Is there any way to solve the research conundrum?

IT is customary at this time of year for stock market pundits to draw up "wish lists" for the year ahead. Many will be wishing for more liquidity, better quality initial public offers, higher prices and greater retail investor participation - elements which were disappointingly missing in 2018's daily trading.

All are valid wishes. Without broad-based investor participation and active trading, the price discovery process cannot properly be described as efficient. Stock prices have been in the doldrums for several years now and retail players are known to be largely absent. Higher-grade listings would certainly be welcome. But few have spoken about the need for good quality, independent research to a) help publicise the businesses and prospects of hundreds of listed small and medium-sized enterprises (SMEs); b) assist retail investors in their investment choices and, in so doing, c) bring life back to large swathes of the local market.

In the past, such research was seen as crucial. There were attempts to fill the void by various schemes sanctioned and co-sponsored by the Monetary Authority of Singapore (MAS) and the Singapore Exchange (SGX). Those initiatives, which called upon SMEs to help pay for coverage, all folded after a few years; the fact that nothing more has been said over the past five to six years is disappointing but telling.