Date of Launch
Authorised for Sale
Asian Equities Team
Other Equities Funds
Aberdeen Singapore Equity Fund
Aims to provide holders with medium to long-term capital growth from a portfolio of Singapore equities.
Manager's Monthly Report
- Singapore equities rebounded in February as Janet Yellen gave no surprises in her first
testimony to Congress as US Fed chief. She also reassured markets that rates would be
kept at near-zero well past the time that unemployment falls below 6.5%. Some better
domestic data also buoyed sentiment.
- Fourth-quarter GDP growth was revised upwards to 5.5% year-on-year, up from
previous estimates of 4.4%.
- The government budget for 2014 was announced and interestingly when questioned
the finance minister said that it was ‘too early to relax property measures’. This
indicates that if property prices do fall beyond a certain threshold, they may remove
some of the curbs to support the market. It provides comfort for our property holdings
such as City Developments as, much as we had expected, it shows that the government
does not want an overly large correction in home prices. Importantly, there were no
tightening of rules on foreign workers which helps our holdings such as Keppel and SATS
which are more labour-intensive.
- We exited from Singapore Press Holdings, whose core newspaper business has been in
gradual decline. In addition, the hidden value in the property business has largely been
realised after it was spun off and cash has been returned to shareholders in the form
of a special dividend. The company was also trading at a higher valuation relative to its