Small-Cap Value Funds 

Investing in the stock market can be exhilarating and intimidating at the same time. One of many options available today is some small-cap value funds, which have gained much attention as capable delivery vehicles for tremendous returns. This guide comprehensively explains small-cap value funds, their performance dynamics, associated risks, investment strategies, and more. By the end, you will be well-equipped to make informed decisions regarding small-cap value funds. 

What Are Small-Cap Value Funds? 

Small-cap value funds are equity mutual funds or exchange-traded funds (ETFs) focused on the stocks of undervalued small-size companies. The companies concerned trade at low price-book (P/B), low price-earnings ratio (P/E), and price-cash flow ratio (P/CF), making them an excellent investment opportunity for capitalising on future growth and market corrections. 

What Are Small-Cap Value Stocks? 

The market capitalisation of companies associated with smaller-cap stocks would range from USD 300 million to USD 2 billion. Value also means the stock’s price is lower than the calculated intrinsic value derived from other financial metrics, such as earnings, assets, or cash flow. 

Important Characteristics 

  1. Market Capitalisation:

Small-cap companies are largely at the lower ranks. They are mainly in the growth stage and also have room for growth. 

  1. Value Metrics:

“Value” refers to how these companies trade cheaper at their estimated intrinsic values than the market values. 

Valuation metrics involved  

  • Low P/B ratios  
  • P/E ratios  
  • In high dividend yields in some cases 
  1. Growth Potential:

Many small-cap value stocks are in industries or sectors that have growth prospects but are experiencing cyclical headwinds that temporarily make the investment less appealing to investors. However, these stocks provide value to long-term investors. 

  1. Risk and Volatility:

Small-cap value funds are more volatile than large-cap funds because the underlying companies are relatively small and hence easily susceptible to market conditions. 

Understanding Small-Cap Value Funds 

To understand small-cap value funds, it is essential to understand their makeup, the companies they focus on, and how fund managers work. 

Investment Universe 

Small-cap value funds primarily target companies showing these characteristics: 

  • Lower Market Valuations: Stocks trading at a discount relative to their intrinsic value. 
  • Growth Potential: Businesses showing promise in future earnings and market potential. 
  • Financial Resilience: Businesses with sound fundamentals, despite market mispricing. 
  • Undervalued Sectors: Often, these funds invest in sectors experiencing temporary downturns but with a positive long-term outlook. 

Fund Manager Strategies 

Fund managers play a pivotal role in identifying suitable small-cap value stocks. Their strategies often involve: 

  • Thorough Financial Analysis: Examining a company’s health through profitability and growth metrics. 
  • Industry Trends: Identifying sector-specific trends that may drive the stocks. 
  • Valuation Techniques: Using fundamental analysis to find those stocks selling below their true value. 
  • Diversification: Spreading investments across different sectors and industries to mitigate risks. 
  • Active or Passive Management: Some funds are actively managed, while others track a small-cap value index. 

Performance and Risk of Small-Cap Value Funds 

Historical Performance Trends 

Historically, small-cap value funds have shown the possibility of beating other asset classes for long-term returns. Using financial data, it’s clear that small-cap value stocks in the US stock market have offered much more solid returns than large-cap and growth stocks during some periods.  

As examples: 

  • 5-Year Average Return: Approximately 11%–15% every year, depending on which fund and market condition has prevailed. 
  • 1-Year Returns (2023): Some funds have reported more than 30% yields because of market recoveries and undervalued opportunities. 

It is worth noting that although the performance of small-cap value funds in the past has been encouraging, past results alone are not a predictor of future performance. 

Risk Considerations  

Investing in small-cap value funds has natural risks, such as the following: 

  1. Market Volatility: Small-cap stocks are more volatile than large-cap stocks, which means that price swings are increasing.
  2. Economic Sensitivity: These equities are generally more sensitive to macroeconomic factors.
  3. Liquidity Risk: Small firms’ low trading volumes result in lower market liquidity, which increases the prospect of price impact during a purchase or sale.
  4. Company-Specific Risks: Bad management, debt, and operational problems are some of the factors that can seriously affect small-cap companies. Before investing capital, these risks must be compared with investment goals and time horizons.

Investment Strategies in Small-Cap Value Funds 

  1. Long-Term Investment Horizon

Small-cap value stocks may also require some time to see their real market value. An indicative holding period of 5–10 years will also help these companies grow, recover from temporary failure, and get maximum returns. 

  1. Diversification

The diversification in small-cap value funds will act as an important tool of risk management. Diversified funds invest in several sectors and industries to ensure that the failure of the stocks does not have a strong effect on the fund. 

