Broker Name: Lim & Tan Securities
Date of Report: 10 March 2026
Excerpt from Lim & Tan Securities report.
- Singapore’s FSSTI Index saw a decline, driven mainly by weakness in property developers and S-REITs due to higher interest rate expectations and rising inflation from higher oil prices. Banks, which benefit from higher rates, outperformed developers, and all three major Singapore banks (DBS, OCBC, UOB) were upgraded to ‘Accumulate’ with a preference for DBS.
- Developers are under pressure from higher construction costs and strategic asset reviews are ongoing; select developer and hospitality REIT stocks are now seen as offering value due to low valuations and attractive yields.
- Market flows: Institutional investors were net sellers, while retail investors were net buyers of Singapore stocks in early March 2026. Sectors such as banks and REITs saw significant fund flows.
- Macro news: US small business data suggests easing labor market conditions and mixed growth signals, prompting defensive positioning in asset allocation. China-based companies like Ecarx are restructuring to reduce Chinese ownership and expand globally amid US-China tensions.
- Company actions: There were notable share buybacks and insider transactions across several Singapore-listed companies. A list of upcoming dividends and ex-dividend dates was also provided.
Report Summary
- Singapore’s market is challenged by inflation and higher rates, with developers and S-REITs underperforming, but banks upgraded due to better yield prospects.
- Opportunities are seen in select developers, hospitality trusts, and REITs after recent sharp share price declines.
- Global macro conditions remain mixed, leading to neutral equity stance but a preference for government bonds.
Above is an excerpt from a report by Lim & Tan Securities. Clients of Lim & Tan Securities can be the first to access the full report from the Lim & Tan Securities website: www.limtan.com.sg
