Employee stock option
Table of Contents
Employee stock option
Employee Stock Options, or ESOs, are a popular form of compensation companies use to attract and retain top talent, motivate employees, and align employee interests with those of shareholders. ESOs give employees the right to purchase company stock at a predetermined price within a specific period, providing employees with a financial stake in the company’s growth and success. It is important for employees to understand the terms and conditions of their ESOs and to seek professional advice if needed.
What is an ESO?
ESOs are a type of compensation plan that firms provide to their employees. ESOs allow workers to buy a predetermined number of shares of the business’s stock within a predetermined period at a predetermined price. ESOs are frequently given to senior or critical employees to retain top talent, align employee interests with shareholder interests, and encourage employees to contribute to the business’s success. As their value is based on the difference between the strike price and the market price of the company’s shares, ESOs can provide employees with a potential financial gain if the stock price increases.
Understanding ESOs
ESOs are compensation that companies offer to their employees, giving them a chance to purchase shares of the company’s stock within a specified time frame at a specific price. Employees can gain from the expansion and success of the firm by owning an interest in it.
ESOs are valued according to the number of options held, the exercise price, and the company’s current market price. When the stock’s market price is higher than the exercise price, employees can exercise their options, enabling them to buy shares at a reduced price and resell them for a profit. Publicly traded companies frequently use employee stock options to reward employees, align their interests with shareholders, and draw in and keep top personnel.
There are primarily two types of ESOs:
- Incentive stock options (ISOs)
They are also known as statutory or qualified options and are frequently granted to prominent employees or top management. Stock options granted as incentives receive favourable tax treatment. The Internal Revenue Service, or IRS, treats the income from incentive stock options as long-term capital gains.
- Non-qualified stock options
Non-qualified stock options, or NSOs, on the other hand, are stock options that are given to employees at all employment levels. The tax treatment of non-qualified stock options is not advantageous. The gains from non-qualified stock options are subject to ordinary income tax.
Advantages of offering ESOs
The following are the advantages of offering ESOs:
- It can motivate employees to work harder and contribute more to the company’s success. Since employees can own a stake in the company, they are more likely to feel invested in its success and work towards improving its performance.
- ESOs can be a cost-effective means of rewarding employees, especially in new organisations or unproductive enterprises. As the options allow employees to purchase company stock at a predetermined price, the company can offer them at a lower cost than customary cash incentives or pay raises.
- Offering ESOs can help attract and retain top talent. Candidates considering job offers may be more inclined to choose a company that offers stock options, as it provides an additional potential financial benefit.
- ESOs can align the interests of employees with those of the company’s shareholders. When employees become shareholders, they have a vested interest in the company’s long-term success, which can lead to better decision-making and a focus on sustainable growth.
Disadvantages of offering ESOs
The following are the disadvantages of offering ESOs:
- Employees may need to completely understand the value of or how stock options function
- Stock options are inherently risky, as the value of the underlying stock can fluctuate widely over time. If the stock price falls below the option’s exercise price, the options may become worthless.
- When employees exercise their options, new shares of stock are created, which can dilute existing shareholders’ ownership stake. This can reduce the value of existing shares, which can concern investors.
- Administering a stock option plan can be time-consuming and costly, as it involves tracking option grants, vesting schedules, and exercise dates. This can burden HR departments or small businesses with limited resources.
How to calculate what your stock options are worth?
A complex formula is used to determine the value of stock options based on several factors. The cost to exercise the options, the total number of options held, and the current market price of the company’s shares should all be considered.
To determine the intrinsic value of a share, the exercise price is subtracted from the stock’s current market price. Add the intrinsic value per share to the number of shares owned to get the options’ overall value. However, other factors like the options’ expiration date, restrictions, or vesting periods, as well as potential tax repercussions, might need to be taken into account in this calculation.
Frequently Asked Questions
Publicly traded companies commonly use ESOs as compensation to align employee interests with those of shareholders and incentivise performance.
Employee stock options can provide several benefits, including aligning employee and shareholder interests, motivating employees to work towards the company’s success, cost-effectively compensating employees, attracting and retaining top talent, and promoting sustainable growth.
Setting up an ESO plan involves several steps, including determining the plan’s purpose, establishing eligibility criteria, determining the number of shares to be granted, setting the exercise price, establishing vesting schedules and exercising options, complying with applicable laws and regulations, and appoint brokers like PhillipCapital to facilitate selling options.
The exercise period in ESOs is when the option holder can exercise their right to purchase shares of the company’s stock at the predetermined exercise price.
Employee stock ownership plans, or ESOs, enable staff members to purchase company stock at a predetermined price and turn it in to company owners. Employees are frequently given vesting options and rights to purchase company stock shares later.
