Singapore, Jan 27, 2026, 15:42 SGT — Regular session underway.
- Shares of Singapore Exchange climbed 0.9% to S$17.59 in afternoon trading.
- SGX trading rules raised the limit on brokers’ total margin exposures to 500%, up from the previous 300% cap.
- Markets are focused on the U.S. Fed meeting this week and SGX’s 1H FY2026 results due Feb. 5.
Shares of Singapore Exchange Ltd climbed on Tuesday, following a wider rally in Singapore stocks after brokers faced new margin-financing rules. By 3:15 p.m. local time, the stock had gained 0.15 Singapore dollars, or 0.86%, reaching S$17.59. (StockAnalysis)
This shift is significant since SGX earns from listing, trading, and clearing fees. Changes in rules limiting brokers’ leverage to clients can impact turnover down the line, which in turn affects fee revenue.
According to a SGX rulebook update, starting Jan. 26, brokers’ total margin exposures in customer margin financing accounts can climb to 500% of their free financial resources, up from the previous 300%. The update also scrapped a separate cap that applied to certain “specified products” not listed on SGX-ST. (SGX Rulebook)
Margin financing involves borrowing against a stock portfolio to purchase additional shares. Increasing the cap offers brokers greater flexibility, but the responsibility for risk controls remains with the firms and the regulator.
SGX tweaked its Futures Trading Rules for “negotiated large trades” — these are pre-arranged block trades reported to the exchange — specifically for SGX Mini 20-Year Japanese Government Bond futures. A new minimum volume threshold of five lots is now in place. (SGX Rulebook)
The mood was generally upbeat. Singapore’s Straits Times Index broke past 4,900 for the first time, reaching a fresh record in early trading. The lift came largely from the major banks, with investors positioning ahead of a U.S. Federal Reserve meeting this week. Markets widely anticipate the Fed will keep interest rates steady, according to the Business Times. (The Business Times)
But easing margin limits cuts both ways. When the market dives, leverage can trigger forced selling and drain liquidity quickly, hitting volumes — and the exchange’s fee revenue — right when it’s least welcome.
All eyes turn to SGX’s first-half FY2026 results, set to drop before the open on Feb. 5. The company will hold a briefing at 9:00 a.m. Singapore time. (Sgx)