  1. Active Monitoring

Small-cap value funds should periodically be reviewed to ensure proper performance. Investors, too, must be well-equipped with market conditions to identify assets or sectors that may not perform and make strategic adjustments in those areas. 

  1. Dollar-Cost Averaging

The fixed amount invested periodically will reduce the impact of market volatility. The strategy will ensure the purchase of more shares at lower prices and fewer at higher prices, which will average the cost in the long run. 

Examples of Small-Cap Value Funds 

Several well-reputed small-cap value funds exist, especially in developed markets like the United States. Below are some examples of small-cap value funds, with their unique strategies, performance, and benefits to investors. 

  1. Vanguard Small-Cap Value Index Fund (VSIAX)

It is a favourite investment option for those who want to access a diversified portfolio of small-cap value stocks. The fund tracks the CRSP US Small-Cap Value Index, which contains a wide range of undervalued companies across all sectors. 

Key features 

  • Low Expense Ratio: The expense ratio of the Vanguard Small-Cap Value Index Fund is extremely low, at 0.07%. This makes it one of the ideal choices for long-term investors seeking minimal investment costs. 
  • Diversification: The fund invests in hundreds of small-cap stocks, providing broad market exposure while minimising the risks associated with individual stock performance. 
  • Performance: The fund has historically delivered consistent returns aligned with the overall small-cap value segment and outperformed many actively managed alternatives over extended periods. 

This fund appeals to passive investors who care more about low costs and broad exposure to small-cap value stocks. Hence, it can be used as a cornerstone for diversifying portfolios. 

  1. Dimensional U.S. Targeted Value Portfolio (DFFVX)

Dimensional Fund Advisors runs an actively managed fund with a target of small-cap value stocks with high profitability. This follows the use of stringent filters that look for companies that, at attractive valuations, show a solid base. 

Key Features 

  • Active Management: The fund has active management, and the managers can spot specific opportunities and react to any changes in market conditions. 
  • High-quality metrics: The portfolio’s investments are based on strong profitability metrics, which act as a buffer to balance the intrinsic risks within small-cap investing. 
  • Expense Ratio: Although higher than index funds, the expense ratio of around 0.44% is competitive for an actively managed fund. 

This fund is ideal for investors who want a more hands-on approach to small-cap value investing, with a chance of higher returns because of strategic stock selection. 

  1. TIAA-CREF Small-Cap Blend Index Fund (TISBX)

The TIAA-CREF Small-Cap Blend Index Fund tracks the Russell 2000 index and combines the features of small-cap value and growth stocks, thus giving exposure to a mix of the best value and growth stock opportunities in the small-cap universe. 

Key Features 

  • Broad Exposure: This will include undervalued and high-growth stocks within the small-cap market. 
  • Low Expense Ratio: The fund’s expense ratio is 0.06%, making it very cost-effective. Therefore, minimal drag on returns will occur. 
  • Stability and Balance: The blending strategy will reduce volatility as the investor diversified across value and growth stocks. 

This fund suits investors seeking a middle ground between value-focused and growth-oriented small-cap funds. It offers steady growth potential without excessive risk. 

Frequently Asked Questions

Know how much risk you can take given your financial goals and investment time horizon. 

  • Diversify portfolio: Invest in asset classes and funds that lower general risk. 
  • Research Thoroughly: Before investing in that fund, know the prior performance of the fund management strategy and check your expense ratio. 
  • Stay disciplined: Avoid decisions made when short-term market movements come into play. 
  • Seek professional Advice: Seek a financial consultant for individualised investment advice. 

The impact of corporate actions, including mergers and acquisitions, stock splits, and declaration of dividends, is enormous on small-cap value funds. For instance, 

  • Mergers and Acquisitions: A large corporation’s takeover of a small-cap company immediately increases the price and the subsequent gain to the fund. 
  • Dividends: Small-cap value funds of firms with stable dividend payments tend to boost the investment’s net return. 
  • Stock Splits: When companies have a stock split, their value does not alter, but they increase liquidity, attracting many more investors to that firm. 

Investment Focus: 

  • Investment in an investor value fund is in undervalued stocks. Sinvest funds invest in companies that can, which may have a relatively high valuation. 

Risk Profile: 

  • Growth funds have a higher risk profile; instead, value funds may be relatively stable for investment. 

