Straits Times Index

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Straits Times Index
Straits Times Index.png
Historical logarithmic graph of the STI from 1987 to 2019
FoundationSeptember 15, 1966;58 years ago (1966-09-15)
Operator
[1]
Exchanges Singapore Exchange
Constituents30
TypeLarge cap
Market cap S$288.8 billion
(as of June 2018) [1]
Weighting method Capitalization-weighted
Website FTSE STI

The Straits Times Index (abbreviation: STI) is a capitalisation-weighted measurement stock market index that is regarded as the benchmark index for the stock market in Singapore. It tracks the performance of the top 30 companies that are listed on the Singapore Exchange (SGX).

Contents

The STI is jointly calculated by the SGX, the SPH Media Trust and the FTSE Group. [2]

History

Early years

The STI has a history dating back to its founding in 1966. [1] Following a major sectoral re-classification of listed companies by the Singapore Exchange, which saw the removal of the "industrials" category, the STI replaced the previous Straits Times Industrials Index (abbreviation: STII) and began trading on 31 August 1998 at 885.26 points, in continuation of where the STII left off. At the time, it represented 78% of the average daily traded value over a 12-month period and 61.2% of total market capitalisation on the exchange. [3]

The STI was constructed by SPH, the Singapore Exchange and SPH's consultant, Professor Tse Yiu Kuen from the Singapore Management University (formerly from the National University of Singapore). It came under formal review at least once annually and was also reviewed on an ad hoc basis when necessary. [3] One such review, for instance, raised the number of stocks from 45 to 50, which took effect when trading resumed on 18 March 2005. This change reduced the index representation of the average daily traded value to 60%, while increasing its total market capitalisation to 75%.[ citation needed ]

Revamp

The STI was again revamped and relaunched on 10 January 2008. As part of a new partnership between SPH, SGX and FTSE, the number of constituent stocks was reduced from about 50 to 30 and the index was re-calculated using FTSE's methodology. [4] [5] Besides the STI, the partners also developed a family of indices including the FTSE ST Dividend Index, FTSE ST China Top tradable index, FTSE ST Catalist Index and FTSE ST Maritime Index as well as 19 Supersector and 39 Sector indices. For the purposes of computing the indices, stocks are classified using the Industry Classification Benchmark (ICB).

The family tree of the FTSE ST Index Series: [1]

The creation of the FTSE ST Index Series was intended to facilitate the creation of financial products such as institutional and retail funds, exchange-traded funds (ETFs), derivatives contracts and other index-linked products. [6] There are currently two ETFs listed on the SGX that track the STI: the SPDR Straits Times Index ETF (formerly known as the streetTRACKS Straits Times Index Fund) (managed by State Street Global Advisors) and the Nikko AM's Singapore STI ETF.

Record values

CategoryAll-Time Highs
Closing3875.77Thursday, 11 October 2007 [7] [8]
Intraday3906.16Wednesday, 10 October 2007

Annual Returns

The following table shows the annual development of the Straits Times Index, which was calculated back to 1970. [9] [10] [11]

