days and NAVs in 5-decimal.
【CN】
The 7-day repo rate fixed at 1.55% on Thursday, the effective date of the 50bp bank’s required reserve ratio cut, though maturing reverse repos, MLF loans, and larger government bond issuance offset some of the RMB1tn permanent liquidity provision. HSBC forecasts the fixing to stabilize between 1.55-1.60%, in line with improved funding conditions as compared to earlier this year.
Looking at YTD performance as of 2025/05/16, CYC/CYB’s NAV gained +0.11% in CNY and gained +1.43% in USD*.
* $ICBC CSOP CGB ETF SGD(CYC.SI)$ CYC/ $ICBC CSOP CGB ETF US$D(CYB.SI)$ CYB/ $ICBC CSOP CGB ETF US$A(CYX.SI)$ CYX USD NAV is converted based on benchmark FX, subject to rounding error
Global Market Outlook
【SG】Singapore Could Avert a Technical Recession this Year Following US-China 90-Day Tariff Truce
US and China 90-day suspension of their triple-digit reciprocal tariffs may support Singapore’s open economy in avoiding a technical recession this year, though tariff uncertainty remains. According to Channel News Asia, analysts are keeping their full-year Singapore economic growth forecasts of ~2%.
【US】Look Out for Upcoming Fed Speakers’ Commentary
Markets will be looking at upcoming Fed speakers’ commentary on the latest inflation data and its impact on Fed outlook.
Source: CSOP, Bloomberg, JPM, and HSBC as of 2025/05/16, except where otherwise stated.
Disclaimer
The investment product(s), as mentioned in this document, is/are registered under section 286 of the Securities and Futures Act (Cap. 289) of Singapore (the “SFA”). This material and the information contained in this material shall not be regarded as an offer or solicitation of business in any jurisdiction to any person to whom it is unlawful to offer or solicit business in such jurisdictions. This document is not to be construed as recommendations to buy/sell any above-mentioned securities, or any securities in the above-mentioned sectors or jurisdictions.
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Index Provider Disclaimer
SRT
The CSOP iEdge S-REIT Leaders Index ETF is not in any way sponsored, endorsed, sold or promoted by Singapore Exchange Limited and/or its affiliates (collectively, “SGX”) and SGX makes no warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the iEdge S-REIT Leaders Index and/or the figure at which the iEdge S-REIT Leaders Index stand at any particular time on any particular day or otherwise. The iEdge S-REIT Leaders Index are administered, calculated, and published by SGX. SGX shall not be liable (whether in negligence or otherwise) to any person for any error in the CSOP iEdge S-REIT Leaders Index ETF and the iEdge S-REIT Leaders Index and shall not be under any obligation to advise any person of any error therein. “SGX” is a trademark of SGX and is used by CSOP under license. All intellectual property rights in the iEdge S-REIT Leaders Index vest in SGX.
CYC/CYB/CYX
The ICBC CSOP FTSE Chinese Government Bond Index ETF (the “ETF”) has been developed solely by CSOP Asset Management Pte. Ltd. The ETF is not in any way connected to or sponsored, endorsed, sold, or promoted by the London Stock Exchange Group plc and its group undertakings (collectively, the “LSE Group”). FTSE Russell is a trading name of certain of the LSE Group companies. All rights in the FTSE Chinese Government Bond Index (the “Index”) vest in the relevant LSE Group company which owns the Index. FTSE® is a trademark of the relevant LSE Group company which own the Index and is used by any other LSE Group company under license. The Index is calculated by or on behalf of FTSE International Limited or its affiliate, agent, or partner. The LSE Group does not accept any liability whatsoever to any person arising out of (a) the use of reliance on or any error in the Index or (b) investment in or operation of the ETF. The LSE Group does not accept any liability whatsoever to any person arising out of the use of the ETF or the underlying data. The LSE Group makes no claim, prediction, warranty, or representation either as to the results to be obtained from the ETF or the suitability of the Index for the purpose to which it is being put by CSOP Asset Management Pte. Ltd.
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