FRASERS Centrepoint Trust will be added to the Strait Times Index (STI), Singapore’s main stock market benchmark, on Mar 18, replacing Philippine liquor giant Emperador.
The outcome of the latest STI quarterly review was announced on Thursday (Feb 29).
In a bourse filing, FTSE Russell, together with SGX Group and SPH Media, also listed the five highest ranking non-constituents of the STI by market capitalisation, which will make up the latest STI reserve list.
They are CapitaLand Ascott Trust, ComfortDelGro, Keppel DC Reit, Keppel Reit, and Suntec Reit.
Stocks on the reserve list will replace any constituent stocks that become ineligible as a result of corporate actions before the next review.
All changes from the March 2024 review will take effect at the start of business on Mar 18, they added.
The next review takes place in June.
The STI – jointly calculated by FTSE Russell, in partnership with SPH Media Trust, publisher of The Straits Times newspaper, and Singapore Exchange (SGX Group) – is reviewed quarterly in accordance with the index ground rules and to facilitate the inclusion of eligible initial public offering stocks.
The index is backed by a methodology ensuring that it accurately represents the investable universe for benchmarking purposes and can be easily replicated as the basis of index-linked products, the parties noted.
It is in turn widely followed by investors as the benchmark for the Singapore market and is used as the basis for a range of financial products including Exchange Traded Funds, warrants, futures and other derivatives. FTSE Russell is the index administrator.