YearClosing levelChange in index
in points
Change in index
in %
1970139.06
1971198.6959.6342.88
1972432.73234.04117.79
1973265.57−167.16−38.63
1974150.82−114.75−43.21
1975236.7685.9456.98
1976254.8118.057.62
1977264.249.433.70
1978349.1684.9232.14
1979435.4186.2524.70
1980660.82225.4151.77
1981780.78119.9618.15
1982732.32−48.46−6.21
19831,002.03269.7136.83
1984812.61−189.42−18.90
1985620.04−192.57−23.70
1986891.30271.2643.75
1987823.58−67.72−7.60
19881,038.62215.0426.11
19891,481.33442.7142.62
19901,154.48−326.85−22.06
19911,490.70336.2229.12
19921,524.4033.702.26
19932,425.68901.2859.12
19942,239.56−186.12−7.67
19952,266.5426.981.20
19962,216.79−49.75−2.19
19971,529.84−686.95−30.99
19981,392.73−137.11−8.96
19992,479.581,086.8578.04
20001,926.83−552.75−22.29
20011,623.60−303.23−15.74
20021,341.03−282.57−17.40
20031,764.52423.4931.58
20042,066.14301.6217.09
20052,347.34281.2013.61
20062,985.83638.4927.20
20073,482.30496.4716.63
20081,761.56−1,720.74−49.41
20092,897.621,136.0664.49
20103,190.04292.4210.09
20112,646.35−543.69−17.04
20123,167.08520.7319.68
20133,167.430.350.01
20143,365.15197.726.24
20152,882.73−482.42−14.34
20162,880.76−1.97−0.07
20173,402.92522.1618.13
20183,068.76−334.16−9.82
20193,222.83154.075.02
20202,843.81−379.02−11.76
20213,123.68279.879.84
20223,251.33127.654.09
20233,240.27−11.06−0.34


Constituents

The 30 constituents of the STI as of 3 January 2022 are:

List of STI constituents
Stock SymbolCompany
SGX : A17U Ascendas Real Estate Investment Trust
SGX : C38U CapitaLand Integrated Commercial Trust
SGX : 9CI CapitaLand Investment
SGX : C09 City Developments Limited
SGX : C52 ComfortDelGro Corporation
SGX : D01 Dairy Farm International Holdings
SGX : D05 DBS Group Holdings
SGX : BUOU Frasers Logistics & Commercial Trust
SGX : G13 Genting Singapore PLC
SGX : H78 Hongkong Land Holdings
SGX : C07 Jardine Cycle & Carriage
SGX : J36 Jardine Matheson Holdings Limited
SGX : BN4 Keppel Corporation
SGX : AJBU Keppel DC Reit
SGX : N2IU Mapletree Commercial Trust
SGX : ME8U Mapletree Industrial Trust
SGX : M44U Mapletree Logistics Trust
SGX : O39 Oversea-Chinese Banking Corp
SGX : S58 SATS
SGX : U96 Sembcorp Industries
SGX : C6L Singapore Airlines
SGX : Z74 Singtel
SGX : S68 Singapore Exchange
SGX : S63 Singapore Technologies Engineering
SGX : Y92 Thai Beverages
SGX : U11 United Overseas Bank
SGX : U14 UOL Group
SGX : V03 Venture Corporation
SGX : F34 Wilmar International
SGX : BS6 Yangzijiang Shipbuilding Holdings  [ zh ]

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References

  1. 1 2 3 4 "Straits Times Index Factsheet". FTSE. Archived from the original (PDF) on 4 November 2016. Retrieved 31 March 2014.
  2. "Straits Times Index constituents unchanged after March review". The Straits Times . Retrieved 16 February 2023.
  3. 1 2 "The STI Index". The Business Times. Archived from the original on 23 July 2011. Retrieved 28 February 2011.
  4. "SPH, SGX and FTSE launch revamped Straits Times Index and new FTSE ST Index Series today". The Straits Times. 10 January 2008. Archived from the original on 13 November 2010. Retrieved 22 September 2019.
  5. "Straits Times Index (STI)". The Straits Times. Archived from the original on 12 November 2010. Retrieved 28 February 2011.
  6. "FTSE ST Index Series". FTSE. Archived from the original on 26 October 2009.
  7. "Shares surge to a new high". Today. 12 October 2007. Retrieved 16 August 2019.
  8. "STI closes 3.05% lower". Asiaone. 16 January 2008. Retrieved 16 August 2019.
  9. Manual of Securities Statistics, Nomura Research Institute, Tokio 1997
  10. "Historical data: Straits Times Index - Singapore (^STI)".
  11. "STI Index (^STI?P=^STI) Historical Data - Yahoo Finance". finance.yahoo.com. Retrieved 21 January 2020.