Return Prospect: 

  • The value fund would provide stable returns in the long run. On the other hand, a growth fund will give more significant returns with increased risks. 
  • Diversification: This refers to spreading investments in various companies and sectors. 
  • Regular Monitoring: Monitor fund performance and rebalance according to need. 
  • Set Realistic Goals: Understand that small-cap value funds take time to produce significant returns. 
  • Education: Keep abreast of the market trends and economic conditions affecting small-cap stocks. 
  • Expense Ratio: Lower expense ratios are preferred since they reduce the investment cost. 
  • Performance History: Check the fund’s performance history over 1, 3, and 5 years. 
  • Portfolio Composition: Seek diversification across industries and geographies. 
  • Management Team: Experience and reputation of the fund managers in managing the funds 
  • Liquidity: Trade volume will ensure ease of joining and leaving. 

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    JEP Holdings Ltd Positioned for Multi-Year Growth in Semiconductors and Aerospace

    Published on Oct 12, 2026 33 

    Brief Overview Phillip Securities Research has initiated coverage of JEP Holdings Ltd with a positive outlook, highlighting the company's strategic pivot from traditional aerospace manufacturing to specialised semiconductor components. The analyst expects the company to benefit from a new partnership with a major semiconductor customer, continued aerospace recovery, and organic growth through its parent company, UMS Integration. Net profit is projected to almost quadruple from FY25 to FY27e.   Investment Positives The most significant growth driver identified is JEP's partnership with a major front-end semiconductor customer to supply specialised plastic components. These components are believed to be used in wet etch, deposition and plating processes of advanced semiconductor packaging for next-generation AI chips. JEP has proactively invested in new capacity ahead of what the analyst expects to be a multi-year ramp, with the company increasing capex spending by more than 2x year-on-year to S$20.6 million in FY25 to expand capabilities in Singapore. Mass production of these specialised plastic components is expected to drive equipment revenue in FY27e up by more than 100% year-on-year to approximately S$50 million. The aerospace segment presents another compelling opportunity, with stronger demand emerging from improved aircraft deliveries. Bottlenecks in aircraft deliveries are easing, and widebody deliveries are expected to increase by 13% CAGR over the next three years. Boeing has increased its 787 Dreamliner production target from 8 to 10 jets monthly by 2026 and expects the first delivery of its 777X widebody jet programme by 2027e. JEP's aerospace revenue rose 37.5% year-on-year to S$15.8 million in 1H26, driven by stronger widebody aircraft deliveries. The company also benefits from its relationship with its parent company UMS Integration, with approximately 30% of JEP's semiconductor metal part orders coming from UMS. The analyst notes that JEP's aerospace-grade machining capabilities can be applied to manufacturing semiconductor parts. In 1H26, semiconductor revenue surged 23% year-on-year to S$8.4 million, driven by AI-led semiconductor capex upcycle.   Challenges The report does not explicitly identify significant investment challenges or risks facing JEP Holdings.   Outlook The analyst maintains an optimistic outlook, expecting JEP to ride on the organic growth of its parent company UMS Integration. As both UMS and JEP's key semiconductor front-end equipment customers have raised expectations for 2026 WFE spend to approximately US$150 billion (previously US$135-140 billion), this is expected to drive demand for JEP's semiconductor revenue.   Recommendation & Target Price Phillip Securities Research initiates coverage with a BUY recommendation and target price of S$0.83. The target price is based on 28x FY27e P/E, representing a 7% discount to peers' average forward P/E of 30x.   Frequently Asked Questions [market_journal_faq] 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. 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    Snowflake Inc – Growth from Rising Coding and AI Agent Activities

    Published on Oct 9, 2026 44 

    Brief Overview Phillip Securities Research highlights that rising enterprise data volumes and AI adoption are accelerating cloud-native platform adoption, with the global data lake market projected to reach US$45.8 billion by 2030. AI products contributed roughly half of 2Q27 growth acceleration, with CoCo and CoWork surpassing 9,100 and 5,800 adopted accounts respectively, helping drive 37% YoY product revenue growth. The firm initiates coverage with a BUY recommendation and DCF-based target price of US$423.   Investment Positives The investment case for Snowflake is anchored on several compelling growth drivers. Rising enterprise data volumes and AI adoption are accelerating the shift from on-premises infrastructure to cloud-native data platforms. Enterprises increasingly require scalable, cost-efficient storage and compute capabilities to manage growing datasets and support AI workloads, driving demand for modern data architectures. IBM estimates the global data lake market will reach US$45.8 billion by 2030, representing a 23.9% CAGR from 2024, supporting a sizeable long-term growth opportunity for Snowflake. AI products are proving to be a significant catalyst, contributing roughly half of growth acceleration in 2Q27. This was driven by the rising adoption of CoCo and CoWork, with over 9,100 and 5,800 adopted accounts respectively. Expanding AI coding, agent, and application development workloads helped drive 37% YoY product revenue growth to US$1.5 billion in 2Q27 and contributed to Snowflake's strongest revenue growth in three years. The consumption-based model provides significant leverage to AI adoption. With 95% of revenue being consumption-based, usage is directly linked to revenue. Growing analytics and AI workloads drive higher compute usage, with AI being far more compute-intensive than traditional analytics. Growth is driven by both new customers and higher consumption from existing customers. Customers purchase credits upfront and consume them as workloads run, whilst higher-value products drive greater usage, credit consumption, and spending.   Challenges The report does not explicitly outline specific investment challenges or risks facing Snowflake.   Outlook The analyst forecasts strong growth momentum, projecting product revenue to grow 36% YoY to US$6.08 billion in FY27e, with adjusted EPS rising 63% YoY and an adjusted FCF margin of 23.8%. The consumption-based revenue model directly links AI-driven compute usage to revenue growth as customers consume more credits and increase spending on higher-value workloads.   Recommendation & Target Price Phillip Securities Research initiates coverage with a BUY recommendation and a DCF-based target price of US$423, based on a 5.7% WACC and 5.1% terminal growth rate.   Frequently Asked Questions [market_journal_faq] 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. 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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. 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    City Developments Limited Charts Clear Growth Path with Strategic Overhaul

