Broker: CGS International
Date of Report: July 21, 2025
Singapore’s Equity Market Ignites: MAS Injects S\$1.1bn and Broadens Research Under EMDP
Introduction: Major Liquidity Boost for Singapore Equities
Singapore’s equity market is set to experience a significant uplift as the Monetary Authority of Singapore (MAS) takes bold strides under the S\$5bn Equity Market Development Programme (EMDP). With the appointment of three leading asset managers and the initial allocation of S\$1.1 billion to Singapore-listed equities, coupled with an additional S\$50 million grant to enhance equity research and listing support, the landscape for investors is rapidly evolving. This report, prepared by CGS International, delivers a comprehensive analysis of these market-moving measures, the anticipated beneficiaries, and the updated high-conviction stock picks for 2025.
MAS’s S\$5bn EMDP: Catalyzing Liquidity and Market Depth
MAS has announced the first tranche of appointments under the S\$5bn EMDP, naming Avanda Investment Management, Fullerton Fund Management, and JP Morgan Asset Management to manage an initial S\$1.1bn injection into Singapore equities. The next phase of manager selection is expected by Q4 2025, signaling further potential liquidity boosts.
- Initial S\$1.1bn deployed with three top-tier asset managers
- Additional managers to be appointed for the remaining funds by Q4 2025
Strengthening the Equity Research Ecosystem and Listing Support
To further deepen the equity market’s appeal and transparency, MAS has allocated S\$50 million from the Financial Sector Development Fund (FSDF) to bolster the Grant for Equity Market Singapore (GEMS) scheme through 2028. The enhancements are designed to amplify research coverage, especially for small- and mid-cap companies, and foster investor engagement.
- Research Development Grant: Up to S\$6,000 per research report, with S\$1,000 bonuses for initiations and pre-IPO/newly listed company coverage
- New grants for research dissemination via digital media
- Support for research on private companies with strong local presence
- Listing Grant: Expanded to offer S\$40,000 per Depository Receipt (DR), up to S\$250,000 for primary listed ETFs, and S\$180,000 for cross-listed/feeder ETFs
Investor Protection and Market Reforms
MAS is committed to fortifying investor protection, focusing on enabling legal action, facilitating self-organization, and improving access to funding. Additional initiatives are being reviewed to enhance shareholder engagement, strengthen the Catalist board’s value proposition, modernize market-making mechanisms, broaden retail investor access, and streamline post-trade custody arrangements. The Code of Corporate Governance review is also underway.
High-Conviction Stock Picks: Winners from Value Unlocking and EMDP
CGS International has updated its high-conviction list, removing companies that have already outperformed and adding new names poised to benefit from EMDP-driven liquidity and sector catalysts. The new additions include SGX, Yangzijiang Shipbuilding (YZJSGD), LHN, and Hong Leong Asia (HLA).
- SGX: Expected to benefit from a virtuous cycle of increased trading and research activity
- YZJSGD: A laggard in the industrials sector, offering attractive valuations
- LHN: Potential monetization of co-living business as a key catalyst
- HLA: Re-rating potential in the construction sector
Comprehensive Singapore Market Overview: Companies Above US\$1 Billion Market Cap
| Ticker |
Name |
Market Cap (US\$m) |
P/BV (x) |
P/E (x) |
3m Avg Daily Value (US\$m) |
Equity Float (US\$m) |
Liquidity (vol/eqy float) |
| HOBEE SP |
HO BEE LAND LTD |
1,043 |
0.36 |
12.24 |
0.35 |
156.1 |
0.1% |
| FPL SP |
FRASERS PROPERTY LTD |
2,778 |
0.38 |
13.49 |
0.15 |
374.9 |
0.0% |
| SPLG SP |
SINGAPORE LAND GROUP LTD |
2,840 |
0.43 |
12.88 |
0.29 |
180.3 |
0.1% |
| HKL SP |
HONGKONG LAND HOLDINGS LTD |
13,849 |
0.47 |
– |
17.01 |
1,006.1 |
0.3% |
| HPHT SP |
HUTCHISON PORT HOLDINGS TR-U |
1,568 |
0.49 |
18.92 |
0.81 |
6,302.2 |
0.1% |
| UOL SP |
UOL GROUP LTD |
4,479 |
0.50 |