Related Terms
- Investment adviser public disclosure
- Price-to-Book Ratio
- Investment adviser registration depository
- Contingent deferred sales charges
- Net asset value (NAV)
- CAGR
- Mark-to-market
- Federal Open Market Committee
- FIRE
- Applicable federal rate
- Automated teller machine
- Central limit theorem
- Balanced scorecard
- Analysis of variance
- Annual Percentage rate
- Investment adviser public disclosure
- Price-to-Book Ratio
- Investment adviser registration depository
- Contingent deferred sales charges
- Net asset value (NAV)
- CAGR
- Mark-to-market
- Federal Open Market Committee
- FIRE
- Applicable federal rate
- Automated teller machine
- Central limit theorem
- Balanced scorecard
- Analysis of variance
- Annual Percentage rate
- Double Taxation Agreement
- Floating Rate Notes
- Average True Range (ATR)
- Constant maturity treasury
- Hysteresis
- RevPAR
- REITS
- General and administrative expenses
- OPEX
- ARPU
- WACC
- DCF
- NPL
- Capital expenditure (Capex)
- Balance of trade (BOT)
- Retail price index (RPI)
- Unit investment trust (UIT)
- SPAC
- GAAP
- GDPR
- GATT
- Irrevocable Trust
- Line of credit
- Coefficient of Variation (CV)
- Creative Destruction (CD)
- Letter of credits (LC)
- Statement of additional information
- Year to date
- Certificate of deposit
- Price-to-earnings (P/E) ratio
- Individual retirement account (IRA)
- Quantitative easing
- Yield to maturity
- Rights of accumulation (ROA)
- Letter of Intent
- Return on Invested Capital (ROIC)
- Return on Equity (ROE)
- Return on Assets (ROA)
Most Popular Terms
Other Terms
- Bond Convexity
- Compound Yield
- Brokerage Account
- Discretionary Accounts
- Industry Groups
- Growth Rate
- Green Bond Principles
- Gamma Scalping
- Funding Ratio
- Free-Float Methodology
- Foreign Direct Investment (FDI)
- Floating Dividend Rate
- Flight to Quality
- Real Return
- Protective Put
- Perpetual Bond
- Option Adjusted Spread (OAS)
- Non-Diversifiable Risk
- Merger Arbitrage
- Liability-Driven Investment (LDI)
- Income Bonds
- Guaranteed Investment Contract (GIC)
- Flash Crash
- Equity Carve-Outs
- Cost of Equity
- Cost Basis
- Deferred Annuity
- Cash-on-Cash Return
- Earning Surprise
- Capital Adequacy Ratio (CAR)
- Bubble
- Beta Risk
- Bear Spread
- Asset Play
- Accrued Market Discount
- Ladder Strategy
- Junk Status
- Intrinsic Value of Stock
- Interest-Only Bonds (IO)
- Interest Coverage Ratio
- Inflation Hedge
- Industry Groups
- Incremental Yield
- Industrial Bonds
- Income Statement
- Holding Period Return
- Historical Volatility (HV)
- Hedge Effectiveness
- Flat Yield Curve
- Fallen Angel
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Reddit Inc.: Transforming Community Engagement into Revenue Growth
Company Overview Reddit Inc. (RDDT) operates as a community-driven social media platform that facilitates conversations across diverse topics and interests. The company has positioned itself as a unique digital ecosystem where user-generated content and community interactions create valuable data assets and advertising opportunities. Key Investment Highlights Reddit's business model is experiencing a fundamental transformation, with community-driven conversations emerging as a significant growth engine. The company is successfully transitioning its data licensing strategy from one-time training deals to recurring, usage-based monetisation models. This shift is supported by robust demand from the artificial intelligence industry and the development of deeper strategic partnerships. The platform's differentiated approach centres on high-intent, rich first-party user data that creates sustainable advertising opportunities. Reddit is leveraging AI-driven advertising tools to enhance efficiency and drive average revenue per user (ARPU) expansion, which positions the company to capture greater value from its engaged user base. Strong Financial Performance Reddit achieved a significant financial milestone in FY24 by turning cash flow positive. The company demonstrated exceptional cash generation capabilities, with operating cash flow and free cash flow growing 396% and 355% year-over-year, respectively. This impressive performance was supported by IPO-related capital inflows and the company's capital-efficient operating model, with capital expenditures representing less than 1% of total revenue. Investment Recommendation and Outlook Phillip Securities Research has initiated coverage of Reddit with a BUY rating and established a discount cash flow (DCF)-based target price of US$280. The valuation framework incorporates a weighted average cost of capital (WACC) of 7.5% and a terminal growth rate of 6%, which reflects confidence in the company's long-term growth prospects. For FY25, analysts project robust revenue growth across Reddit's key business segments. Advertising revenue is forecasted to increase 66% year-over-year, driven by continued product enhancements and platform improvements. Additionally, "other" revenue, which includes data licensing agreements, is expected to grow 55% year-over-year, supported by existing contractual arrangements and expanding partnerships within the AI industry. Frequently Asked Questions Q: What is Phillip Securities Research's recommendation and target price for Reddit? A: Phillip Securities Research has initiated coverage with a BUY rating and a DCF target price of US$280, using a WACC of 7.5% and terminal growth rate of 6%. Q: How is Reddit's data licensing business model evolving? A: Reddit is transitioning from one-off training deals to recurring, usage-based monetisation supported by strong AI industry demand and deepening partnerships. Q: What makes Reddit's advertising opportunity unique? A: Reddit offers differentiated, high-intent, rich first-party user data that enables a durable advertising opportunity, with AI-driven ad tools improving efficiency and driving ARPU expansion. Q: How did Reddit perform financially in FY24? A: Reddit's cash flow turned positive in FY24, with operating cash flow and free cash flow growing 396% and 355% year-over-year, respectively, supported by IPO-related inflows. Q: What are the revenue growth projections for FY25? A: Reddit operates with minimal capital expenditure requirements, with CAPEX representing less than 1% of total revenue, demonstrating a capital-efficient operating model. Q: What drives Reddit's community-based growth engine? A: Reddit's community-driven conversations are becoming a growth engine through the monetisation of user engagement and data assets for both advertising and AI industry applications. This article has been auto-generated using PhillipGPT. It is based on a report by a Phillip Securities Research analyst. Disclaimer These commentaries are intended for general circulation and do not have regard to the specific investment objectives, financial situation and particular needs of any person. Accordingly, no warranty whatsoever is given and no liability whatsoever is accepted for any loss arising whether directly or indirectly as a result of any person acting based on this information. You should seek advice from a financial adviser regarding the suitability of any investment product(s) mentioned herein, taking into account your specific investment objectives, financial situation or particular needs, before making a commitment to invest in such products. Opinions expressed in these commentaries are subject to change without notice. Investments are subject to investment risks including the possible loss of the principal amount invested. The value of units in any fund and the income from them may fall as well as rise. Past performance figures as well as any projection or forecast used in these commentaries are not necessarily indicative of future or likely performance. Phillip Securities Pte Ltd (PSPL), its directors, connected persons or employees may from time to time have an interest in the financial instruments mentioned in these commentaries. The information contained in these commentaries has been obtained from public sources which PSPL has no reason to believe are unreliable and any analysis, forecasts, projections, expectations and opinions (collectively the “Research”) contained in these commentaries are based on such information and are expressions of belief only. PSPL has not verified this information and no representation or warranty, express or implied, is made that such information or Research is accurate, complete or verified or should be relied upon as such. Any such information or Research contained in these commentaries are subject to change, and PSPL shall not have any responsibility to maintain the information or Research made available or to supply any corrections, updates or releases in connection therewith. In no event will PSPL be liable for any special, indirect, incidental or consequential damages which may be incurred from the use of the information or Research made available, even if it has been advised of the possibility of such damages. The companies and their employees mentioned in these commentaries cannot be held liable for any errors, inaccuracies and/or omissions howsoever caused. Any opinion or advice herein is made on a general basis and is subject to change without notice. The information provided in these commentaries may contain optimistic statements regarding future events or future financial performance of countries, markets or companies. You must make your own financial assessment of the relevance, accuracy and adequacy of the information provided in these commentaries. Views and any strategies described in these commentaries may not be suitable for all investors. Opinions expressed herein may differ from the opinions expressed by other units of PSPL or its connected persons and associates. Any reference to or discussion of investment products or commodities in these commentaries is purely for illustrative purposes only and must not be construed as a recommendation, an offer or solicitation for the subscription, purchase or sale of the investment products or commodities mentioned. This advertisement has not been reviewed by the Monetary Authority of Singapore.
