SGX

SGX: Credit Suisse downgrades forecasts by 3-5% despite strong finish to 2012, which remained slightly below its estimates. Dec 2012 equity turnover was +39% yoy and derivatives +55%. Says the invmt case for SGX is longer term growth through both existing market growth and success in its strategy to become an Asian regional gateway. However nearer term, SGX’s fortunes are much more linked to current market volumes, which remained somewhat subdued. The house keeps its Neutral rating and TP at $6.75, implying 24x fwd P/E (around the 8-yr avg)