SG Morning Call | About Half of Singapore Fund Managers Expect STI to Rise 5-10% in 2026, Potentially Hitting Fresh Records
Market Snapshot
Singapore stocks opened lower on Wednesday. STI down 0.6%; SingPost down 2.5%; NIO fell 1.5%; UOL, UOB down 1%.
Stocks in Focus
$SIA(C6L.SI)$: The national carrier on Tuesday announced that it launched and priced S$500 million in aggregate principal amount of notes due 2036. The notes, which are under the national carrier’s S$10 billion Multicurrency Medium Term Note Programme, will carry a fixed interest rate of 2.7 per cent per annum. They are expected to be issued on Jan 30. Shares of SIA closed 0.5 per cent or S$0.03 higher at S$6.40, before the announcement.
$Frasers L&C Tr(BUOU.SI)$: The manager of the trust on Tuesday said that it will hold an annual general meeting on Jan 26, 2026, to respond to recent queries from unitholders. Some of these questions included why management fees were paid in units instead of cash, which could lead to the dilution of new units and cause a drop in unit prices. The response from the manager noted how paying a portion of fees in units preserves the trust’s cash for distributions to unitholders, and for “growth opportunities”. The counter ended 1 per cent or S$0.01 higher at S$1.04 prior to the news.
SG Local News
About Half of Singapore Fund Managers Expect STI to Rise 5-10% in 2026, Potentially Hitting Fresh Records
Fund managers remain bullish on local equities, with 52 per cent of respondents in an Investment Management Association of Singapore (Imas) survey expecting the Straits Times Index (STI) to strengthen by 5 to 10 per cent by the end of 2026.
This optimism is underpinned by resilient bank earnings, attractive dividend yields as well as proactive government measures to revitalise the equity market.
With the STI around the 4,500 level at the end of November last year when the survey was conducted, about half of respondents expect the benchmark index to rise to the 4,800-to-5,020 range by the year’s end, potentially setting fresh records.
State Department Approves Potential Sale of Aircraft, Torpedoes to Singapore for $2.3 Billion, Pentagon Says
The U.S. State Department has approved the potential sale of maritime patrol and reconnaissance aircraft and lightweight torpedoes and related equipment to Singapore in a deal valued at an estimated $2.3 billion, the Pentagon said on Tuesday.
The principal contractor is Boeing, according to the Pentagon.
S’Pore-Based Fintech Firm 2C2P Courts Merchants Entering South-East Asia
Singapore-headquartered payments firm 2C2P is courting merchants of Ant International looking to expand in South-east Asia, while tapping the expertise of the global financial technology provider.
“We are handling a lot of global clients who want to open their businesses in multiple countries. At the same time, we will invest in digital onboarding across the South-east Asia market. We make sure we drive efficiency for the merchant and for us internally,” said 2C2P chief executive officer-elect Worachat Luxkanalode.
Ant International’s ecosystem includes Alipay+, which enables cross-border payments, and merchant payment and digitalisation services provider Antom. 2C2P is the South-east Asia arm of Antom.
$(BUOU.SI)$ $(C6L.SI)$ $(STI.SI)$Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