CNMC Goldmine Holdings: Phillip Securities Maintains BUY Rating Amid Production Expansion
Company Overview CNMC Goldmine Holdings operates as a gold mining company with operations in Malaysia's tropical rainforest region. The company focuses on gold extraction through both open-pit and underground mining facilities, positioning itself as a key player in the Malaysian mining sector. Production Expansion Drives Growth Prospects The company has successfully completed a 60% expansion of its CIL (Carbon-in-Leach) facility, resulting in a significant increase in gold production capacity from 500 to 800 tonnes per day. This substantial enhancement represents a major milestone in CNMC's operational scaling efforts and demonstrates management's commitment to expanding production capabilities. Work is currently underway on the additional Sokor underground gold mining facility, which is expected to reach completion by1H2026. However, the project faces potential challenges due to its location in Malaysia's tropical rainforest, where the terrain is more susceptible to water accumulation issues. Should these environmental challenges persist, completion may be delayed to the second half of 2026, with operations potentially beginning in 2027. Investment Merits and Financial Outlook Phillip Securities Research has raised its gold price forecast by 13% to US$4,300, up from the previous forecast of US$3,800, reflecting the current gold price surge of 21% above earlier projections. This adjustment has led to a 6.6% increase in projected PATMI for FY26e. CNMC’s management appears focused on enhancing shareholder returns through increased dividend payments if earnings exceed expectations. Currently maintaining a 30% payout ratio, there is potential for this to increase based on performance. Research Recommendation Phillip Securities Research maintains its BUY rating for CNMC, raising the target price to S$1.47 from the previous S$1.34, implying an 11.2x FY25e P/E ratio. The valuation approach remains conservative, with no terminal value factored in, given that the mining permit remains valid until 2034. Key catalysts identified include the potential for earlier-than-anticipated completion of the additional Sokor Underground mining facility and the possibility of a higher dividend payout ratio exceeding the current 30% level. Frequently Asked Questions Q: What is CNMC's current gold production capacity? A: CNMC has increased its gold production from 500 to 800 tonnes per day following the completion of a 60% CIL facility expansion. Q: When is the Sokor underground mining facility expected to be completed? A: The facility is expected to be completed by the first half of 2026, though potential delays due to water accumulation issues could push completion to the second half of 2026. Q: What is Phillip Securities Reseach's current recommendation and target price for CNMC? A: Phillip Securities Research maintains a BUY rating with a target price of S$1.47, up from the previous S$1.34. Q: How has the gold price forecast been adjusted? A: The gold price forecast has been raised by 13% to US$4,300 from the previous US$3,800 due to current gold prices surging 21% above earlier projections. Q: What are the key investment catalysts for CNMC? A: Key catalysts include earlier-than-anticipated completion of the Sokor Underground mining facility and a potential increase in the dividend payout ratio above the current 30%. Q: What challenges does the Sokor project face? A: The project is located in Malaysia's tropical rainforest, making it more prone to water accumulation issues due to the terrain, which could impact completion timing. Q: How long is CNMC's mining permit valid? A: The mining permit remains valid until 2034, providing operational certainty for the medium term. Q: What is management's approach to shareholder returns? A: Management appears keen to increase shareholder returns through dividends if earnings exceed expectations, potentially raising the current 30% payout ratio. This article has been auto-generated using PhillipGPT. It is based on a report by a Phillip Securities Research analyst. Disclaimer These commentaries are intended for general circulation and do not have regard to the specific investment objectives, financial situation and particular needs of any person. Accordingly, no warranty whatsoever is given and no liability whatsoever is accepted for any loss arising whether directly or indirectly as a result of any person acting based on this information. You should seek advice from a financial adviser regarding the suitability of any investment product(s) mentioned herein, taking into account your specific investment objectives, financial situation or particular needs, before making a commitment to invest in such products. Opinions expressed in these commentaries are subject to change without notice. Investments are subject to investment risks including the possible loss of the principal amount invested. The value of units in any fund and the income from them may fall as well as rise. Past performance figures as well as any projection or forecast used in these commentaries are not necessarily indicative of future or likely performance. Phillip Securities Pte Ltd (PSPL), its directors, connected persons or employees may from time to time have an interest in the financial instruments mentioned in these commentaries. The information contained in these commentaries has been obtained from public sources which PSPL has no reason to believe are unreliable and any analysis, forecasts, projections, expectations and opinions (collectively the “Research”) contained in these commentaries are based on such information and are expressions of belief only. PSPL has not verified this information and no representation or warranty, express or implied, is made that such information or Research is accurate, complete or verified or should be relied upon as such. Any such information or Research contained in these commentaries are subject to change, and PSPL shall not have any responsibility to maintain the information or Research made available or to supply any corrections, updates or releases in connection therewith. In no event will PSPL be liable for any special, indirect, incidental or consequential damages which may be incurred from the use of the information or Research made available, even if it has been advised of the possibility of such damages. The companies and their employees mentioned in these commentaries cannot be held liable for any errors, inaccuracies and/or omissions howsoever caused. Any opinion or advice herein is made on a general basis and is subject to change without notice. The information provided in these commentaries may contain optimistic statements regarding future events or future financial performance of countries, markets or companies. You must make your own financial assessment of the relevance, accuracy and adequacy of the information provided in these commentaries. Views and any strategies described in these commentaries may not be suitable for all investors. Opinions expressed herein may differ from the opinions expressed by other units of PSPL or its connected persons and associates. Any reference to or discussion of investment products or commodities in these commentaries is purely for illustrative purposes only and must not be construed as a recommendation, an offer or solicitation for the subscription, purchase or sale of the investment products or commodities mentioned. This advertisement has not been reviewed by the Monetary Authority of Singapore.
