In this blog post, we will discuss what you need to know about trading in Singapore. So, if you are thinking of opening a company in Singapore or already have a business there and want to expand your international reach, read on. We’ll cover the basics of importation and exportation duties, as well as how these can affect your bottom line.
Starting in February 1985, Singapore Exchange (SGX) was created to facilitate the growth of international capital markets. While its primary focus is on equity trading, SGX also facilitates derivatives and fixed income transactions via its debt-capital market platforms.
The SGX operates nine key business lines: equities, bonds; futures & options; commodities; Clearing House Electronic Sub register System (CHESS); Islamic finance services (IFCS), securities financing, clearing service providers, data products.
The exchange has developed into an international hub for the Asian financial market due to its efficient process management systems that provide a high level of stability. In 2016 alone, there were 300 million deals worth more than S$13 trillion traded on the SGX.
The Final Word
The key to using any exchange is understanding its products and processes to maximize your trading strategy. The most common product traded on the Singapore Exchange is equities, including ordinary shares and American Depositary Receipts (ADRs). An ADR represents a share in an international company whose primary listing was outside of Singapore; these can be bought or sold via market orders or limit orders.