Why investors are looking closer to home for portfolio resilience

SINGAPORE has long been trusted as a place to park capital. In recent years, that reputation has become more valuable as investors navigate geopolitical tensions, persistent inflation and sharper market swings.

Yet, trust alone is not enough to keep a financial centre competitive. Capital also needs opportunities – in companies that can grow, markets with sufficient depth and investment products that give investors practical ways to put money to work.

Against this backdrop, Singapore has been working on deepening its capital markets, widening investor participation and strengthening its position as a financial centre where more capital can be deployed. The recently enhanced Monetary Authority of Singapore’s Equity Market Development Programme (EQDP) is part of that broader push, aimed at building a more vibrant local equity market and drawing greater attention to Singapore-listed companies.

Among the funds selected for the EQDP was the LionGlobal Singapore Trust Fund, the only existing Singapore-focused fund included in the programme. Its inclusion also brings into view local-market expertise Singapore-based asset manager Lion Global Investors has built over time through different cycles, close engagement with companies and a disciplined approach to identifying opportunities that may not always be visible to the broader market.

Says Teo Joo Wah, chief executive officer of Lion Global Investors: “To remain relevant, a financial centre must also continue creating opportunities for investors and businesses. One of Singapore’s strengths is its ability to bring together different parts of the financial ecosystem to develop new solutions and respond to changing investor needs.

“If our inclusion in the EQDP reflects anything, it is our continued commitment to serving investors and contributing to the development of Singapore’s capital markets over the long run.”

The broader aim is to create a stronger loop between companies seeking long-term capital and investors looking for quality opportunities closer to home.

That matters as investors rethink portfolio resilience in a world where geopolitical tensions, persistent inflation and market volatility have made it harder to rely on broad market direction alone.

A trusted financial ecosystem

In this environment, Singapore offers qualities that many investors continue to value: stability, strong institutions and well-managed companies that have demonstrated resilience across cycles.

For many investors, this allows Singapore to serve as an important foundation within a broader, diversified portfolio, says Teo.

The qualities that support Singapore’s equity market also makes its fixed-income market attractive. Bonds issued in Singapore dollars can provide a source of income and help temper fluctuations elsewhere in a portfolio.

Cash and shorter-duration bond strategies can play a complementary role. Rather than being viewed simply as places to hold funds temporarily, they can give investors liquidity and greater flexibility to respond when market conditions or personal priorities change.

Within the Singapore market, he adds, small- and mid-cap companies can offer attractive opportunities that may be overlooked by the broader market. These companies may receive less visibility than larger, well-established names, but can represent an important source of innovation, growth and entrepreneurial activity.

Identifying such opportunities requires patience, local knowledge and disciplined research. For Lion Global Investors, that is where active management can continue to play a role, especially in markets where opportunities may not always be fully reflected in broad indices.

Local knowledge is just as relevant in fixed income, where differences in an issuer’s credit quality, the maturity of a bond and its sensitivity to interest-rate movements can shape the risks and returns involved. Lion Global Investors’ SGD Money Market Fund and Short Duration Bond Fund reflect this broader range of needs, from preserving liquidity to seeking income with more measured exposure to interest-rate movements.

Still, portfolio resilience cannot rest on a single market or asset class. As investors’ goals become more varied, the role of an asset manager is to provide different building blocks that can be combined according to each investor’s needs, risk appetite and time horizon.

“Diversification is not simply about owning more investments. It is about bringing together different types of assets that can play different roles over time,” says Teo.

“Equities can help drive long-term growth. Fixed income can provide income and stability. Multi-asset strategies can adapt to changing market conditions. Alternative assets, such as gold, may provide an additional source of resilience during periods of market stress.”

New ways to invest

Marking its 40th anniversary this year, Lion Global Investors’ own growth reflects how investor needs have changed over time. Part of the OCBC Group, the asset manager has built out capabilities across equities, fixed income, multi-asset strategies and money market strategies.

It is the first and only issuer to list active exchange-traded funds (ETFs) in Singapore, and created ETF share classes from existing funds. It also offers the widest range of Central Provident Fund Investment Scheme-approved unit trusts among local asset managers, providing investors with a broader range of options for long-term goals such as retirement.