Company Overview The Walt Disney Company is a leading global entertainment powerhouse with a diversified portfolio spanning content creation, streaming services, sports media, and theme park operations. The company's competitive advantage lies in its unrivalled intellectual property ecosystem, anchored by globally beloved franchises including Disney Animation, Pixar, Marvel, and Star Wars. This extensive IP portfolio enables Disney to maintain strong consumer engagement across multiple platforms, driving multiple and complementary revenue streams. Key Investment Highlights Disney's strategic positioning centres on three critical factors that underpin its investment appeal. First, the company benefits from a comprehensive entertainment ecosystem that leverages its iconic franchises to drive monetisation at scale, supporting sustainable long-term revenue growth. Second, Disney has successfully demonstrated its ability to adapt to changing consumer preferences by prioritising its direct-to-consumer streaming business while transitioning away from traditional linear television. Most notably, the streaming segment achieved profitability in the second half of 2024, marking a significant operational milestone. Primary Growth Driver: Experiences Segment The Experiences segment serves as Disney's primary growth engine, accounting for 45% of total revenue and consistently delivering high-single- to low-double-digit year-over-year growth. This segment encompasses theme parks, resorts, and cruise operations, benefiting from resilient attendance patterns and higher per-capita guest spending and effective yield management strategies despite competitive pressures in the entertainment and leisure industry. Streaming Success and Digital Transformation Disney's strategic pivot towards streaming has yielded positive results, with the direct-to-consumer business turning profitable. This achievement reflects the company's successful adaptation to evolving consumer viewing habits and validates its investment in digital content distribution. Achieving profitability positions Disney more competitively within an increasingly crowded global streaming landscape and strengthens the overall earnings profile of the group. Research Recommendation Phillip Securities Research has initiated coverage of The Walt Disney Company with an ACCUMULATE rating and a target price of US$130.00. The valuation methodology employs a discounted cash flow analysis utilising a weighted average cost of capital of 7.7% and a long-term growth rate of 3.5%. This recommendation reflects confidence in Disney's ability to leverage its diversified business model and capitalise on the continued global expansion of streaming services alongside the resilient post-COVID recovery of its experiences segment. Frequently Asked Questions Q: What is Phillip Securities Research's recommendation and target price for Disney? A: Phillip Securities Research initiated coverage with an ACCUMULATE rating and target price of US$130.00, based on a DCF analysis using a 7.7% WACC and 3.5% growth rate. Q: What makes Disney's intellectual property ecosystem unique? A: Disney possesses an unrivalled IP ecosystem anchored by major franchises including Disney Animation, Pixar, Marvel, and Star Wars, which supports strong consumer engagement across platforms and enables monetisation at scale. Q: Which segment is Disney's primary growth driver? A: The Experiences segment is Disney's primary growth driver, contributing 45% of revenue and delivering consistent high-single to low-double-digit year-over-year growth through theme parks, resorts, and cruise operations. Q: When did Disney's streaming business become profitable? A: Disney's streaming segment turned profitable in the second half of 2024, marking a significant milestone in the company's digital transformation strategy. Q: How has Disney adapted to changing consumer viewing habits? A: Disney has prioritised its direct-to-consumer streaming business while transitioning away from linear television, successfully adapting to evolving consumer preferences in entertainment consumption. Q: What factors support the Experiences segment's strong performance? A: The Experiences segment benefits from resilient attendance, higher per-capita guest spending, and effective yield management strategies, maintaining strong performance despite competitive pressures. Q: What is Disney's strategic positioning for long-term growth? A: Disney is well-positioned to monetise its IP at scale through continued global streaming expansion and the resilient post-COVID recovery of its experiences segment, underpinning long-term revenue growth. This article has been auto-generated using PhillipGPT. It is based on a report by a Phillip Securities Research analyst. Disclaimer These commentaries are intended for general circulation and do not have regard to the specific investment objectives, financial situation and particular needs of any person. Accordingly, no warranty whatsoever is given and no liability whatsoever is accepted for any loss arising whether directly or indirectly as a result of any person acting based on this information. You should seek advice from a financial adviser regarding the suitability of any investment product(s) mentioned herein, taking into account your specific investment objectives, financial situation or particular needs, before making a commitment to invest in such products. Opinions expressed in these commentaries are subject to change without notice. Investments are subject to investment risks including the possible loss of the principal amount invested. The value of units in any fund and the income from them may fall as well as rise. Past performance figures as well as any projection or forecast used in these commentaries are not necessarily indicative of future or likely performance. Phillip Securities Pte Ltd (PSPL), its directors, connected persons or employees may from time to time have an interest in the financial instruments mentioned in these commentaries. The information contained in these commentaries has been obtained from public sources which PSPL has no reason to believe are unreliable and any analysis, forecasts, projections, expectations and opinions (collectively the “Research”) contained in these commentaries are based on such information and are expressions of belief only. PSPL has not verified this information and no representation or warranty, express or implied, is made that such information or Research is accurate, complete or verified or should be relied upon as such. Any such information or Research contained in these commentaries are subject to change, and PSPL shall not have any responsibility to maintain the information or Research made available or to supply any corrections, updates or releases in connection therewith. In no event will PSPL be liable for any special, indirect, incidental or consequential damages which may be incurred from the use of the information or Research made available, even if it has been advised of the possibility of such damages. The companies and their employees mentioned in these commentaries cannot be held liable for any errors, inaccuracies and/or omissions howsoever caused. Any opinion or advice herein is made on a general basis and is subject to change without notice. The information provided in these commentaries may contain optimistic statements regarding future events or future financial performance of countries, markets or companies. You must make your own financial assessment of the relevance, accuracy and adequacy of the information provided in these commentaries. Views and any strategies described in these commentaries may not be suitable for all investors. Opinions expressed herein may differ from the opinions expressed by other units of PSPL or its connected persons and associates. Any reference to or discussion of investment products or commodities in these commentaries is purely for illustrative purposes only and must not be construed as a recommendation, an offer or solicitation for the subscription, purchase or sale of the investment products or commodities mentioned. This advertisement has not been reviewed by the Monetary Authority of Singapore.
