06 October 2017
Leveraged Products Reached Turnover Record in September
  • Since the launch of a new product class, a new turnover record in SGX listed leveraged products was reached in September of SGD 1.9 billion or SGD 96 million per day. This amount consisted of S$1.2 billion in Structured Warrants and SGD 758 million in DLCs. This activity level has not been seen since May 2008.
  • Structured Warrant trading made up more than three-fifths of the turnover in SGX listed leveraged products during September. Structured Warrant Turnover for the month was up 52% from September 2016 turnover and up 277% from September 2015.
  • Lion Global Investors (LGI), together with Phillip Capital Management, will launch their new REITs ETF – the Lion-Phillip S-REIT ETF (Stock code: CLR; Bloomberg: SREITS SP) – on SGX on 30th Oct 2017.

Description: Description: Description: Description: cid:image002.png@01D2D9FB.E03E3E80


Revival of Singapore Leveraged Products market


Volumes in SGX listed Structured Warrants had been in decline since their peak in 2007. As has been shared via this medium many times, we have seen a reversal since Q1 2016 where warrant volumes sowed a positive trend again. Due to the launch of a new product class – Daily Leverage Certificates (DLCs) which are our new first-in-Asia products on SGX – a new turnover record was reached in September of SGD 1.9 billion or SGD 96 million traded on average per day.


The daily average turnover of leveraged products accounted for 8.8% of the overall Singapore securities market daily average in September 2017.



Structured Warrants


August and Sept have seen higher volatility in the HSI resulting in higher trading activity in especially the SGX listed HSI Structured Warrants. Majority of turnover was generated in Macquarie warrants. Other active issuers are UBS, Vontobel and JP Morgan.


Daily Leverage Certificates


SGX launched DLCs in mid-July this year,  attracting new traders to our market, generating additional turnover (SGD 758 million in Sept). Wednesday 4 October actually showed one of the largest daily moves for a 5x DLC since the launch, the HSCEI 5x Long was up 18.5%, showcasing the potential of DLCs. In September around 70% of DLC turnover was in SiMSCI DLCs (unlike Structured Warrants where majority in turnover typically is generated in HSI warrants). On 5 October, total turnover since launch on DLCs equalled SGD 1 billion, a major milestone for a newly introduced product.


DLCs have less complex product features compared to warrants and options, and therefore may suit a different audience. Broker & Investor feedback on the new product has been positive and together with them, the product issuer (SocGen) and SGX , we will be organizing more (educational) campaigns to generate more awareness and insights into possible trading strategies.


Overall DLCs traded more from Long perspective in September in total, however on an index level the HK indices are traded more from the long side , while SiMSCI is traded slightly more from the short side.


Underlying Index

% of turnover in Long DLC

% of turnover in Short DLC















Description: Description: Description: Description: cid:image002.png@01D2D9FB.E03E3E80


New 100% Singapore REITS ETF to be listed 30 October 2017 - Lion-Phillip S-REIT ETF

Lion Global Investors (LGI), together with Phillip Capital Management, will launch their new REITs ETF – the Lion-Phillip S-REIT ETF (Stock code: CLR; Bloomberg: SREITS SP) – on SGX on 30th Oct 2017. The ETF tracks the Morningstar® Singapore REIT Yield Focus Index (MSDIRYPS Index), which comprises 23 Singapore REITs and has a trailing 12-month dividend yield of 5.75%


The launch of this ETF with a large focus on Singapore will help growth in the SGX S-REITs segment as it offers a sustainable income stream & portfolio diversification through exposure to the high-quality S-REITs at a low cost


The initial offer period for the Lion-Phillip S-REIT ETF runs from 2 October to 20 October 2017, and the issue price of each unit during the offer period is S$1


A retail seminar will be hosted by LGI to introduce the ETF “Lion-Phillip S-REIT ETF: Introducing a low-cost way to access high-quality S-REITs through one fund”.  For more details, please click here 


More information on the ETF can be found here.

Description: Description: Description: Description: cid:image002.png@01D2D9FB.E03E3E80


More Information


The SGX Structured Warrants Page includes tools like a calculator, charts and position builder. (click here)

You can also find out more about DLCs here.


Issuer Pages:

§  Macquarie Warrants

§  UBS

§  Vontobel Warrants

§  SocGen DLCs


Description: Description: Description: cid:image002.png@01D30224.8981A6D0


Specified Investment Products

Structured warrants and Daily Leverage Certificates are examples of Specified Investment Products (SIPs). The MAS has introduced measures for intermediaries to safeguard the interests of individual investors investing in SIPs, which are products with features that might be more complex in nature. Investors now have the opportunity to assess their qualifications to trade SIP or enhance their product knowledge through the SGX online portal available here. Speak to your broker to find out how you can qualify to trade SIPs.


Description: Description: Description: cid:image002.png@01D30224.8981A6D0


Education and Resources


Benefits of ETFs

Trading DLCs on SGX

Description: Description: Description: cid:image005.png@01D307B0.3795A970

§  More educational videos  (link)

§  Full list of SGX listed ETFs (link)

Description: Description: Description: cid:image008.png@01D30224.8981A6D0

§  SGX DLC investor guide (link)

§  SGX DLC factsheet (link)

§  SGX DLC Infographic (link)


Description: Description: cid:image002.png@01D2D9FB.E03E3E80


My Gateway


SGX’s investor education portal with market, product and investment information and events. Sign up now at sgx.com/mygateway to receive our investment updates and economic calendar.


This document is not intended for distribution to, or for use by or to be acted on by any person or entity located in any jurisdiction where such distribution, use or action would be contrary to applicable laws or regulations or would subject Singapore Exchange Limited (“SGX”) to any registration or licensing requirement. This document is not an offer or solicitation to buy or sell, nor financial advice or recommendation for any investment product. This document is for general circulation only. It does not address the specific investment objectives, financial situation or particular needs of any person. Advice should be sought from a financial adviser regarding the suitability of any investment product before investing or adopting any investment strategies. Use of and/or reliance on this document is entirely at the reader’s own risk. Further information on this investment product may be obtained from www.sgx.com. Investment products are subject to significant investment risks, including the possible loss of the principal amount invested. Past performance of investment products is not indicative of their future performance. Examples provided are for illustrative purposes only. While each of SGX and its affiliates (collectively, the “SGX Group Companies”) have taken reasonable care to ensure the accuracy and completeness of the information provided, each of the SGX Group Companies disclaims any and all guarantees, representations and warranties, expressed or implied, in relation to this document and shall not be responsible or liable (whether under contract, tort (including negligence) or otherwise) for any loss or damage of any kind (whether direct, indirect or consequential losses or other economic loss of any kind, including without limitation loss of profit, loss of reputation and loss of opportunity) suffered or incurred by any person due to any omission, error, inaccuracy, incompleteness, or otherwise, any reliance on such information, or arising from and/or in connection with this document. The information in this document may have been obtained via third party sources and which have not been independently verified by any SGX Group Company. No SGX Group Company endorses or shall be liable for the content of information provided by third parties. The SGX Group Companies may deal in investment products in the usual course of their business, and may be on the opposite side of any trades. SGX is an exempt financial adviser under the Financial Advisers Act (Cap. 110) of Singapore.  The information in this document is subject to change without notice. This  document shall not be reproduced, republished, uploaded, linked, posted, transmitted, adapted, copied, translated, modified, edited or otherwise displayed or distributed in any manner without SGX’s prior written consent.