SINGAPORE AIRLINES LTD (SGX:C6L)
THAI BEVERAGE PUBLIC CO LTD (SGX:Y92)
SINGTEL (SGX:Z74)
GENTING SINGAPORE LIMITED (SGX:G13)
Singapore Fund Flow - Banks & Aviation Led The Way In February 2021
- In February, the banking and aviation sectors saw the most funds inflow by institutional investors but retail investors were net sellers. In particular, Singapore Airlines (SGX:C6L) remained a favourite stock and its market capitalisation is now back above its pre-COVID-19 levels.
- Four notable stocks with institutional and retail investors taking opposing views were Singapore Airlines (SGX:C6L), Thai Beverage (SGX:Y92), SingTel (SGX:Z74) and Mapletree Industrial Trust (SGX:ME8U).
- In the first week of March, institutional investors continued to buy financials while retail were net sellers.
A busy week in the last week of February.
- We note that the week with the most movement in net buys and sells was the last week of February (week of 22 Feb 21). We believe that market concerns regarding the “imminent” onset of inflation, given that US new export orders and order backlogs are building, coupled with the US 10-year Treasury rate heading towards the critical 1.5% level, were the key drivers of market sentiment.
Banks and aviation led the way.
- In our analysis of Singapore market fund flows for Feb 21, we saw that the banking and aviation sectors were among the top buys for institutional investors, but the retail market saw it differently and were net sellers for these two sectors. For DBS (SGX:D05), despite the burgeoning headaches in India (see report: DBS Group - UOB Kay Hian 2021-02-19: More Headaches From Lawsuits In India), it led as the bank with the top stock bought by institutional investors within the financials sector.
- See also
SIA remains a favourite within the institutional market.
- Singapore Airlines (SGX:C6L) was consistently within top institution buys during the four weeks of February. With the global rollout of various COVID-19 vaccines proceeding, it would appear that sentiment is in favour of aviation stocks.
- In addition, flows into aviation-specific ETFs, such as the US Global Jets ETF (JETS) which is a global airline ETF, may also explain part of the fund flows into the sector. For example, Hong Kong-listed aviation stocks such as China Southern and BOC Aviation have also seen strong share price performance in the past few weeks.
Where did institutional and retail opinions diverge?
- Based on the top 20 most traded stocks for institutional and retail interest, the divergence in stock calls were:
- Singapore Airlines (SGX:C6L) with institutional buying of S$133m of stock and retail selling of S$193m,
- Thai Beverage (SGX:Y92) with institutional selling worth S$157m and retail buying of S$64m,
- SingTel (SGX:Z74) with S$60m in net sales from institutions and net purchases from retail worth S$77m, and
- Mapletree Industrial Trust (SGX:ME8U) with institutional selling of S$43m worth of stock while retail investors bought S$54m.
Notable actively-traded stocks.
- Apart from the financials and aviation stocks, some of the most actively traded companies for both the institutional and retail segments were
- Yangzijiang Shipbuilding (SGX:BS6) with a total of S$107m bought and S$74m sold, and
- Venture Corp (SGX:V03) with S$45m bought and S$55m sold.
- See also
Singapore top stock picks.
- Our top picks for Singapore large-cap stocks are
- In the small/mid-caps, we like
See also..
- See also recent reports:
- Recent SGX market update:
Singapore Research
UOB Kay Hian Research
|
https://research.uobkayhian.com/
2021-03-10
SGX Stock
Analyst Report
4.470
SAME
4.470
0.950
SAME
0.950
2.840
SAME
2.840
1.080
SAME
1.080
