Singapore Exchange Limited - Digital transformation strategies

This report provides insight into SGX's tech activities, including its digital transformation strategies, its innovation programs, its technology initiatives, its estimated ICT budget, and its major ICT contracts.

Singapore Exchange Limited (SGX) is a financial market “infrastructure,” operating equity, derivatives, and fixed income markets. It offers trading, listing, settlement, clearing, depository, and data services, with approximately 80% of listed bonds and 40% of listed companies and originating outside Singapore. SEL is a liquid offshore market for the benchmark equity indices of ASEAN members and non-members, including India, Japan, and China; and provides currency and commodity derivatives products. The company also offers data and market connectivity services.

In May 2017, SGX and Infocomm Media Development Authority (IMDA) signed memorandum of intent (MOI) to support fast growing IMDA-accredited companies, by leveraging private and public capital markets for their expansion in Singapore. Under the Accreditation@IMDA program, both companies will lower the access barriers and create a streamlined path for innovative technology companies into the capital markets, by curating and nurturing them for high growth.

In 2017, SGX signed memorandum of understanding with Exploit Technologies Pte Ltd (ETPL), the commercialization arm of the Agency for Science, Technology, and Research (A*STAR), to help start-ups and SMEs transform their inventions into products and services, by gaining access to research and development capabilities and capital markets. Both companies will identify innovative technology companies with growth potential and help them access growth capital from private or public capital markets in Singapore.

Scope

• SGX has embraced digital collaboration tools and services to support its digital transformation and developed digital curriculum to train employees on digital solutions. To enhance its customer experiences, SGX is investing in digital experiences across online platforms, including RegCo Submission portal for listed companies, in-house Titan OTC Pro platform for commodity clients, and Investor Portal for retail investors.
• SGX is collaborating with organizations and institutions to support start-up ecosystem and help them scale their solutions, and in turn leverage their innovative technologies in its business process. SGX signed MOU with Infocomm Media Development Authority (IMDA), to create a streamlined path for innovative technology companies into the capital markets. Launched Project Ubin, to explore the use of distributed ledger technology (DLT) for clearing and settlement of payments and securities.
• SGX is leveraging AI, ML, and big data technologies to improve operational efficiency and help traders trade fast and securely, by reducing latency rates and introducing data tools. For instance, SGX RegCo uses AI-powered, real-time surveillance system to monitor trade transactions.

Reasons to Buy

• Gain insights into SGX's tech operations.
• Gain insights into its tech strategies and innovation initiatives.
• Gain insights into its technology themes under focus.
• Gain insights into various product launches, partnerships, investments, and acquisition strategies.