Protecting More Than Just Walls: Fire Insurance vs Home Insurance
As we begin 2026, it is timely to review the foundations of our finances, how we should protect our wealth for our loved ones, such as something as important as protecting the roof over their heads. In Singapore, we are fortunate to be largely free from natural disasters. As a result, homeowners assume that only the most basic coverage is sufficient. However, when it comes to safeguarding your home, understanding the differences between Fire Insurance and Home Insurance is paramount. For most homeowners who service a HDB or bank loan, fire insurance is mandatory and is typically included at the onset of loan application. Fire insurance primarily covers the structure of the property including walls, ceilings and built-in fixtures. In essence, it ensures the home can be restored to a habitable condition after a fire-related incident. However, fire insurance does not cover the contents of your home. This means that the items such as furniture, appliances, personal belongings and renovation works are typically excluded from coverage. While home insurance is not compulsory, it serves as a complimentary layer of protection providing a much broader scope of coverage, and helps to bridge the gaps that fire insurance does not address. Typically, home insurance includes coverage for household items, furniture, personal belongings, as well as renovation, clean-up and repair costs. Depending on the policy, it may also cover temporary accommodation expenses while your home is being repaired, along with other incidents such as theft, burst water pipes and other forms of accidental damage. Home insurance generally falls into two categories: “Insured Perils” and “All Risk”. As their names suggest, insured perils refer to specific events listed in the policy, such as fire, lightning, explosions, burst pipes, theft involving forced entry, and certain natural disasters. Any damage that does not arise from the events explicitly stated in the policy will not be covered. All risk plans, on the other hand, offer wider protection. They generally cover most scenarios unless specifically excluded in the policy terms. Due to the wider scope of coverage, all risk plans typically come with higher premiums. Beyond the type of coverage, it is also important to understand how claims are calculated. Home insurance policies typically fall under either an “Average Clause” or “First Loss” basis. For example, under the Average Clause, if the contents of your home amount to more than the insurance coverage, your claims may be proportionately reduced. In other words, being underinsured can result in lower claim settlements. With first loss plans, this penalty does not apply. The insurer will pay up to the insured amount stated in the policy, regardless of the total value of home contents. In summary, fire insurance ensures that the bare minimum is covered, while home insurance helps reduce financial strain when unforeseen incidents occur. As with all protection planning, the key lies in understanding what coverage you currently have, what it includes, and whether it still suits your needs. As you start 2026 on a positive note, it may be helpful to ask yourself: Do I know what my existing fire insurance covers? Do I have adequate protection for my home contents? Would taking up home insurance give me peace of mind? Protection planning is about making thoughtful decisions early, so that you are better equipped for whatever lies ahead. If you are unsure where to begin or would like a second opinion, we are always happy to help. Sometimes, a simple review can make all the difference. Wishing you a happy, healthy, and prosperous year ahead. Contributor: Claudia Tan Financial Services Director Phillip Securities Pte Ltd (A member of PhillipCapital) https://bit.ly/TTPclaudia Disclaimer These commentaries are intended for general circulation and do not have regard to the specific investment objectives, financial situation and particular needs of any person. Accordingly, no warranty whatsoever is given and no liability whatsoever is accepted for any loss arising whether directly or indirectly as a result of any person acting based on this information. You should seek advice from a financial adviser regarding the suitability of any investment product(s) mentioned herein, taking into account your specific investment objectives, financial situation or particular needs, before making a commitment to invest in such products. Opinions expressed in these commentaries are subject to change without notice. Investments are subject to investment risks including the possible loss of the principal amount invested. The value of units in any fund and the income from them may fall as well as rise. Past performance figures as well as any projection or forecast used in these commentaries are not necessarily indicative of future or likely performance. Phillip Securities Pte Ltd (PSPL), its directors, connected persons or employees may from time to time have an interest in the financial instruments mentioned in these commentaries. The information contained in these commentaries has been obtained from public sources which PSPL has no reason to believe are unreliable and any analysis, forecasts, projections, expectations and opinions (collectively the “Research”) contained in these commentaries are based on such information and are expressions of belief only. PSPL has not verified this information and no representation or warranty, express or implied, is made that such information or Research is accurate, complete or verified or should be relied upon as such. Any such information or Research contained in these commentaries are subject to change, and PSPL shall not have any responsibility to maintain the information or Research made available or to supply any corrections, updates or releases in connection therewith. In no event will PSPL be liable for any special, indirect, incidental or consequential damages which may be incurred from the use of the information or Research made available, even if it has been advised of the possibility of such damages. The companies and their employees mentioned in these commentaries cannot be held liable for any errors, inaccuracies and/or omissions howsoever caused. Any opinion or advice herein is made on a general basis and is subject to change without notice. The information provided in these commentaries may contain optimistic statements regarding future events or future financial performance of countries, markets or companies. You must make your own financial assessment of the relevance, accuracy and adequacy of the information provided in these commentaries. Views and any strategies described in these commentaries may not be suitable for all investors. Opinions expressed herein may differ from the opinions expressed by other units of PSPL or its connected persons and associates. Any reference to or discussion of investment products or commodities in these commentaries is purely for illustrative purposes only and must not be construed as a recommendation, an offer or solicitation for the subscription, purchase or sale of the investment products or commodities mentioned. This advertisement has not been reviewed by the Monetary Authority of Singapore.
Singapore Market Outlook 2026: Phillip Securities Forecast
Record-Breaking 2025 Performance Sets Stage for Continued Growth Singapore's equity market delivered exceptional returns in 2025, registering its highest gains in 16 years with a remarkable 22.7% increase, significantly outperforming the previous year's 16.9% gain. This outstanding performance has positioned the market favourably as investors look toward 2026 opportunities. Favourable Market Conditions Create Investment Opportunities Phillip Securities Research views 2026 as a particularly fertile environment for Singapore equities, supported by several key structural factors. Interest rates have declined to 1.20%, marking their lowest levels in three and a half years, creating more attractive conditions for equity investments. Additionally, the deployment of Singapore's S$5 billion Equity Development Programme (EQDP) is expected to generate an unprecedented liquidity premium specifically benefitting small and mid-cap stocks in the local market. Three Major Investment Themes Drive 2026 Strategy The research house identifies three primary themes that will shape Singapore's equity landscape in 2026. First, asset monetisation strategies are anticipated to generate stronger investment gains, with particular focus on major corporations including Singtel, Keppel, and Sembcorp Industries. These companies are positioned to unlock value through strategic asset optimisation initiatives. Secondly, the low interest rate environment creates benefits equities by making them more attractive relative to fixed-income alternatives while simultaneously reducing borrowing costs for companies. This environment is expected to particularly benefit Real Estate Investment Trusts (REITs) through enhanced dividend growth prospects. Third, a capital expenditure-driven earnings cycle is emerging across multiple industries. This cycle encompasses significant investments in artificial intelligence infrastructure, renewable energy projects, and domestic capital expenditure programmes. The healthcare sector presents additional opportunities through potential drug commercialisation and infrastructure development that could lead to a sector re-rating. Market Positioning and Outlook The convergence of these factors - record market performance, favourable monetary conditions, substantial government liquidity support, and multiple growth themes - creates a compelling investment case for Singapore equities. The research suggests that 2026 will benefit from this unique combination of supportive elements, positioning the market for continued strong performance across various sectors and market capitalisations. Frequently Asked Questions Q: How did Singapore equities perform in 2025? A: Singapore equities registered their highest gains in 16 years, with the market rising 22.7% in 2025, compared to 16.9% in 2024. Q: What makes 2026 favourable for Singapore equities? A: Three key factors create a fertile environment: interest rates at 3½-year lows of 1.20%, deployment of the S$5 billion EQDP creating liquidity premiums for small and mid-cap stocks, and multiple investment themes supporting the market. Q: What are the three major investment themes for 2026? A: The themes are asset monetisation (particularly from Singtel, Keppel, and Sembcorp Industries), low interest rates benefitting equities and REITs, and a capex-driven earnings cycle across AI, renewable energy, and domestic investments. Q: Which sectors are expected to benefit from the capex cycle? A: Multiple industries will benefit from AI investments, renewable energy projects, and domestic capex. Healthcare specifically could see re-rating through potential drug commercialisation and infrastructure development. Q: How will low