Daily Morning Note – 8 Oct 2020


Asian stocks looked set to follow their U.S. peers higher as investors mulled encouraging signs for Joe Biden in the presidential election race and what it could mean for stimulus. Treasury yields pushed higher and the dollar slipped. Futures rose in Japan and Hong Kong, and stocks climbed in Australia. U.S. contracts were little changed following the S&P 500’s 1.7% overnight advance. Nancy Pelosi signaled openness to an airline-relief bill in talks with Steven Mnuchin after President Donald Trump scuttled broader negotiations, while a fresh round of state polls showed Biden is widening his lead in a slew of crucial battleground states. Treasuries declined, sending the 10-year yield up to 0.79%.


ALPHA Energy Holdings said on Wednesday that independent auditor Nexia TS Public Accounting Corporation has issued a disclaimer of opinion in the group’s financial statements for the financial year ended Dec 31, 2019 (FY2019). With the financial statements prepared on a going-concern basis, Nexia has written that it is “unable to obtain sufficient audit evidence to be able to form an opinion as to whether the going-concern basis of preparation of the accompanying financial statements of the group or company is appropriate”.

THE net profit of Catalist-listed Fortress Minerals doubled to nearly US$5.7 million for the second quarter ended Aug 31, from US$2.5 million a year ago on the back of higher sales volume of iron ore. The healthy sales order books is a signal that demand for iron ore concentrate remains strong, said the group in its financial statements released on Wednesday. The company recorded earnings per share of 1.14 US cents for the quarter, compared to 0.50 US cent a year ago.

MAGNUS Energy Group is seeking an extension of around two months to Dec 11 to submit its proposal for its shares to resume trading, said the firm in a regulatory update on Wednesday. Its shares have been suspended from trading since August 2019, following the release of an external report by Provenance Capital, which was hired by the firm to review selected transactions from 2013 to 2017. The probe had been opened after queries were raised by its former executive managing director, Charles Madhavan.

OVER half of Frasers Centrepoint Trust‘s gross proceeds raised from its private placement has been allocated to temporarily pare down its revolving credit facilities, the real estate investment trust’s (Reit) manager said in a bourse filing on Wednesday. The deployment of the proceeds to fund the acquisition of AsiaRetail Fund (ARF) is pending. The Reit had announced last month its plan to buy the remaining 63.1 per cent stake in ARF for S$1.06 billion.

THE participation rate in OCBC Bank‘s scrip dividend scheme comprised three-quarters (75.2 per cent) of shareholdings, with nearly 67.5 million new ordinary shares allotted and issued to shareholders, the bank said on Wednesday. OCBC had declared a dividend of 15.9 cents a share for the first half of the year, with the scrip dividend scheme applicable. Following the allotment and issuance of the new shares, the number of issued ordinary shares of the bank will increase by 1.5 per cent to about 4.5 billion, said the bank.

Source: SGX Masnet, The Business Times, Bloomberg, Channel NewsAsia, Reuters, PSR


Webinar Of The Week

Market Outlook: (PSR) iX Biopharma (Initiation), Keppel Corp, SG Technicals & SG 4Q20 Equity Strategy

Date: 06 October 2020

For more on Market Outlook

Updates summarised in 3 minutes

Phillip Research in 3 minutes: #25 – Prime US REIT; Initiation

For more videos on Phillip in 3 Mins

Read the research report(s), available through the link(s) above, for complete information including important disclosures Important Information

The information contained in this email and/or its attachment(s) is provided to you for information only and is not intended to or nor will it create/induce the creation of any binding legal relations. The information or opinions provided in this email do not constitute an investment advice, an offer or solicitation to subscribe for, purchase or sell the e investment product(s) mentioned herein. It does not have any regard to your specific investment objectives, financial situation and any of your particular needs. Accordingly, no warranty whatsoever is given and no liability whatsoever is accepted for any loss arising whether directly or indirectly as a result of this information. Investments are subject to investment risks including possible loss of the principal amount invested. The value of the product and the income from them may fall as well as rise. You may wish to seek advice from an independent financial adviser before making a commitment to purchase or investing in the investment product(s) mentioned herein. In the event that you choose not to do so, you should consider whether the investment product(s) mentioned herein is suitable for you. PhillipCapital and any of its members will not, in any event, be liable to you for any direct/indirect or any other damages of any kind arising from or in connection with your reliance on any information in and/or materials attached to this email. The information and/or materials provided 揳s is?without warranty of any kind, either express or implied. In particular, no warranty regarding accuracy or fitness for a purpose is given in connection with such information and materials.
Confidentiality Note
This e-mail and its attachment(s) may contain privileged or confidential information, which is intended only for the use of the recipient(s) named above. If you have received this message in error, please notify the sender immediately and delete all copies of it. If you are not the intended recipient, you must not read, use, copy, store, disseminate and/or disclose to any person this email and any of its attachment(s). PhillipCapital and its members will not accept legal responsibility for the contents of this message. Thank you for your cooperation.


