Mapletree Industrial Trust replaces SPH in Straits Times Index

Mapletree Industrial Trust replaced Singapore Press Holdings in the Straits Times Index after the June quarterly review. PHOTO: BLOOMBERG

SINGAPORE - Mapletree Industrial Trust has replaced Singapore Press Holdings (SPH) in the Straits Times Index (STI) after the June quarterly review, FTSE Russell announced on Thursday (June 4).

The STI reserve list, comprising the five highest-ranking non-constituents of the STI by market capitalisation, will be Keppel DC Real estate investment trust (Reit), Suntec Reit, NetLink NBN Trust, Frasers Logistics & Industrial Trust and Keppel Reit.

Stocks on the reserve list will replace any constituents that become ineligible as a result of corporate actions, before the next review.

FTSE Russell has partnered with SPH, publisher of The Straits Times newspaper (ST), and Singapore Exchange (SGX) to jointly calculate Singapore's main stock market benchmark.

The STI is widely followed by investors as the benchmark for the Singapore market and is used as the basis for a range of financial products including exchange traded funds, warrants, futures and other derivatives.

FTSE Russell is the index administrator.

An SPH spokesman said: "The global economy, including Singapore, has been battered by the Covid-19 pandemic. SPH has not been spared in this challenging business environment.

"However, we have a resilient balance sheet to weather the impact from Covid-19. We will continue to transform the media business with digital innovations and grow our recurring income as well as diversify our revenue streams.

"We also review our existing businesses and investments regularly with a view to recycling capital and enhancing capital management with the aim of delivering sustainable shareholder returns."

All changes from this review take effect from the start of trading on June 22.

The next review will be in September.

The indexes are reviewed quarterly in accordance with the index ground rules and to facilitate the inclusion of eligible initial public offering stocks.

The FTSE ST methodology ensures that the indexes accurately represent the investable universe for benchmarking purposes and can be easily replicated as the basis of index-linked products.

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