interest rates impact different asset classes? A: Low interest rates make equities more attractive compared to other investments while reducing borrowing costs for companies and supporting dividend growth, particularly benefiting REITs. Q: What is the S$5 billion EQDP and how does it affect the market? A: The Equity Development Programme (EQDP) is a S$5 billion initiative whose deployment will create an unprecedented liquidity premium specifically for Singapore small and mid-cap stocks. Q: Which specific companies are highlighted for asset monetisation opportunities? A: Phillip Securities Research specifically identifies Singtel, Keppel, and Sembcorp Industries as companies positioned to outperform through asset monetisation strategies. This article has been auto-generated using PhillipGPT. It is based on a report by a Phillip Securities Research analyst. Disclaimer These commentaries are intended for general circulation and do not have regard to the specific investment objectives, financial situation and particular needs of any person. Accordingly, no warranty whatsoever is given and no liability whatsoever is accepted for any loss arising whether directly or indirectly as a result of any person acting based on this information. You should seek advice from a financial adviser regarding the suitability of any investment product(s) mentioned herein, taking into account your specific investment objectives, financial situation or particular needs, before making a commitment to invest in such products. Opinions expressed in these commentaries are subject to change without notice. Investments are subject to investment risks including the possible loss of the principal amount invested. The value of units in any fund and the income from them may fall as well as rise. Past performance figures as well as any projection or forecast used in these commentaries are not necessarily indicative of future or likely performance. Phillip Securities Pte Ltd (PSPL), its directors, connected persons or employees may from time to time have an interest in the financial instruments mentioned in these commentaries. The information contained in these commentaries has been obtained from public sources which PSPL has no reason to believe are unreliable and any analysis, forecasts, projections, expectations and opinions (collectively the “Research”) contained in these commentaries are based on such information and are expressions of belief only. PSPL has not verified this information and no representation or warranty, express or implied, is made that such information or Research is accurate, complete or verified or should be relied upon as such. Any such information or Research contained in these commentaries are subject to change, and PSPL shall not have any responsibility to maintain the information or Research made available or to supply any corrections, updates or releases in connection therewith. In no event will PSPL be liable for any special, indirect, incidental or consequential damages which may be incurred from the use of the information or Research made available, even if it has been advised of the possibility of such damages. The companies and their employees mentioned in these commentaries cannot be held liable for any errors, inaccuracies and/or omissions howsoever caused. Any opinion or advice herein is made on a general basis and is subject to change without notice. The information provided in these commentaries may contain optimistic statements regarding future events or future financial performance of countries, markets or companies. You must make your own financial assessment of the relevance, accuracy and adequacy of the information provided in these commentaries. Views and any strategies described in these commentaries may not be suitable for all investors. Opinions expressed herein may differ from the opinions expressed by other units of PSPL or its connected persons and associates. Any reference to or discussion of investment products or commodities in these commentaries is purely for illustrative purposes only and must not be construed as a recommendation, an offer or solicitation for the subscription, purchase or sale of the investment products or commodities mentioned. This advertisement has not been reviewed by the Monetary Authority of Singapore.
ETF Market Analysis: Oil & Hang Seng Set for January Gains
Exchange-traded funds delivered mixed results in December, with notable divergence across asset classes. Gold-tracking ETF GLDM emerged as the top performer, gaining 2.3%, followed closely by Singapore equities ETF ES3, which advanced 2.2%. These gains contrasted sharply with the oil-tracking ETF XOP, which posted the month's worst performance, down 5.1%. Current Market Trends and Technical Analysis The current technical landscape reveals distinct patterns across major asset classes. Gold and Singapore equities have established clear upward momentum, positioning themselves favourably for continued strength. Meanwhile, several major indices and commodities are trading in a range-bound pattern. The S&P 500, US Treasury bonds, Oil, and the Hang Seng Index are all consolidating within defined trading ranges, suggesting potential breakout opportunities. Bitcoin stands out as the only asset class currently in a confirmed downtrend. January Outlook and Investment Opportunities Looking ahead to January, market conditions suggest selective opportunities for investors. Oil and Hang Seng Index ETFs are expected to outperform amid an otherwise lacklustre month for broader markets. This projection represents a notable shift for oil, which may recover from its poor showing in December. Conversely, investors should prepare for potential pullbacks in US Treasury bonds and gold ETFs, despite gold's strong December performance. The precious metal's recent gains may face near-term consolidation pressure. Market Consolidation Expected Several asset classes are likely to trade sideways in January. ETFs tracking the S&P 500, Bitcoin, and Singapore equities are expected to enter consolidation phases, suggesting limited directional movement despite varying underlying fundamentals. This mixed outlook reflects the complex interplay of global economic factors and technical conditions that continue to influence ETF performance across different asset classes and geographic regions. Frequently Asked Questions Q: Which ETFs performed best in December? A: Gold ETF GLDM was the top performer with a 2.3% gain, followed by Singapore equities ETF ES3 with a 2.2% increase. Q: What was the worst-performing ETF in December? A: Oil-tracking ETF XOP was the worst performer, declining 5.1% during the month. Q: Which asset classes are currently in uptrends? A: Gold and Singapore equities are currently showing upward momentum and established uptrends. Q: What assets are expected to outperform in January? A: ETFs tracking oil and the Hang Seng Index are expected to deliver gains in January. Q: Which ETFs may see pullbacks in January? A: US Treasury bonds and gold ETFs are likely to experience pullbacks despite gold's strong December showing. Q: What assets are in consolidation phases? A: The S&P 500, US Treasury bonds, Oil, and Hang Seng Index are currently in range consolidation, while Bitcoin is in a downtrend. Q: Which ETFs are expected to see sideways movement in January? A: ETFs tracking the S&P 500, Bitcoin, and Singapore equities are likely to experience price consolidation with limited directional movement. This article has been auto-generated using PhillipGPT. It is based on a report by a Phillip Securities Research analyst. Disclaimer These commentaries are intended for general circulation and do not have regard to the specific investment objectives, financial situation and particular needs of any person. Accordingly, no warranty whatsoever is given and no liability whatsoever is accepted for any loss arising whether directly or indirectly as a result of any person acting based on this information. You should seek advice from a financial adviser regarding the suitability of any investment product(s) mentioned herein, taking into account your specific investment objectives, financial situation or particular needs, before making a commitment to invest in such products. Opinions expressed in these commentaries are subject to change without notice. Investments are subject to investment risks including the possible loss of the principal amount invested. The value of units in any fund and the income from them may fall as well as rise. Past performance figures as well as any projection or forecast used in these commentaries are not necessarily indicative of future or likely performance. Phillip Securities Pte Ltd (PSPL), its directors, connected persons or employees may from time to time have an interest in the financial instruments mentioned in these commentaries. The information contained in these commentaries has been obtained from public sources which PSPL has no reason to believe are unreliable and any analysis, forecasts, projections, expectations and opinions (collectively the “Research”) contained in these commentaries are based on such information and are expressions of belief only. PSPL has not verified this information and no representation or warranty, express or implied, is made that such information or Research is accurate, complete or verified or should be relied upon as such. Any such information or Research contained in these commentaries are subject to change, and PSPL shall not have any responsibility to maintain the information or Research made available or to supply any corrections, updates or releases in connection therewith. In no event will PSPL be liable for any special, indirect, incidental or consequential damages which may be incurred from the use of the information or Research made available, even if it has been advised of the possibility of such damages. The companies and their employees mentioned in these commentaries cannot be held liable for any errors, inaccuracies and/or omissions howsoever caused. Any opinion or advice herein is made on a general basis and is subject to change without notice. The information provided in these commentaries may contain optimistic statements regarding future events or future financial performance of countries, markets or companies. You must make your own financial assessment of the relevance, accuracy and adequacy of the information provided in these commentaries. Views and any strategies described in these commentaries may not be suitable for all investors. Opinions expressed herein may differ from the opinions expressed by other units of PSPL or its connected persons and associates. Any reference to or discussion of investment products or commodities in these commentaries is purely for illustrative purposes only and must not be construed as a recommendation, an offer or solicitation for the subscription, purchase or sale of the investment products or commodities mentioned. This advertisement has not been reviewed by the Monetary Authority of Singapore.