Contact us to Open an Account

Need Assistance? Share your Details and we’ll get back to you


This material is provided by Phillip Capital Management (S) Ltd (“PCM”) for general information only and does not constitute a recommendation, an offer to sell, or a solicitation of any offer to invest in any of the exchange-traded fund (“ETF”) or the unit trust (“Products”) mentioned herein. It does not have any regard to your specific investment objectives, financial situation and any of your particular needs. You should read the Prospectus and the accompanying Product Highlights Sheet (“PHS”) for key features, key risks and other important information of the Products and obtain advice from a financial adviser (“FA“) pursuant to a separate engagement before making a commitment to invest in the Products. In the event that you choose not to obtain advice from a FA, you should assess whether the Products are suitable for you before proceeding to invest. A copy of the Prospectus and PHS are available from PCM, any of its Participating Dealers (“PDs“) for the ETF, or any of its authorised distributors for the unit trust managed by PCM.  

An ETF is not like a typical unit trust as the units of the ETF (the “Units“) are to be listed and traded like any share on the Singapore Exchange Securities Trading Limited (“SGX-ST”). Listing on the SGX-ST does not guarantee a liquid market for the Units which may be traded at prices above or below its NAV or may be suspended or delisted. Investors may buy or sell the Units on SGX-ST when it is listed. Investors cannot create or redeem Units directly with PCM and have no rights to request PCM to redeem or purchase their Units. Creation and redemption of Units are through PDs if investors are clients of the PDs, who have no obligation to agree to create or redeem Units on behalf of any investor and may impose terms and conditions in connection with such creation or redemption orders. Please refer to the Prospectus of the ETF for more details.  

Investments are subject to investment risks including the possible loss of the principal amount invested. The purchase of a unit in a fund is not the same as placing your money on deposit with a bank or deposit-taking company. There is no guarantee as to the amount of capital invested or return received. The value of the units and the income accruing to the units may fall or rise. Past performance is not necessarily indicative of the future or likely performance of the Products. There can be no assurance that investment objectives will be achieved.  

Where applicable, fund(s) may invest in financial derivatives and/or participate in securities lending and repurchase transactions for the purpose of hedging and/or efficient portfolio management, subject to the relevant regulatory requirements. PCM reserves the discretion to determine if currency exposure should be hedged actively, passively or not at all, in the best interest of the Products.  

The regular dividend distributions, out of either income and/or capital, are not guaranteed and subject to PCM’s discretion. Past payout yields and payments do not represent future payout yields and payments. Such dividend distributions will reduce the available capital for reinvestment and may result in an immediate decrease in the net asset value (“NAV”) of the Products. Please refer to <www.phillipfunds.com> for more information in relation to the dividend distributions.  

The information provided herein may be obtained or compiled from public and/or third party sources that PCM has no reason to believe are unreliable. Any opinion or view herein is an expression of belief of the individual author or the indicated source (as applicable) only. PCM makes no representation or warranty that such information is accurate, complete, verified or should be relied upon as such. The information does not constitute, and should not be used as a substitute for tax, legal or investment advice.  

The information herein are not for any person in any jurisdiction or country where such distribution or availability for use would contravene any applicable law or regulation or would subject PCM to any registration or licensing requirement in such jurisdiction or country. The Products is not offered to U.S. Persons. PhillipCapital Group of Companies, including PCM, their affiliates and/or their officers, directors and/or employees may own or have positions in the Products. Any member of the PhillipCapital Group of Companies may have acted upon or used the information, analyses and opinions herein before they have been published. 

This advertisement has not been reviewed by the Monetary Authority of Singapore.  


Phillip Capital Management (S) Ltd (Co. Reg. No. 199905233W)  
250 North Bridge Road #06-00, Raffles City Tower ,Singapore 179101 
Tel: (65) 6230 8133 Fax: (65) 65383066 www.phillipfunds.com