Lim & Tan Securities
Date of Report: 19 September 2025
Singapore Market Update September 2025: Key Insights, Stock Picks, and New Listings for Investors

Financial Market Overview: September 2025 Snapshot

The Singapore market continues its strong performance in 2025, with the FSSTI Index closing at 4,312.6, marking a 1.0% gain for the month and a robust 13.9% increase year-to-date. Regional indices also posted healthy returns, with standout performance from Hong Kong’s Hang Seng Index (HSI), which surged 32.3% YTD. The daily market value reached S$1,416.7 million, supported by a volume of 2,357 million shares. Key interest rates remain subdued, with Singapore’s 3-Month SORA down 51% YTD and 10-Year Bond yields at 1.8% 1.

Major Commodities and Interest Rates

Gold continues as a standout commodity, up 38.7% YTD, while crude oil remains under pressure at -11.4% YTD. The Baltic Dry Index, a key barometer for shipping and trade, soared 118.7% YTD, reflecting strong global maritime demand. Singapore’s 10-Year bond yields remain low, supporting the investment case for equities 1.

Stock Highlight: Hongkong Land (HKL)

Hongkong Land (HKL, US$6.65) has announced a strategic divestment of its MCL Land residential development business to Sunway Labuan Investment Ltd, part of Sunway Berhad. This transaction, valued at SGD739 million (USD579 million), advances HKL’s 2035 vision to focus on ultra-premium commercial properties in Asian gateway cities. The sale is expected to close by year-end, subject to standard conditions.
Key points:

• Capital Recycled (2024 YTD): USD2 billion (50% of HKL’s 2027 target)
• Sale proceeds will be used to reduce net debt and fund a US\$150 million increase in the share buyback programme
• Buyback programme now totals US\$350 million, extending through 31 December 2026
• Current market cap: US\$14.4 billion
• Valuations: 22.8x forward PE, 0.5x PB, 3.5% dividend yield
• Consensus target price: US\$6.97 (+4.8% upside)

The broker maintains a BUY recommendation on Hongkong Land [[1]].

Centurion Accommodation REIT: Landmark IPO on SGX

Centurion Asset Management Pte. Ltd. has registered the final prospectus for Centurion Accommodation REIT, set to list on the Singapore Exchange Main Board. The REIT’s initial portfolio comprises 14 assets valued at S$1.8 billion, with strong exposure to purpose-built worker accommodation in Singapore, student accommodation in the UK, and Australia.
Key IPO details:

• Offer Price: S\$0.88 per Unit
• Projected DPU Yield: 7.47% (FY26), 8.11% (FY27)
• Market Cap at Listing: S\$1.5 billion
• Shareholding: Sponsor (45.8%), Cornerstone Investors (35.7%), Public/Institutional (15.2%), Juniper Vendor (3.3%)
• Leverage Ratio: 20.9% at IPO, rising to 31.0% post-acquisition
• Strong institutional support with 16 cornerstone investors

The broker recommends “Subscribe” for this new listing, citing attractive yields and robust fundamentals [[2]].

Top Singapore Stocks: Dividend Yields, Value Picks, and Forward Multiples

• Yangzijiang Shipbuilding and Thai Beverage lead in lowest consensus forward P/E.
• Hongkong Land, UOL Group, and Jardine Matheson are top picks for lowest trailing Price/Book.
• Yangzijiang Shipbuilding, DFI Retail Group, and Genting Singapore rank lowest on trailing EV/EBITDA [[2]].

Key Share Transactions: Acquisitions, Disposals, and Buybacks

Other notable buybacks include Hongkong Land (222,000 shares at US$6.73), IFAST Corp Ltd (58,700 shares at $8.60), OCBC (250,000 shares at $16.61), and UOB (100,000 shares at $34.90) 4.

Institutional and Retail Fund Flows: Sector Trends

For the week of 8 September, institutional investors recorded net sales of S$9.1 million, while retail investors made a modest net purchase of S$0.5 million. Notable institutional net buys included DBS, UOL, and ST Engineering. UOB led retail net buys, followed by SIA and OCBC. Sector-wise, financials, real estate, and technology were active, with REITs and telcos seeing varied flows across weeks 5.

Dividend Calendar: Upcoming Payouts and Special Distributions

A wide array of companies announced interim, final, and special dividends. Highlights include DBS (60 cts interim + 15 cts special), UOB (85 cts interim + 25 cts special), Venture Corp (25 cts interim + 5 cts special), and SGX (10.5 cts final). Other companies with notable distributions include Mapletree Logistics Trust, Capitaland Ascott Trust, Keppel Ltd, Comfort Delgro, and Starhub, among others 7.

Macro Trends: Art Lending, Hong Kong Property, and US Markets

The art lending market is gaining traction in Asia, with Parkview Group in Hong Kong seeking loans backed by high-value art collections. Financial pressures in Hong Kong’s property sector have led Parkview to explore alternative funding, including a HK$300 million loan from PAG and refinancing talks for a US$940 million facility.
In the US, BCA Research highlights diverging views on S&P 500 earnings, with margin compression a risk for EPS. Defensive asset allocation remains the consensus, with Europe and Japan positioned for relative strength over US equities. Globally, export orders are contracting, and input price pressures are concentrated in the US, while disinflation continues in Europe and the UK 3.

SGX Watch-List: Companies Under Monitoring

32 companies are currently on the SGX Watch-List, including Amos Group, Ascent Bridge Ltd, British And Malayan Holdings, CH Offshore, Cosmosteel, Datapulse Technology, and more. Latest additions in 2H2023 include Addvalue Technologies, Renaissance United, Telechoice, Tiong Seng Holdings, Global Invacom Group, Green Build Technology, Keong Hong, and Camsing Healthcare 9.

What’s Ahead: Key Dates and Events in September 2025

Investors should note the key events and dividend payout dates throughout September, with Centurion Accommodation REIT scheduled to commence trading on 25 September. The public ATM tranche closes on 23 September at 12pm, marking an important deadline for interested investors 8.

Conclusion: Singapore Market Outlook Remains Constructive

With robust equity performance, attractive REIT and dividend opportunities, and strong institutional interest, Singapore’s market outlook remains constructive. Strategic moves by leading companies like Hongkong Land and landmark listings such as Centurion Accommodation REIT underscore the dynamism and resilience of the Singapore investment landscape. Investors are encouraged to stay engaged with sector trends, fund flows, and upcoming corporate actions to capture emerging opportunities.