    Published on Oct 9, 2026 35 

    Brief Overview City Developments Limited has unveiled its 'GET+' three-year roadmap for FY27-FY29, positioning Singapore as its core market while executing a major exit from Australia across all sectors except hospitality assets. The strategic review targets S$5 billion of growth investments and S$6 billion of divestments to unlock value and achieve deleveraging goals. The company aims to establish a dedicated fund management platform to double assets under management to S$10 billion across listed and private platforms.   Investment Positives The strategic review delivers several compelling growth drivers that strengthen CDL's investment proposition. The roadmap provides greater clarity on capital allocation priorities and establishes a credible path to deleveraging, addressing a key concern for investors. The S$6 billion divestment programme represents a significant value unlock opportunity, with over S$1bn billion of profit after tax and minority interests expected from divestment gains, equivalent to approximately S$1.12 per share. The monetisation strategy is well-diversified, comprising S$2.7 billion in commercial assets, S$1.8 billion in hotels, and S$1 billion in residential properties across the UK and Australia. CDL's fund management expansion offers particularly attractive prospects for sustainable growth. The dedicated fund management entity aims to double assets under management from S$5 billion to S$10 billion by FY29, encompassing both listed REIT platforms and an expanded private capital platform through funds, partnerships and joint ventures. This initiative supports a more capital-light growth model whilst building a recurring fee income stream and improving capital efficiency, potentially supporting higher return on equity over time. The company's development pipeline remains robust, with over S$6 billion of projected property development cash inflows from existing projects providing additional financial strength. The growth investment strategy is geographically focused, with 60% allocated to Singapore, 30% to China and Japan, and 10% to other markets across residential, commercial, hospitality and living sectors.   Outlook The strategic review establishes four key financial targets that define CDL's trajectory through FY29. The company aims to achieve a dividend payout of at least 35% of reported profit after tax and minority interests annually, whilst reducing net gearing from 75% as at 1H26 to 55% by FY29. The divestment programme targeting over S$1 billion of profit realisation, combined with the doubling of assets under management, positions the company for enhanced capital efficiency and sustainable growth.   Recommendation & Target Price Phillip Securities Research maintains a BUY recommendation with an unchanged RNAV target price of S$11.32, representing a 25% discount to the RNAV of S$15.09. No changes have been made to existing forecasts following the strategic review announcement.   Frequently Asked Questions [market_journal_faq]   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. 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    Phillip Securities Research: Monday Morning Call – Key Market Updates and Investment Insights – 28 Sep 2026

