The Singapore Exchange (SGX) reported total securities market turnover of $19.6 billion in December 2021, which took place over 23 trading days.
According to the latest monthly statistics released on Jan 13, the amount represents a 19.6% y-o-y decline from the $24.39 billion over 22 trading days in December 2020.
On a month-on-month (m-o-m) basis, the figure is 30.4% drop from November 2021’s 21 trading days.
In cash equities, securities daily average value (SDAV) fell by 23.1% y-o-y and 36.5% m-o-m to $852 million.
In December 2021, derivatives volume inched by 5.1% y-o-y and 6.3% m-o-m to 19.3 million contracts, the highest in three months.
Derivatives daily average volume (DDAV) improved 3.7% y-o-y but slipped 1.3% m-o-m to 850,060.
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Equity index futures volume climbed 7% y-o-y and 6.95% m-o-m to 14.2 million contracts. This was led by a 22% y-o-y increase in SGX FTSE China A50 Index Futures and a 20% y-o-y gain in SGX MSCI Singapore Index Futures
For the October-to-December quarter, SGX Nifty 50 Index Futures volume was up 6% over the preceding quarter, while SGX Nikkei 225 Index Futures added 3%.
Commodity derivatives volume on SGX gained 8% y-o-y in December to 2.6 million contracts, amid a rebound in physical bulk trading activity and strong growth in freight derivatives. Benchmark iron ore derivatives rose 8% y-o-y while forward freight agreement (FFA) contracts jumped 47% y-o-y.
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Petrochemicals volume on SGX surged 54% y-o-y in December, driven by demand for monoethylene glycol (MEG) contracts, while SGX SICOM rubber futures – the global pricing bellwether for natural rubber – climbed 9% y-o-y.
The newly launched SGX-NZX dairy derivatives recorded total volume of 26,783 lots in the first full month of trading. For the July-to-December period, commodity derivatives volume increased17% over the same half-year in 2020, with FFAs rising 90%, petrochemicals gaining 28% and iron ore up 15%.
The higher volume seen in across equity and commodity derivatives were driven by risk-management demand, says SGX. This came amid cautious optimism that the global economic recovery remained on track.
In foreign exchange (forex), total futures volume fell 7% y-o-y and 1.2% m-o-m to 1.9 million contracts in December 2021. During the July-to-December period, futures volume climbed 6% y-o-y over the corresponding period in 2020, with SGX USD/CNH Futures up 9% and SGX INR/USD Futures up 3%.
As of the end of December 2021, the year-to-date (y-t-d) notional volume of SGX USD/CNH Futures – the world’s most widely traded international RMB futures contract – increased 4.2% y-o-y to US$1.05 trillion, with a single-day notional record high of US$11 billion achieved on Dec 9, 2021. Y-t-d notional volume of SGX INR/USD Futures added 2% y-o-y to US$404 billion.
In exchange-traded funds (ETFs), SGX reported combined assets under management (AUM) of its listed ETFs at $12.55 billion, up 47% y-o-y as at end-December 2021.
Market turnover value rose 11% y-o-y over the same period in 2020 to $2.4 billion. The overall product offering on SGX expanded to 35 ETFs from 30.
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ETF flows underlined increased interest by institutional investors in Asia’s fixed income markets, particularly in the Asia high yield bonds and China government RMB bonds.
In December, SGX-listed companies raised some $1.1 billion in secondary funds, bringing 2021’s full-year tally to $14.8 billion.
During the month, the amount issued from 111 new bond listings on SGX increased 118% y-o-y to S$28 billion. These included NTT Finance Corp.’s EUR1.5 billion dual-tranche senior notes, SPIC Preferred Company No. 2 Ltd.’s US$1.2 billion 3.45% preference shares as well as US$1 billion 4.3% senior notes due 2028 by Greenko Power II Ltd.
As at end-December 2021, the total market capitalisation value of 673 listed companies stood at $896.90 billion.
Shares in SGX closed 1 cent higher or 0.1% up at $9.65 on Jan 13.
Photo: Bloomberg
