SGX

SGX: Good set of results, which in-line, albeit at the top end of estimates. 2Q13 rev at $161.8m, +9.2% yoy and +1% qoq, while net profit at $76.3m, +16.7% yoy and +3% qoq. Securities daily average traded value (SDAV) for the qtr was $1.2b, +8% yoy and -9% qoq, while Derivatives daily average volume (DDAV) for the quarter was a record 358,532 contracts, +30% yoy and +17% qoq. SG also had 8 new IPO in the qtr, raising $798.9m, while secondary fund raising totalled $1.3b. Total stock market capitalisation increased 20% to $934.5b as of 31 Dec12. The Bond market raised $39.7b through 90 new bonds. Going forward, grp note that it has seen improved sentiments across capital markets globally leading to increased volumes and is well positioned to benefit if these sentiments continue. IPO and bond listings pipelines remain healthy and grp will continue to invest resources in developing new products and services, and strengthening its regulatory and risk management capabilities. Ratings as follow: Deutsche maintains Hold with $7.60 TP CS maintains Neutral with $7.75 TP CLSA maintains Sell with $6.30 TP CIMB maintains U/p with $7.26 TP