SATS Builds Global Platform to Navigate Market Volatility
Company Overview SATS Ltd is a leading aviation services provider specializing in ground handling and cargo operations across multiple international markets. Following its successful integration of Worldwide Flight Services (WFS), the company has evolved into a comprehensive global air cargo operator with an expanded network spanning multiple continents. Key Investment Highlights SATS demonstrates remarkable operational resilience by strategically redeploying capacity to high-demand routes during periods of trade volatility. The company's proactive business development efforts have resulted in significant new contract acquisitions, positioning it favourably in the competitive aviation services sector. The transformational integration of WFS has fundamentally changed SATS' business model, shifting from station-specific or project-based incremental wins to securing network-wide cargo handling mandates. This strategic evolution enhances the company's value proposition to major airline clients seeking comprehensive global solutions. Major Contract Wins Drive Growth SATS has secured several landmark contracts for FY26, highlighting its emergence as a significant global air cargo operator. Notable achievements include an overseas hub-carrier contract with Riyadh Air, a multi-station cargo contract with Turkish Airlines in the United States, and a contract renewal for cargo handling operations in the US and Europe with Saudia Cargo. These wins demonstrate the company's ability to compete successfully for large-scale, multi-regional mandates. Research Recommendation and Outlook Phillip Securities Research has downgraded SATS to a NEUTRAL recommendation, while raising the target price to S$3.84 from S$3.66. The higher target price reflects expectations that the removal of the De Minimis exemption will have less disruptive impact on SATS' cargo operations in the Americas, supported by rising demand from US domestic freight routes. The research firm has increased its FY26e PATMI forecast by 5.5% to S$249 million. Earnings stability is expected to be underpinned by approximately 20 contract wins and renewals secured in FY25 and FY26, with phased revenue recognition across long contract tenures providing operational stability and predictable cash flows. Frequently Asked Questions Q: What is SATS' current stock recommendation and target price? A: Phillip Securities Research has downgraded SATS to NEUTRAL with a raised target price of S$3.84, up from the previous target of S$3.66. Q: How has SATS' business model changed after the WFS integration? A: SATS has transitioned from station-specific or project-based incremental wins to securing network-wide cargo handling mandates, establishing itself as a global air cargo operator. Q: What major contracts has SATS won for FY26? A:Key FY26 wins include an overseas hub-carrier contract with Riyadh Air, a US multi-station cargo contract with Turkish Airlines, and contract renewal for cargo handling in the US and Europe with Saudia Cargo. Q: How does SATS maintain operational resilience during trade volatility? A: SATS maintains resilience through capacity redeployment to routes with higher demand amid trade volatility and securing new contracts through business development efforts. Q: What are the revised earnings forecast for SATS? A: The FY26e PATMI forecast has been raised by 5.5% to S$249 million. Q: How many contract wins and renewals has SATS secured recently? A: SATS has secured approximately 20 contract wins and renewals in FY25 and FY26. Q: Why was the target price increased despite the downgrade? A: The higher target price reflects expectations that the removal of the De Minimis exemption will be less disruptive to SATS' cargo operations in the Americas, supported by rising demand from US domestic freight routes. Q: What provides earnings stability for SATS going forward? A: Earnings resilience is underpinned by the contract wins and renewals, with phased revenue recognition across long contract tenures providing stability. This article has been auto-generated using PhillipGPT. It is based on a report by a Phillip Securities Research analyst. Disclaimer These commentaries are intended for general circulation and do not have regard to the specific investment objectives, financial situation and particular needs of any person. Accordingly, no warranty whatsoever is given and no liability whatsoever is accepted for any loss arising whether directly or indirectly as a result of any person acting based on this information. You should seek advice from a financial adviser regarding the suitability of any investment product(s) mentioned herein, taking into account your specific investment objectives, financial situation or particular needs, before making a commitment to invest in such products. Opinions expressed in these commentaries are subject to change without notice. Investments are subject to investment risks including the possible loss of the principal amount invested. The value of units in any fund and the income from them may fall as well as rise. Past performance figures as well as any projection or forecast used in these commentaries are not necessarily indicative of future or likely performance. Phillip Securities Pte Ltd (PSPL), its directors, connected persons or employees may from time to time have an interest in the financial instruments mentioned in these commentaries. The information contained in these commentaries has been obtained from public sources which PSPL has no reason to believe are unreliable and any analysis, forecasts, projections, expectations and opinions (collectively the “Research”) contained in these commentaries are based on such information and are expressions of belief only. PSPL has not verified this information and no representation or warranty, express or implied, is made that such information or Research is accurate, complete or verified or should be relied upon as such. Any such information or Research contained in these commentaries are subject to change, and PSPL shall not have any responsibility to maintain the information or Research made available or to supply any corrections, updates or releases in connection therewith. In no event will PSPL be liable for any special, indirect, incidental or consequential damages which may be incurred from the use of the information or Research made available, even if it has been advised of the possibility of such damages. The companies and their employees mentioned in these commentaries cannot be held liable for any errors, inaccuracies and/or omissions howsoever caused. Any opinion or advice herein is made on a general basis and is subject to change without notice. The information provided in these commentaries may contain optimistic statements regarding future events or future financial performance of countries, markets or companies. You must make your own financial assessment of the relevance, accuracy and adequacy of the information provided in these commentaries. Views and any strategies described in these commentaries may not be suitable for all investors. Opinions expressed herein may differ from the opinions expressed by other units of PSPL or its connected persons and associates. Any reference to or discussion of investment products or commodities in these commentaries is purely for illustrative purposes only and must not be construed as a recommendation, an offer or solicitation for the subscription, purchase or sale of the investment products or commodities mentioned. This advertisement has not been reviewed by the Monetary Authority of Singapore.