    Published on Oct 9, 2026 27 

    Event: Phillip Securities Research Monday Morning Call Executive Summary Phillip Securities Research conducted their weekly Monday Morning Call, covering key market developments including a new Snowflake initiation, VinFast site visit findings, SPL Lifestyle credit update, and comprehensive technical analysis of major indices. The session provided insights into AI-driven data platforms, electric vehicle manufacturing, and current market conditions amid rising interest rates.   Snowflake Initiation: Riding the AI Data Wave Target Price: US$423 (26% upside potential) Rating: Buy   Company Overview Snowflake operates as a leading AI data cloud platform, helping enterprises transition from traditional on-premise infrastructure to scalable, cloud-native solutions. The company serves large-scale customers managing hundreds of petabytes of data across various industries. Key Investment Thesis 1. Rising Data Volumes: The shift to cloud storage is accelerating as businesses digitise operations and adopt AI technologies 2. AI Product Momentum: Snowflake Cortex and Snowflake Copilot are driving significant adoption, contributing roughly half of recent quarter growth acceleration 3. Consumption-Based Model: Unlike traditional SaaS companies, 95% of Snowflake's revenue comes from usage-based billing, directly benefiting from increased AI adoption Financial Highlights Revenue Growth: 35% year-over-year in recent quarter (strongest in 3 years) Customer Growth: 32% increase in new customers year-over-year Gross Margin: Maintained at 68% despite aggressive computing investments Cash Position: Strong balance sheet with US$4.3 billion in cash and investments Risk Factors Competition from hyperscalers (AWS Redshift, Microsoft Fabric, Google BigQuery) Consumption model sensitivity to economic conditions Potential AI spending normalisation in the long term   VinFast Auto: Site Visit Insights Key Findings from Factory and Dealership Visits Domestic Dominance vs. International Challenges VinFast maintains strong market position in Vietnam due to comprehensive ecosystem advantages, including charging infrastructure, dealer networks, and taxi fleet integration. However, overseas expansion faces significant headwinds from established Chinese competitors like BYD. Manufacturing Capabilities Car Production: Highly automated facilities comparable to scaled-down BYD operations Scooter Manufacturing: Manual assembly process for millions of units annually Robotaxi Development: Early-stage autonomous vehicle programme using hybrid camera-LiDAR approach Market Dynamics Positive Factors: Strong domestic brand loyalty and patriotic consumer preference Rising fuel prices driving EV adoption Comprehensive charging infrastructure Challenges: Scale disadvantage: 23 times smaller than BYD (4.6 million vs 200 thousand units) High financing costs: 10% first-year interest rates, 15-18% floating rates Limited international competitiveness outside Vietnam   SPL Lifestyle: Credit Profile Update Following 5-Year Bond Issuance Business Segments 1. Jewelry & Luxury Retail: Poh Heng, Goldheart, Maxi Cash brands 2. Pawn Broking: Operations in Singapore and Malaysia 3. Secured Lending: Property-backed lending in Australia via BigFundr platform Credit Improvements EBITDA Growth: 45% increase to US$106 million, driven by retail margin expansion Interest Coverage: Improved from 4.3x to 6.5x Leverage Reduction: Debt-to-tangible equity declined from 3.1x to 2.2x Key Considerations Liquidity Concern: US$83 million cash vs. US$567 million short-term borrowings Gold Price Sensitivity: Inventory positioned 30-40% below prevailing gold prices Refinancing Requirements: Significant short-term borrowing rollover needed   Technical Analysis: Market Outlook S&P 500 Recent Performance: Up 1.2% last week Technical Setup: Breakout from August wedge consolidation Support Levels: 7,655-7,700 (trend line and 20 SMA) Resistance: 7,780-7,820 (upper Bollinger Band to previous high)   STI Index Performance: Down 5.4% month-to-date Technical Indicators: Oversold RSI at 27.5, overextended ADX above 40 Support: 956-972 area Resistance: 985-995 region   Fed Rate Hike Analysis Historical data shows equity markets generally remain resilient during rate hike cycles: Initial 3-month period typically sees modest drawdowns (avg. -1.1%) 12-month performance averages +4.1% following rate hike initiation Gradual hiking cycles outperform aggressive ones by 9.3% over 12 months   Singapore Market Weekly Update Population Growth Current trajectory tracking slightly below 2013 White Paper projections Average annual increase of 100,000 over past three years (vs. 30,000 pre-pandemic) Supporting domestic consumption sectors   Interest Rate Environment October rate hike probability increased to 70% (from 50%) Singapore banks positioned differently from US counterparts due to rate cycle timing REITs expected to remain under pressure in near term   Frequently Asked Questions [market_journal_faq]   *Disclaimer: This information is for educational purposes only and should not be considered as investment advice. Please consult with qualified financial professionals before making investment decisions. *   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. 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    Phillip Securities Research Morning Call: Market Updates and Strategic Outlook – 5 Oct 2026

