Are S-chips finally catching up to the Chinese liquidity party?

S-chips gained 15% in three months.

China’s aggressive monetary policy easing might finally be spilling over to local stocks. After weeks of languishing behind Chinese stock markets, S-chips are finally showing signs of grooving to a faster beat.

According to Nicholas Teo of CMC Markets, S-chips really started to take off yesterday with the FTSE ST China Top Index gaining 1.93% to close at 216.34.

“On a three-month-return basis, the FTSE ST China TOP Index is up 9.47%, paling in comparison to the three-month-return on the CSI 300 at 36.37%. In yesterday’s trade, names like Yanlord (+7.6%), Cosco (+6.034%), China Fisheries(+5.263%) and China Everbright (+5.116%) led the advancers. Critically, trading volumes for these names seem to have exploded on the upside,” he said.

S-chips, however, still have quite a way to go: they have so far managed a 15% return in these past three months, falling short of the major Chinese indices which have gained more than 30% over the same period.

“This shortfall is even clearer when considering that as Chinese indices have all punched through their 2010 highs - hovering more than 25% above their 2010 highs in the case of the CSI 300 - the FTSE ST China Top Index is languishing at 30% below its 2010 highs,” he noted.

The people you want to reach are already in this room.

Every quarter, SBR lands on the desks of the founders, CFOs, and directors running Asia's most consequential companies. Every day, they open our newsletter and read our website. It's a room that took twenty years to build — and it's the one most of our partners are trying to get into.

The good news is that the door is open. We work with companies on thought leadership articles, sponsored content, industry summits across Southeast Asia, regional awards programmes, podcasts, and media placements in print and digital. The shape of the right partnership depends on what you're trying to do, which is why we'd rather start with a conversation than send a rate card.

If you have something this room should know about, tell us. We'll tell you honestly whether we can help, and how.

No rate cards until we understand the brief. It's a better use of everyone's time.

Book a meeting

| Or download the media kit (PDF)

240,000 senior readers quarterly in print Top 1,700 Singapore companies reached

7 markets across Southeast Asia