Broker: DBS Group Research
Date of Report: 24 July 2026

Excerpt from DBS Group Research report.

Report Summary

Stock Focus: Singapore Exchange Ltd (SGX)
Ticker: SGX SP
Action: BUY
Target Price: SGD 26.40
Current Price (as of report): SGD 23.70

• Key Idea: SGX has entered a strategically significant license agreement with MSCI, gaining access to up to 100 new derivatives contracts spanning developed and emerging markets, with 40 futures and options launching in the initial phase. This partnership materially expands SGX’s addressable institutional customer base and enhances its position as a global derivatives powerhouse.
• Implications: The agreement strengthens SGX’s medium-term growth prospects in derivatives and creates cross-selling opportunities with its FX products. While near-term earnings contribution is expected to be limited as liquidity builds, the deal is seen as adding meaningful long-term upside and supporting a higher valuation multiple for SGX.
• Highlights: SGX’s new access includes MSCI’s flagship global developed market benchmarks, Asia-Pacific single-country indexes, and EM Asia sector indexes. This move comes after a previous loss of MSCI Taiwan contracts in 2020, which had negatively impacted SGX’s share price. Successful liquidity formation in these new contracts can drive substantial medium- to long-term earnings growth.

Recommendation: BUY, with a 12-month target price of SGD 26.40.

Above is an excerpt from a report by DBS Group Research. Clients of DBS Group Research can access the full research report from the broker’s website.
DBS Group Research research website