    Published on Oct 8, 2026 37 

    The latest Phillip Securities Research Morning Call provided comprehensive insights into market developments, featuring updates on Micron's quarterly results, CDL's strategic review, technical analysis of major indices, and Singapore's economic indicators. The session highlighted both opportunities and challenges across various sectors and geographies.   Micron Shows Promising Signs with Strategic Customer Agreements Micron Technology delivered fourth-quarter results that met expectations, with revenue and earnings driven primarily by rising average selling prices (ASPs) for both DRAM and NAND memory products amid ongoing shortage conditions. The most significant development was Micron's announcement of 10 new Strategic Customer Agreements (SCAs), bringing the total to 26 agreements expected to exceed 35% of revenue through 2030. These SCAs represent a marked improvement over previous long-term contracts, featuring stricter terms including "take or pay" contracted volumes requiring 20% deposits and price floors to mitigate future downcycles. This structure should provide greater revenue stability and earnings predictability for the memory giant. However, Micron also announced higher capital expenditure guidance for the first half of fiscal 2025, representing more than 60% of previous guidance. Management justified this increase as necessary to meet customer demand through facility expansions in the US, Singapore, and Taiwan. Looking ahead, Micron anticipates substantial share repurchases starting 9 December, as the two-year CHIPS Act restriction period expires. The company plans to return 100% of excess cash through buybacks, potentially totaling US$70 billion based on current projections, which could boost earnings per share by approximately 6%.   CDL's Strategic Review Faces Market Scepticism City Developments Limited (CDL) unveiled its "GET Plus" strategy, a three-year plan focusing on four core sectors: residential, commercial, hospitality, and living. The strategy involves US$5 billion in growth investments and US$6 billion in divestments for capital recycling and deleveraging. Key objectives include maintaining dividend payouts above 35% of reported earnings, reducing leverage to 55% by FY2029 from current levels of 75%, and doubling assets under management from US$5 billion to US$10 billion. The company expects to unlock over US$1 billion in divestment gains from the planned asset sales. Despite these ambitious plans, CDL's share price declined 15% following the announcement. Market scepticism stems from the lack of detailed financial outcomes, absence of specific ROE targets, and limited visibility on the financial benefits of the strategy. Unlike comparable strategic reviews by peers like Hong Kong Land, CDL's plan was perceived as less concrete and execution-dependent. The geographic focus remains on Singapore as the core market, with plans to gradually exit Australia except for hospitality assets. Of CDL's 54 owned hotels valued at US$8.6 billion, management categorised 60% as core assets to retain, 20% for enhancement through asset improvement or redevelopment, and 20% (US$1.8 billion) for divestment.   Strong Singapore Economic Data Signals Recovery Singapore's economic indicators showed remarkable strength, with the PMI reaching its highest level in almost eight years and accelerating from the previous month. The banking sector demonstrated exceptional loan growth of 13.5%, representing a record acceleration and doubling the 6% growth from a year ago. This robust loan growth, driven primarily by data centers, technology, energy, renewables, and acquisition financing, provides banks with both volume increases and pricing power as SORA rates turn positive year-over-year. Manufacturing remains the fastest-growing loan segment, while housing and consumer loans maintain stable mid-single-digit growth rates. The strong economic momentum in Singapore contrasts with challenges elsewhere, as semiconductor exports from Korea continued robust growth at 26.3% in September, indicating sustained demand in the technology sector.   Technical Analysis Points to Cautious Optimism The S&P 500 showed resilience despite a slight 0.2% decline last week, holding key support at 5,655 around the gap-fill level and 20-day moving average. The index maintained its breakout above a wedge consolidation pattern, with Friday's gap higher suggesting continued underlying strength. Historical analysis of weak market breadth conditions provides encouragement. When less than 25% of S&P 500 constituents trade above their 50-day moving averages – a condition that occurred on 20 September – markets have historically performed well afterward, averaging 1.8% gains one week later and nearly 16% a year later. September proved challenging across most asset classes, with only Bitcoin ETFs posting gains (+5.4%) while gold ETFs declined 6.7%. October expectations remain muted, with most assets likely to consolidate sideways, though gold, Singapore equities, and the Hang Seng Index may extend their weakness.   EQDP Program Shows Structural Impact on Small-Mid Caps The Equity Development Partnership Program (EQDP) continues demonstrating its structural catalyst effect on Singapore's small and mid-cap stocks. Since the program's announcement in February, dedicated Singapore equity funds have grown five-fold from US$1 billion to US$5 billion by August, with OCBC's fund expanding most dramatically from US$200 million to US$2 billion. The program has also increased institutional participation, with more small-mid cap stocks achieving 5% institutional stakes. While recent performance has been mixed, the historical pattern shows strong outperformance typically occurs 6-12 months after fund allocation rather than immediately following announcements.   Sector Outlook: Semiconductors and Oil & Gas Favored For attractive EQDP allocation targets, analysts favor the semiconductor sector, noting the upcycle only began in early 2024 when TSMC raised capital expenditure. Singapore semiconductor companies are just beginning to show earnings improvement from this cycle, suggesting continued momentum ahead. The oil and gas sector also presents opportunities due to expected capital expenditure increases driven by high oil prices and energy security concerns. However, the construction sector faces headwinds from elevated diesel prices related to Middle East conflicts, though private sector demand shows signs of strengthening with contract awards up 25% year-to-date through July.   Frequently Asked Questions [market_journal_faq]   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. 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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.

