Singapore's Strategic Move to Boost Stock Market

In a significant step to enhance its stock market's functionality, Singapore has decided to allocate $850 million to three selected fund managers. This initiative is part of the Monetary Authority of Singapore's (MAS) comprehensive review and the Equity Market Development Programme (EQDP) launched in August last year.

Selected Fund Managers: Avanda Investment Management, JP Morgan Asset Management, and Fullerton Fund Management, the latter owned by Temasek, Singapore's sovereign fund, have been chosen for their alignment with EQDP's goals and their commitment to Singapore's asset management growth.

Wide Interest from Asset Managers

Over 100 global, regional, and local asset managers have expressed interest in the co-investment opportunities under the EQDP. MAS plans to review submissions in batches to expedite the selection process and capital deployment.

Program Objectives and Market Impact

The SGD5 billion program aims to focus on Singapore-listed equities, encouraging investment beyond large-cap stocks. Since the announcement of the review group, the Straits Times Index has seen a notable 23.9% increase as of July 18.