Straits Times Index

The FTSE Straits Times Index (STI) is a capitalisation-weighted stock market index that is regarded as the benchmark index for the Singapore stock market. It tracks the performance of the top 30 companies listed on the Singapore Exchange. It is jointly calculated by Singapore Press Holdings (SPH), Singapore Exchange (SGX) and FTSE Group (FTSE).

FTSE Straits Times Index
STI performance between 1987 and 2012
Foundation1966
Operator
[1]
ExchangesSingapore Exchange
Constituents30
TypeLarge cap
Market capS$288.8 billion
(as of June 2018)[1]
Weighting methodCapitalization-weighted
WebsiteFTSE STI

History

The STI has a history dating back to 1966.[1] Following a major sectoral re-classification of listed companies by the Singapore Exchange, which saw the removal of the "industrials" category, the STI replaced the Straits Times Industrials Index (STII) and began trading on 31 August 1998 at 885.26 points, in continuation of where the STII left off. At the time, it represented 78% of the average daily traded value over a 12-month period and 61.2% of total market capitalisation on the exchange.[2] The STI was constructed by SPH, the Singapore Exchange and SPH's consultant, Professor Tse Yiu Kuen from the Singapore Management University (formerly from the National University of Singapore). It came under formal review at least once annually and was also reviewed on an ad hoc basis when necessary.[2] One such review, for instance, raised the number of stocks from 45 to 50, which took effect when trading resumed on 18 March 2005. This change reduced the index representation of the average daily traded value to 60%, while increasing its total market capitalisation to 75%.

The STI was again revamped and relaunched on 10 January 2008. As part of a new partnership between SPH, SGX and FTSE, the number of constituent stocks was reduced from about 50 to 30 and the index was re-calculated using FTSE's methodology.[3][4] Besides the STI, the partners also developed a family of indices including the FTSE ST Dividend Index, FTSE ST China Top tradable index, FTSE ST Catalist Index and FTSE ST Maritime Index as well as 19 Supersector and 39 Sector indices. For the purposes of computing the indices, stocks are classified using the Industry Classification Benchmark (ICB).

The family tree of the FTSE ST Index Series:[1]

  • FTSE ST All-Share Index
    • Straits Times Index
    • FTSE ST Mid Cap Index
    • FTSE ST Small Cap Index
    • FTSE ST China Index
      • FTSE ST China Top Index
    • FTSE ST Maritime Index
    • FTSE ST All-Share Industry Indices (10)
      • FTSE ST All-Share Supersector Indices (19)
        • FTSE ST All-Share Sector Indices (39)
      • FTSE ST Real Estate Index
        • FTSE ST Real Estate Investment & Services Index
        • FTSE ST Real Estate Investment Trusts Index
  • FTSE ST Fledgling Index

The creation of the FTSE ST Index Series was intended to facilitate the creation of financial products such as institutional and retail funds, exchange-traded funds (ETFs), derivatives contracts and other index-linked products.[5] There are currently two ETFs listed on the SGX that track the STI: the SPDR Straits Times Index ETF (formerly known as the streetTRACKS Straits Times Index Fund) (managed by State Street Global Advisors) and the Nikko AM Singapore STI ETF .

Record values

Category All-Time Highs
Closing3875.77Thursday, October 11, 2007[6][7]
Intraday3906.16Wednesday, October 7, 2007

Constituents

The 30 constituents of the STI as of 6 September 2019 are:[8]

List of STI constituents
Stock SymbolCompany
SGX: D05DBS Group Holdings
SGX: G13Genting Singapore PLC
SGX: Z74Singapore Telecom
SGX: U11United Overseas Bank
SGX: V03Venture Corporation
SGX: C31CapitaLand
SGX: O39Oversea-Chinese Banking Corp
SGX: C38UCapitaMall Trust
SGX: BS6Yangzijiang Shipbuilding Holdings
SGX: BN4Keppel Corp
SGX: C61UCapitaCom Trust
SGX: C09City Developments Limited
SGX: A17UAscendas Real Estate Investment Trust
SGX: S68Singapore Exchange
SGX: T39Singapore Press Holdings
SGX: U14UOL Group
SGX: C6LSingapore Airlines
SGX: S63Singapore Technologies Engineering
SGX: F34Wilmar International
SGX: N2IUMapletree Commercial Trust
SGX: Y92Thai Beverages
SGX: J37Jardine Strategic Holdings Ltd
SGX: S58SATS
SGX: J36Jardine Matheson Holdings Limited
SGX: C52ComfortDelGro Corporation
SGX: U96Sembcorp Industries
SGX: H78Hongkong Land Holdings
SGX: D01Dairy Farm International Holdings
SGX: C07Jardine Cycle & Carriage
SGX: E5HGolden Agri-Resources

References

  1. "Straits Times Index Factsheet" (PDF). FTSE.
  2. "The STI Index". The Business Times. Archived from the original on 23 July 2011. Retrieved 28 February 2011.
  3. "SPH, SGX and FTSE launch revamped Straits Times Index and new FTSE ST Index Series today". The Straits Times. 10 January 2008. Archived from the original on 13 November 2010. Retrieved 22 September 2019.
  4. "Straits Times Index (STI)". The Straits Times. Archived from the original on 12 November 2010. Retrieved 28 February 2011.
  5. "FTSE ST Index Series". FTSE. Archived from the original on 26 October 2009.
  6. "Shares surge to a new high". Today. 12 October 2007. Retrieved 16 August 2019.
  7. "STI closes 3.05% lower". Asiaone. 16 January 2008. Retrieved 16 August 2019.
  8. "Market Information". Singapore Exchange. Retrieved 31 August 2018.
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