    Micron Technology Strengthens Position with Strategic Customer Agreements

    Published on Oct 8, 2026 32 

    Brief Overview Micron Technology reported strong fourth-quarter 2026 results with revenue and adjusted PATMI within expectations, driven by a dramatic surge in memory pricing. The company secured 10 new strategic customer agreements during the quarter and provided an optimistic outlook for memory market conditions. Phillip Securities Research maintains a BUY recommendation with a raised target price.   Investment Positives Micron's strategic positioning has strengthened significantly through new customer agreements. The company signed 26 Strategic Customer Agreements (SCAs) to date, up from 16 in the third quarter of 2026, which management guided to represent over 35% of revenue through 2030. These agreements feature much stricter terms than previous long-term contracts, including cash deposits and take-or-pay contracted volumes with price floors. Two SCAs were extended by a year to 2031, demonstrating customer commitment to long-term supply security. The financial impact of these agreements is substantial. Remaining performance obligations rose to approximately US$150 billion from US$100 billion in the third quarter, representing 13% higher than FY26 revenue. Financial commitments increased 45% to US$32 billion from US$22 billion, with the majority consisting of cash deposits. Memory pricing has surged dramatically, driving exceptional profitability. DRAM and NAND average selling prices spiked by an estimated 232% and 383% year-on-year respectively, propelling fourth-quarter 2026 net profit up more than 10-fold to US$38.4 billion. Gross and net margins reached record levels of 87% and 71% respectively, compared to 85% and 70% in the previous quarter. Supply constraints are expected to persist, supporting pricing strength. Cleanroom space across the industry remains constrained, as new fabrication facility expansions typically require 2-4 years to complete. Management expects memory and storage conditions to be "much tighter" in 2027 and 2028 than the current year, with hyperscalers and high-end processor chip companies prioritising memory supply security through 2031 with approximately 20% cash deposits.   Challenges The report does not explicitly identify significant investment negatives or challenges facing Micron Technology.   Outlook Micron anticipates a worsening memory and storage shortage from 2027-2028, which should support continued strong pricing and profitability. The company plans to return all excess cash to shareholders, primarily through buybacks, starting from 9 December 2026 when CHIPS Act restrictions end. The base case projection suggests returning approximately US$70 billion in FY27, equivalent to roughly US$1,100 per share, potentially boosting earnings per share by about 6%.   Recommendation & Target Price Phillip Securities Research maintains a BUY recommendation with a raised target price of US$1,950, up from the previous US$1,870. The analysts increased FY27 revenue and adjusted PATMI forecasts by 11% and 22% respectively due to expected rises in DRAM and NAND prices, whilst lowering FY27 price-to-earnings assumptions to 12x from 14x.   Frequently Asked Questions [market_journal_faq]   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.

    PhillipCapital Strategy & Stock Picks 4Q2026: Key Sectors and Equity Market Outlook