16.09 |
9.85 |
520.0 |
0.3% |
| OUEREIT SP |
OUE REAL ESTATE INV TRUST |
1,284 |
0.52 |
– |
0.47 |
2,036.0 |
0.1% |
| SUN SP |
SUNTEC REIT |
2,558 |
0.55 |
28.94 |
4.22 |
1,687.2 |
0.2% |
| JM SP |
JARDINE MATHESON HOLDINGS |
15,579 |
0.55 |
– |
13.59 |
240.7 |
0.1% |
| LREIT SP |
LENDLEASE GLOBAL COMMERCIAL |
1,008 |
0.58 |
22.08 |
2.50 |
2,412.4 |
0.2% |
| CIT SP |
CITY DEVELOPMENTS LTD |
4,091 |
0.60 |
27.61 |
10.41 |
540.9 |
0.4% |
| OLG SP |
OLAM GROUP LTD |
2,961 |
0.61 |
71.13 |
2.50 |
1,176.3 |
0.2% |
| HPAR SP |
HAW PAR CORP LTD |
2,163 |
0.67 |
12.19 |
1.68 |
101.7 |
0.1% |
| CLCT SP |
CAPITALAND CHINA TRUST |
1,021 |
0.67 |
– |
1.56 |
1,011.4 |
0.2% |
Mid-Cap and Small-Cap Standouts: Companies Between US\$200m and US\$1bn
| Ticker |
Name |
Market Cap (US\$m) |
P/BV (x) |
P/E (x) |
3m Avg Daily Value (US\$m) |
Equity Float (US\$m) |
Liquidity (vol/eqy float) |
| YLLG SP |
YANLORD LAND GROUP LTD |
879 |
0.21 |
– |
1.80 |
622.6 |
0.6% |
| SIIC SP |
SIIC ENVIRONMENT HOLDINGS |
324 |
0.22 |
3.85 |
0.02 |
1,082.5 |
0.0% |
| HFC SP |
HONG FOK CORP LTD |
526 |
0.23 |
22.30 |
0.20 |
339.0 |
0.1% |
| OUE SP |
OUE LTD |
651 |
0.26 |
– |
0.13 |
306.4 |
0.0% |
| TSH SP |
TUAN SING HOLDINGS LTD |
272 |
0.29 |
155.56 |
0.15 |
498.5 |
0.1% |
Alpha Picks for 2025: Top Large-Cap and Small-Cap Recommendations
| Company |
Ticker |
Price (local) |
Target Price |
Total Return (%) |
Market Cap (US\$m) |
CY25F P/E (x) |
CY26F P/E (x) |
3-yr EPS CAGR (%) |
CY25F P/BV (x) |
CY26F P/BV (x) |
ROE (CY25F) |
ROE (CY26F) |
Div Yield (CY25F) |
Div Yield (CY26F) |
| Keppel Ltd |
KEP SP |
8.08 |
9.28 |
19.2% |
11,434 |
17.0 |
15.6 |
7.7% |
1.29 |
1.26 |
7.5% |
8.2% |
4.3% |
4.5% |
| SATS Ltd |
SATS SP |
3.27 |
3.60 |
11.6% |
3,808 |
19.0 |
16.2 |
23.2% |
1.79 |
1.66 |
9.6% |
10.6% |
1.6% |
1.9% |
| Singapore Exchange |
SGX SP |
15.79 |
18.30 |
18.2% |
13,159 |
25.5 |
24.1 |
n/a |
7.41 |
6.63 |
29.2% |
28.1% |
2.3% |
2.4% |
| UOL Group |
UOL SP |
6.81 |
8.20 |
23.0% |
4,486 |
17.1 |
15.4 |
11.6% |
0.49 |
0.48 |
2.9% |
3.2% |
2.6% |
2.6% |
| Yangzijiang Shipbuilding |
YZJSGD SP |
2.40 |
2.72 |
18.4% |
7,365 |
7.6 |
6.6 |
9.2% |
1.73 |
1.49 |
24.2% |
24.4% |
4.9% |
5.6% |
| CSE Global |
CSE SP |
0.64 |
0.68 |
10.5% |
357 |
11.6 |
10.8 |
5.4% |
1.59 |
1.51 |
13.9% |
14.6% |
4.3% |
4.6% |
| Food Empire Holdings |
FEH SP |
2.26 |
2.73 |
24.2% |
931 |
15.4 |
14.1 |
12.3% |
2.88 |
2.60 |
19.5% |
19.4% |
3.4% |
3.4% |
| Hong Leong Asia |
HLA SP |
1.69 |
1.95 |
18.0% |
986 |
13.2 |
10.8 |
15.8% |
1.17 |
1.10 |
8.9% |
10.5% |
2.7% |
3.2% |
| LHN Ltd |
LHN SP |
0.88 |
1.00 |
17.0% |
293 |
11.0 |
8.7 |
3.4% |
1.34 |
1.21 |
12.2% |
14.5% |
3.4% |
3.4% |
| Marco Polo Marine |
MPM SP |
0.06 |
0.06 |
11.1% |
161 |
7.7 |
6.3 |
n/a |
0.95 |
0.84 |
13.2% |
14.2% |
2.0% |
2.0% |
| Q&M Dental Group |
QNM SP |
0.42 |
0.49 |
18.5% |
310 |
21.7 |
19.8 |
12.2% |
3.40 |
3.08 |
15.9% |
16.3% |
1.8% |
2.0% |
Sector and Country Outlooks: Ratings Definitions and Distribution
CGS International’s stock ratings are based on expected total returns over a 12-month horizon:
- Add: Total return expected to exceed 10%
- Hold: Total return between 0% and 10%
- Reduce: Total return below 0%
Sector and country ratings follow a similar overweight, neutral, and underweight framework, allowing investors to position portfolios dynamically.
For the quarter ending June 30, 2025:
- Add: 70.6% of covered stocks
- Hold: 20.5%
- Reduce: 8.9%
- Total companies under coverage: 561
Conclusion: Singapore’s Market Poised for Growth and Transformation
The coordinated efforts by MAS and the FSDF represent a pivotal moment for Singapore’s capital markets, with a multi-faceted approach to liquidity, research, investor protection, and market structure. Investors and market watchers should closely track the evolving landscape, as new asset manager appointments and grant enhancements are likely to spur both trading activity and fundamental value discovery. The updated stock picks and comprehensive market data provide a robust roadmap for navigating Singapore’s equity market in 2025 and beyond.
