SGX rebrands equities business to SGX Stock Exchange as STI marks 60th anniversary

SINGAPORE - The Singapore Exchange’s (SGX) equities business will now be known as the SGX Stock Exchange, said chief executive Loh Boon Chye at the Straits Times Index’s (STI) 60th anniversary celebration event on Jan 5.

This rebranding from SGX Securities follows the completion of the Equities Market Review Group’s recommendations in November 2024, and SGX working closely with partners to implement these ideas as actionable steps.

“As part of this journey, our equities business will adopt a clearer and more intuitive name going forward,” said Mr Loh on Jan 5.

The move reinforces equities as a core pillar of SGX Group’s multi-asset ambitions, while highlighting their importance to Singapore as an international financial centre, he added.

Mr Loh sees the recovery in initial public offering (IPO) activity in 2025 as an “encouraging start” and noted that the exchange looks forward to welcoming more listings, including those by innovative and forward-looking companies.

IPO activity on the SGX rebounded significantly in 2025, with more than $2.4 billion in total funds raised, the highest since 2019.

In 2025, the STI reached record highs and delivered a total return of over 25 per cent, standing shoulder to shoulder with leading global benchmarks such as the S&P 500 and Nasdaq, Mr Loh said.

Speaking at the event, National Development Minister and Monetary Authority of Singapore (MAS) deputy chairman Chee Hong Tat said the index had generated total returns of more than 100 per cent in Singapore-dollar terms over the past five years.

Now in its 60th year, the STI was established in 1966 as the Straits Times Industrials Index, tracking 30 blue-chip counters on the Stock Exchange of Malaysia and Singapore alongside the mining and rubber indexes.

It was rebranded to its current name in 1998.

Today, it mirrors Singapore’s transformation from an industrialising city-state to a trusted global enterprise and financial hub, anchored by the Republic’s banks, telecommunications, logistics and industrial heavyweights, said Mr Chee.

He added that the total market value of listed companies also crossed the $1 trillion mark in 2025, while the average daily traded value of securities for the full year was the highest since 2010.

“These numbers reflect improving market functionality and stronger two-way interest from market participants,” said Mr Chee.

He noted that the local exchange saw increased activity in small- and mid-cap counters, with turnover in this segment increasing by more than 40 per cent in 2025 compared with 2024, outpacing the rest of the market.

The iEdge Singapore Next 50 Index, launched in September 2025, also performed “admirably”, with total returns of more than 25 per cent during the year.

Mr Chee added that Singapore needs to build on the momentum from 2025 by enhancing liquidity in the local stock market, making trading easier and listings more attractive, and improving connections with other major markets.

The equities market is expected to benefit from a $30 million programme announced by the review group in 2025, which includes two grants to help listed companies better understand what drives their valuations and improve how they communicate with investors and other stakeholders.

Similar “value-up” initiatives in Japan and South Korea have driven sustainable growth for both countries’ bourses over the last two years, and SGX hopes to replicate their success here, said its head of research Chan Kum Kong.

At a panel discussion organised by SGX, panellists said that the success of the Value Unlock programme hinges on identifying the right kind of undervalued companies, in order to avoid falling into a “value trap” where companies do not have the intention or are not capable of evolving.

These companies would need to undergo some degree of fundamental change, which could happen in the form of ownership or management change, a refresh of the board of directors, or a shift in the market’s perception towards certain businesses and sectors, panellists noted.

“We are not investing in undervalued companies just for the sake of doing so. We need to see some kernel of recognition that change is necessary and can be forthcoming, so that change can drive the realisation of these companies’ intrinsic value,” said Mr Lai Yeu Huan, head of Asian equities at Amova Asset Management.

Mr Michael Tang, head of listing compliance at SGX RegCo, SGX’s regulation subsidiary, noted that the Value Unlock programme could lead to companies making better public commitments to their dividend policies as part of their engagement, instilling more confidence in investors.

He added that forward-looking statements, contrary to popular misperception, are permissible and regulators would not interfere as long as they are realistic and consistent with the companies’ internal models.