More recently, it has also developed new access formats, including physical gold and tokenised exposure.

“As investors’ needs evolve, the way we deliver investment solutions must evolve as well,” says Teo. “Sometimes this means developing entirely new investment offerings. At other times, it means making established asset classes more accessible, transparent and relevant to today’s investors.”

The evolution is not limited to how investments are delivered. It also reflects changing expectations about what portfolios should take into account. As sustainability considerations become more closely linked to regulation, business strategy and long-term competitiveness, investors are seeking ways to incorporate them without necessarily moving away from familiar markets.

The Lion-OCBC Securities Singapore Low Carbon ETF is one example. It provides exposure to Singapore-listed companies while taking carbon intensity into consideration, offering investors a way to participate in the local market through a portfolio constructed with the transition to a lower-carbon economy in mind.

Such products show that innovation does not always require a new asset class or unfamiliar technology. It can also mean adapting an established investment exposure to reflect structural changes that may shape companies and markets over the longer term.

The same principle applies to familiar assets such as gold.

The LionGlobal Singapore Physical Gold Fund and the LionGlobal Singapore Physical Gold ETF are such examples. Gold is a familiar store of value and potential portfolio diversifier, but the fund gives investors access to physical gold through a structure that is securely vaulted and insured in Singapore. Its launch, says Teo, also shows how investment innovation increasingly depends on collaboration across the financial sector, with different players coming together to create new forms of access for investors.

Together with OCBC, Lion Global Investors has also offered GOLDX, South-east Asia’s first on-chain tokenised physical gold fund on DigiFT, a Singapore-based regulated digital asset exchange for institutional investors.

“It is not about introducing new ideas simply because they are new,” says Teo. “Rather, innovation should help solve real challenges for investors, whether that means improving access, enhancing efficiency, or helping them navigate an increasingly complex investment landscape.”

Investing across life stages

As investment choices multiply, investors also need clearer guidance on how these options fit into their broader financial lives, as priorities shift across different life stages.

A younger investor may be focused on regular savings and protection. A mid-career professional may be balancing wealth accumulation with housing, education or family needs. Later, priorities may shift towards income, retirement planning and preserving assets for the next generation.

This is where Lion Global Investors’ place within the OCBC One Group ecosystem becomes more than a matter of ownership. Its investment capabilities sit alongside OCBC’s banking relationships, Great Eastern’s insurance and retirement planning reach, and Bank of Singapore’s private wealth platform, allowing portfolio decisions to be linked more closely with broader goals such as income, retirement and wealth preservation.

The connection also matters for access. Investors may encounter Lion Global Investors’ solutions through a bank branch, an insurance adviser, a private banker or a digital platform. The entry points differ, but the expectation is increasingly the same: financial solutions that are easier to access, more joined up and better aligned with the investor’s broader goals.

“Ultimately, our objective is not simply to offer investment products,” says Teo. “It is to provide solutions that address the real needs of our clients. As markets and client needs change over time, our role is to continue listening, adapting and delivering solutions that remain relevant.”

Footnotes

¹Returns are based on a single pricing basis. Dividends are reinvested net of all charges payable upon reinvestment and in respective share class currency terms. ^#Benchmark: Inception to Nov 30, 1999: DBS CPF Index. From Dec 1, 1999 to March 1, 2026: MSCI Singapore Index From March 2, 2026: FTSE ST All-Share Index (in respective share class currency) NAV: Data do not include Initial Charge NAV^{^}: Data include Maximum Initial Charge for the respective share classes (where applicable), which may or may not be charged to investors.

Disclaimer

This advertisement has not been reviewed by the Monetary Authority of Singapore. It is for information only and is not a recommendation, offer or solicitation. You should read the prospectus available at www.lionglobalinvestors.com before deciding whether to invest in the unit trust / ETF. Investments involve risks including the possible loss of the principal amount invested. ©2026 Lion Global Investors® Limited (UEN/Registration No. 198601745D). All rights reserved. An OCBC Company.