    Published on Oct 8, 2026 39 

    Brief Overview Singapore equities posted their fifth consecutive and strongest quarterly gain, rising 9.8% in 3Q26 and reaching a fresh record on 4 September. A 22% year-to-date advance ranks Singapore as Asia's fourth-best performer. Banks led the outperformance on above-consensus 2Q26 results driven by a jump in wealth management fees, while shipbuilders rallied on an order book recovery as US-to-China container freight rates surged 36%. Cost pressures and demand headwinds weighed on consumer and food-related counters, and a spike in bond yields triggered a de-rating across S-REITs.   Investment Positives The Equity Development Programme (EQDP) has served as a structural catalyst for Singapore's small-mid cap stocks. Now in its 3rd phase — with S$5.4 billion of the S$6.5 billion allocation announced cumulatively — EQDP has driven a rally in small-mid caps since its February 2025 announcement. Institutional participation has become more significant, with higher-conviction ownership in small-mid cap names, and Singapore-dedicated equity fund assets under management soared almost five-fold over the past eight months. Rising global bond yields are not expected to derail growth. Higher yields mirror improving economic conditions, and aggressive AI-driven capital expenditure is accelerating corporate demand for capital, marking a transition from a savings glut to a capital-starved world. Banks remain a favoured sector, with rising interest rates providing pricing power alongside loan volume growth. Semiconductors are viewed especially positively — the earnings upcycle has only just begun this year, making the sector an attractive EQDP target. Oil and gas enjoy a revival due to energy security concerns, firmer oil prices stimulating a capex cycle, and Offshore Support Vessel operators benefiting from an ageing fleet and tight yard capacity. A 60% year-to-date rally in coal prices alongside a 50% output expansion provides strong earnings leverage for Geo Energy. In construction, building materials and dormitories are preferred segments, with order momentum expected to peak post Terminal 5 awards. Singtel was added to the Absolute 10 portfolio, offering structural earnings and monetisation drivers through data centres and GPU-as-a-Service, with mobile price repair underway across multiple Asian markets.   Challenges Uncertainty over bond yields and inflation risk from the Middle East conflict keeps REITs under pressure. The Fed raised rates by 25 basis points to 3.75–4.00%, with further tightening likely, and rate expectations swung up 112 basis points from December 2025 to September 2026. Rising government bond yields have made Singapore equities less attractive, with the earnings yield spread over two-year bond yields at multi-year and one standard deviation lows, potentially capping overall market multiples. Property stocks have de-rated due to interest rate worries, with high rates in Australia and the UK dampening valuations and asset monetisation efforts. Hospitals and consumer sectors face headwinds — insurance payers are pressuring healthcare providers on pricing, while consumer spending continues to reel from rising inflation. REITs fell 10% this year, with 17 REITs or trusts hitting new 52-week lows in a single week.   Outlook Singapore equities trade at a premium 17x PE, above the historical average of 15x, but this is justified by growing earnings momentum across multiple sectors. The key risk is whether elevated bond yields begin to present headwinds. The Absolute 10 model portfolio rose 5.5% in 3Q26, underperforming the broader market's 9.8% gain, with drags from profit-taking in Frencken and poor results from Sembcorp Industries.   Recommendation & Target Price In the Absolute 10 model portfolio for 4Q26, Phillip Securities Research removed Stoneweg Europe Stapled Trust and added Singtel. The portfolio maintains overweight positions in banks, semiconductors, and oil and gas, while remaining underweight REITs, hospitals, and consumer sectors.   Frequently Asked Questions [market_journal_faq]   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.

    AvePoint Inc.: AI Revolution Drives Demand for Independent Data Governance Solutions

    Published on Oct 8, 2026 18 

    Brief Overview AvePoint Inc., a US-headquartered SaaS company, has achieved a historic milestone by completing a secondary listing on the Singapore Exchange in September 2025, becoming the first of its kind to dual list in Singapore. The company is well-positioned to benefit from the surge in global AI spending, which is forecast to grow 49.5% year-on-year to US$2.7 trillion in 2026. With 73% of organisations already operating hybrid-cloud environments, the increasing complexity of AI-related data, security and costs is driving demand for independent governance solutions.   Investment Positives The analyst identifies several compelling investment merits for AvePoint. AI adoption is creating dual opportunities in governance and cost optimisation. As AI-driven errors can propagate and cause significantly greater damage than human errors within short timeframes, enterprises are increasingly requiring fast recovery capabilities to minimise operational disruption. Simultaneously, the rapid escalation in AI spending is making cost optimisation a critical priority for companies scaling their AI adoption. AvePoint addresses these challenges by helping enterprises optimise costs across three key areas: identifying underutilised licences to right-size software spending, clearing redundant data to reduce cloud storage and training costs, and implementing agent cost tracking to rationalise underutilised agents and reduce overall AI expenditure. The company's multi-platform approach creates a structurally competitive advantage. As enterprises increasingly adopt fragmented combinations of Microsoft, Google, Salesforce, AWS and other platforms to access best-of-breed capabilities whilst comparing costs and avoiding excessive vendor dependence, the need for independent oversight grows. Individual vendors can only provide analytics within their own ecosystems and lack visibility across broader IT environments. This positions AvePoint favourably as an independent player capable of consolidating data, usage, governance, and cost insights across multiple platforms into a single control layer. AvePoint has demonstrated sustained strong financial performance with structurally improved profitability. Annual Recurring Revenue increased from US$215 million in FY22 to US$417 million in FY25, representing a 25% compound annual growth rate. Growth remained robust at 27% year-on-year in 2Q26. Non-GAAP operating margin expanded significantly from -1.2% in FY22 to 18.9% in FY25.   Challenges The analyst notes that increased investments to capture AI-related opportunities are expected to temporarily moderate margins in FY26. However, non-GAAP operating income is still guided to grow 10% year-on-year despite these investment pressures.   Outlook The analyst expects continued strong performance with revenue growth of 23% in FY26e and 20% in FY27e, reflecting the company's strong positioning in the evolving AI landscape.   Recommendation & Target Price Phillip Securities Research initiates coverage of AvePoint Inc. with an ACCUMULATE rating and a target price of S$20.00. The valuation is based on a discounted cash flow analysis utilising a 7.9% weighted average cost of capital and a 5.0% growth rate.   Frequently Asked Questions [market_journal_faq]   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.

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