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Retail assets in STI exchange‑traded funds surge fivefold to $4.2b: SGX

Retail investors bought nearly $20b of Singapore equities since 2020.

Combined retail assets under management in Straits Times Index (STI) exchange-traded funds increased fivefold from $884m to $4.2b, according to the Singapore Exchange (SGX).

The total rose 74% over the past 12 months, indicating that systematic investing is gaining ground alongside traditional stock selection.

SGX said an indicative monthly investment of $1,000 in the SPDR STI ETF from December 2019 to July 2026 would have accumulated 27,093 units from total contributions of $80,000.

Based on the ETF’s July 2026 closing price of $5.751, the investment would have been valued at $155,812. This represents a basic return of 94.8% and an indicative compound annual growth rate of 10.7%, excluding transaction costs.

Reinvested dividends contributed almost $13,000 of additional capital during the period.

The dollar-cost averaging approach also allowed investors to purchase more units when prices were lower. A $1,000 contribution bought 407 units when the ETF traded at $2.456 in October 2020, compared with 174 units at $5.751 in July 2026.

The indicative 10.7% annual return captured approximately 80% of the estimated 13.1% annualised total return from an equivalent lump-sum investment over the same period, whilst reducing reliance on a single market entry point.

However, SGX noted that regular investing does not eliminate market risk. If the ETF had ended July 2026 at $3 per unit instead of $5.751, the indicative annual return would have been approximately 0.2%.

The calculations are illustrative, based on historical performance and do not guarantee future returns.

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