Jason Saw: «We’ve Already Seen the Market Reacting»
Singapore’s push to reinvigorate its capital markets is off to a flying start with a major S$1.1 billion injection under the Monetary Authority of Singapore’s Equity Market Development Programme, EQDP. With three heavyweight asset managers now appointed, market insiders are already seeing momentum build, as finews.asia reports.
«The initial capital injection of S$1.1 billion is substantial and signals strong momentum under the Equity Market Development Programme,» said Jason Saw, Group Head of Investment Banking at CGS International. «All three appointed managers are credible and experienced institutions, which makes them strong anchors to kick off the initiative.»
The programme is designed to deepen liquidity and attract broader participation across Singapore’s equity markets. Saw added: «We look forward to the next phase of manager appointments to broaden market participation and deepen liquidity.»
Market Already Reacting
The effect is already being felt. «We’ve already seen the market reacting, especially among undervalued names which are now achieving better valuations,» Saw noted. «The momentum should continue, particularly for small- and mid-cap stocks.»
In equity markets, marginal buying power can move mountains — and Saw believes this is exactly the kind of shift that will make a real difference: «At the end of the day, marginal buying matters, and we believe this programme will move the needle.»
Big Expectations for Local Allocations
Although the appointed managers haven’t yet laid out their investment blueprints, Saw is confident of one thing: Singapore stocks are in play. «We expect a meaningful allocation into Singapore-listed equities. This is encouraging news for institutional, high-net-worth, and retail investors alike.»
According to Saw, the managers have a dual mandate – returns and responsibility: «The managers have a dual responsibility: to generate returns and to support market liquidity. We believe well-governed, fundamentally sound companies, particularly those previously overlooked, will benefit from better valuation support.»