Yoma Strategic Holdings Delivers Strong Property Performance in 1H26
Record Revenue Performance Yoma Strategic Holdings Ltd achieved its highest six-month revenue in 1H26, demonstrating significant operational improvements despite challenging market conditions. The company reported narrower losses of US$8.7 million compared to US$10.5 million in 1H25, marking a substantial improvement in overall financial performance. Property Development Drives Growth The standout performer in Yoma's portfolio was its property development division, Yoma Land Development, which delivered exceptional results with net profit doubling to US$15 million. This represents a remarkable 104% year-over-year jump in earnings, primarily driven by the success of Pun Hlaing Estate's landed projects. These premium developments have benefited from superior pricing power and healthy profit margins, positioning the division as a key growth driver for the company. Company Overview and Market Position Yoma Strategic Holdings operates as a diversified conglomerate with significant exposure to Myanmar's developing economy. The company's business portfolio spans property development, food and beverage operations, and mobile finance services. Through its property arm, Yoma focuses on developing high-quality residential and commercial projects that cater to Myanmar's growing middle class and expatriate community. Financial Resilience and Strategic Progress Despite a 9% currency decline, Yoma demonstrated remarkable operational resilience, growing core EBITDA by 50% year-over-year to US$20.5 million in 1H26. The company's ability to implement price increases in an inflationary environment has been crucial in maintaining and expanding operating margins across its business segments. The property development division continues to perform strongly, driven by its focus on projects with superior amenities and infrastructure. Meanwhile, the food and beverage segment has maintained stable earnings through strategic price adjustments to preserve margins. The mobile finance division is undergoing a strategic transition toward payments and deposit float as primary sources of profitability. Finance costs remain the company's most significant expense at US$18 million, down from US$20.1 million in 1H25. The company has initiated a deleveraging process to reduce interest expenses, supported by significantly improved operating cash flow, which climbed 150% year-over-year to US$16.9 million. With a current book value of S$0.189 per share, Yoma appears well-positioned for continued growth. Frequently Asked Questions Q: What were Yoma Strategic Holdings' key financial highlights in 1H26? A: Yoma reported its highest six-month revenue in 1H26 with narrower losses of US$8.7 million compared to US$10.5 million in 1H25. Core EBITDA grew 50% year-over-year to US$20.5 million despite a 9% currency decline. Q: Which business segment performed best during the period? A: Property development was the standout performer, with Yoma Land Development achieving a 104% year-over-year jump in earnings to US$15 million, driven by strong performance from Pun Hlaing Estate's landed projects. Q: How did Yoma manage to grow earnings despite currency headwinds? A: The company successfully implemented price increases across its business segments in response to inflationary pressures, which helped sustain margins and drive operating earnings growth. Q: What is driving the success of Yoma's property development business? A: The property development division benefits from projects with good amenities and infrastructure, particularly the premium-priced landed projects at Pun Hlaing Estate that enjoy healthy profit margins. Q: How is the company addressing its finance costs? A: Yoma has initiated a deleveraging process to reduce interest expenses. Finance costs decreased from US$20.1 million in 1H25 to US$18 million in 1H26, while operating cash flow improved significantly. Q: What is the current book value per share? A: The company's book value is currently S$0.189 per share. Q: How did operating cash flow perform in 1H26? A: Operating cash flow showed strong improvement, climbing 150% year-over-year to US$16.9 million in 1H26. Q: What strategic changes are occurring in the mobile finance business? A: The mobile finance division is transitioning toward payments and deposit float as primary sources of profitability, representing a strategic shift in its business model. This article has been auto-generated using PhillipGPT. It is based on a report by a Phillip Securities Research analyst. Disclaimer These commentaries are intended for general circulation and do not have regard to the specific investment objectives, financial situation and particular needs of any person. Accordingly, no warranty whatsoever is given and no liability whatsoever is accepted for any loss arising whether directly or indirectly as a result of any person acting based on this information. You should seek advice from a financial adviser regarding the suitability of any investment product(s) mentioned herein, taking into account your specific investment objectives, financial situation or particular needs, before making a commitment to invest in such products. Opinions expressed in these commentaries are subject to change without notice. Investments are subject to investment risks including the possible loss of the principal amount invested. The value of units in any fund and the income from them may fall as well as rise. Past performance figures as well as any projection or forecast used in these commentaries are not necessarily indicative of future or likely performance. Phillip Securities Pte Ltd (PSPL), its directors, connected persons or employees may from time to time have an interest in the financial instruments mentioned in these commentaries. The information contained in these commentaries has been obtained from public sources which PSPL has no reason to believe are unreliable and any analysis, forecasts, projections, expectations and opinions (collectively the “Research”) contained in these commentaries are based on such information and are expressions of belief only. PSPL has not verified this information and no representation or warranty, express or implied, is made that such information or Research is accurate, complete or verified or should be relied upon as such. Any such information or Research contained in these commentaries are subject to change, and PSPL shall not have any responsibility to maintain the information or Research made available or to supply any corrections, updates or releases in connection therewith. In no event will PSPL be liable for any special, indirect, incidental or consequential damages which may be incurred from the use of the information or Research made available, even if it has been advised of the possibility of such damages. The companies and their employees mentioned in these commentaries cannot be held liable for any errors, inaccuracies and/or omissions howsoever caused. Any opinion or advice herein is made on a general basis and is subject to change without notice. The information provided in these commentaries may contain optimistic statements regarding future events or future financial performance of countries, markets or companies. You must make your own financial assessment of the relevance, accuracy and adequacy of the information provided in these commentaries. Views and any strategies described in these commentaries may not be suitable for all investors. Opinions expressed herein may differ from the opinions expressed by other units of PSPL or its connected persons and associates. Any reference to or discussion of investment products or commodities in these commentaries is purely for illustrative purposes only and must not be construed as a recommendation, an offer or solicitation for the subscription, purchase or sale of the investment products or commodities mentioned. This advertisement has not been reviewed by the Monetary Authority of Singapore.
