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OCBC Raises Fair Value For SGX To $14.09, Sees Higher Volatility

Edge04-16

OCBC Investment Research, citing heavier-than-average trading volume seen in March and expected near term volatility, has raised its fair value for Singapore Exchange to $14.09 from $13.68.

In March, securities daily average value increased by 25% y-o-y to a three-year high of $29.7 billion. Several of the Straits Times Index component stocks reached record trading volumes of 5 to 6 times their 6-month average.

"Furthermore, SGX will also benefit from increased hedging activities for its derivatives business given heightened market volatility," says OCBC in its April 10 report.

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  • KienBoon
    ·04-16
    This is good news for SGX indeed. In view of the increased trading volume, it will be beneficial for SGX in terms of revenue as well as intangible benefits such as attracting more investors and enhanced reputation as a trading exchange. Hope that SGX will continue to attract more listings into the main board and catalist board progressively. Understand the recent one is Vin's Holdings. That is a good start indeed after the government incentives are implemented. Cheers SGX. [Smile]  Go go go. 
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