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Japan’s stock market revival could hold lessons for Singapore despite fundamental differences

The Straits Times Index has gained a modest 4.8% in the year to date

Published Thu, Jun 20, 2024 · 05:00 AM

Market observers say the Singapore Exchange could consider issuing guidance for listed companies to trade above book value, like the Tokyo Stock Exchange. PHOTO: AFP

SINGAPORE’S stock market has been languishing in recent years amid low liquidity and a dearth of new listings.

This is in stark contrast to Japan’s public market, for example, where fiscal reforms have sparked a resurgence of interest from investors.

Japan’s benchmark Nikkei 225 index notably hit a 34-year high earlier this year and has climbed 16.1 per cent in the year to date.