16/03/2015 Singapore Traders Spectrum

Wired Weekly Refer to important disclosures at the end of this report

DBS Group Research . Equity

16 Mar 2015

KEY POINTS 





Not wavered by STI dipping below 3380 - still resilient, to stay above valuation trough of 3330 USD/SGD – mid to long-term upward retracement to 1.45 but expect an intermediate pullback from 1.40 down towards 1.35 starting April-May Ceteris paribus, we look at the potential beneficiaries/losers of the rising USD

Wired Weekly While neighbouring ASEAN equities are vulnerable to further declines due to expensive PE valuation and weak regional currencies, we maintain our view for the STI to stay resilient even though it has fallen below our stated 3380-3390 support level. At 3368, the STI is 57pts below the 13.4x (-0.25SD) PE level of 3425 and a mere 38pts above the 13x (-0.5SD) level of 3330. We believe that the Singapore equity market is trading near its valuation trough as the stock market decline in the past 2-3 weeks was driven more by the weak SGD rather than contagion, financial crisis or recession risks. We expect the STI to hold above 3330, which coincides with a likely valuation trough based on 13x (0.5SD) 12-mth forward PE. Furthermore, we do not rule out a rebound in the SGD against the USD in 2Q. Currency markets have been pricing in a tightening move by the Fed this year since July 2014 and policy easing by the MAS since late January. The USD/SGD buy-in-anticipation trade can unravel if the next move by the Fed or MAS disappoints currency traders. All eyes will be on the April MAS policy meeting and the Fed's statement off the FOMC meeting next week. From a mid- to long-term perspective, the multi-month rally of the USD/SGD currency cross has pushed passed a major 23.6% upward retracement level at 1.35. The next key level is the 38.2% retracement at 1.45. But we note intermediate resistance around 1.40. An intermediate pullback off c.1.40 towards the 1.35 support is possible before the USD/SGD strengthens further to 1.45. Ceteris paribus, we look at the potential beneficiaries/losers of the rising USD. Except for Bumitama Agri, CPO stocks IndoFood Agri, Golden Agri and First Resources are beneficiaries of a stronger USD as it means lower costs for them in USD terms.

Yeo Kee Yan (65) 6682 3706 [email protected] www.dbsvickers.com ed: TH / sa: JC

Straits Times Index

FTSE Small Cap Index

ST Index

3,500 3,400

560

3,300

540

3,200

520

3,100

500

3,000

480

2,900 Mar-14

Jun-14

FTSE Small Cap Index

580

Sep-14

Dec-14

Mar-15

STI and 12-mth forward PE 4000 3800

460 Mar-14

Sep-14

Dec-14

Mar-15

Brent Crude Oil

+0.5SD @ 14.5x

US$/barrel 120

Average @ 13.8x

110

3600

Brent Crude Oil

100 -0.5SD @ 13.0x

3400

90 80

3200

70

3000

60

2800

50

2600 Jan-13 Jul-13

Jun-14

Jan-14 Jul-14

Jan-15 Jul-15

Jan-16

40 Mar-14

Jun-14

Sep-14

Dec-14

Mar-15

Source: Datastream, DBS Bank

FTSE Indices 5-Day Performance F T SE Sec t oral Indic es STI Mid Cap Small Cap All Share China Real Estate Real Estate & Dev Real Estate Inv Trust Oil & Gas Basic Materials Industrials Consumer Goods Health Care Consumer Serv ice Telecommunication Utilities F inancials Technology

Source: Bloomberg Fiance L.P.

Index @ 13- M ar- 15 3,362.77 772.18 479.36 807.43 234.07 794.33 809.50 793.70 551.02 130.81 822.00 485.81 1,244.19 829.84 1,083.51 486.87 882.43 402.11

1 Wk % Chg -1.6 -1.5 -1.2 -1.6 -0.6 -1.3 -1.0 -1.7 -1.6 -2.0 -2.9 -1.6 1.4 -1.1 -1.1 2.6 -1.4 -1.4

YTD % Chg -0.1 3.1 -2.6 0.3 5.5 5.1 8.5 1.8 -4.6 4.3 1.8 -0.9 7.6 -1.0 5.7 2.7 -0.3 -2.2

Singapore Traders Spectrum Wired Weekly

But oil and USD-denominated commodity users are potential losers when the USD strengthens. However, the impact will be very much mitigated by weaker oil and commodity prices when the USD strengthens.

Singapore Market Summary The STI ended the week at 3368, down 49pts (-1.4%) as a further weakening of the SGD against USD triggered fund outflows among the large cap stocks. Anticipation that the MAS might loosen further during the April policy meeting, coupled with heightened prospects that the Fed might initiate a rate hike cycle earlier rather than later gave the USD/SGD a further boost. Jardine Group and banks led losers. The performance of bank stocks has been lacklustre YTD as the risk of an increase in funding cost offsets the positive vibes from a rising interest rate environment. Regional strategy - ASEAN markets vulnerable to USD strength, neutral for Singapore

Singapore market should stay resilient We maintain our view for the STI to stay resilient even though it has fallen below our stated 3380-3390 support level. We do not expect the STI to be hit by volatility that is similar to May 2013 despite current rate hike uncertainties. Back then, ‘taper tantrum’ led to an 11% decline in the STI within a month after former Fed Chairman Ben Bernanke first spoke of the need to taper QE. This time, the Singapore equity market should be underpinned by valuation that is near a trough level. The chart below shows that back in May 2013, the MSCI Singapore was at a valuation level of 14.6x (+0.5SD) 12mth forward PE when the ‘taper tantrum’ started and ended at 13x (-0.5SD) forward PE. Currently the MSCI Singapore trades at 13.2x 12-mth forward PE, which is already close to the ‘taper tantrum’ trough of 13x. MSCI Singapore 12-mth forward PE

Our regional equity strategist says valuations, potential US interest rate hikes and accelerating USD strength are likely to affect market volatility, especially for ASEAN markets. Except for Singapore, the ASEAN equity markets of Thailand, Philippines, Indonesia and Malaysia are expensive in this aspect. The less expensive markets on PE valuations are Singapore and the North Asian markets of Hong Kong, China and Taiwan. She believes that with investors likely to focus on valuations, in view of the macro headwinds of rising interest rates and weak currencies, the ASEAN equity markets of Thailand, Philippines, Indonesia and Malaysia, as well as India, will be more susceptible to profit taking. She keeps her Neutral weight for Singapore. Ranking of Asia markets’ 12-month forward PE valuations

Source: DBS Bank

At 3368, the STI is currently 57pts below the 13.4x 0.25SD 12-mth forward PE level of 3425 and a mere 38pts above the 13x -0.5SD level of 3330. We believe that the Singapore equity market is trading near its valuation trough as the stock market decline in the past 2-3 weeks was driven more by the weak SGD rather than contagion, financial crisis or recession risks. Furthermore, we do not rule out a rebound in the SGD against the USD in 2Q (refer to next section “Possible USD intermediate inflexion point in 2Q”).

Possible USD intermediate inflexion point in 2Q

Source: Datastream, IBES, DBS Bank

Page 2

The USD strengthened 42% against the SGD to 1.381 as the Fed and MAS adopt opposite policy stances. Market expectation is for MAS to loosen further during the April monetary policy while the stronger-than-expected US February employment data has lifted bets for the Fed to raise interest rates sooner rather than later.

Singapore Traders Spectrum Wired Weekly But the USD is not necessarily on a one-track strengthening path against the SGD. With more central banks around the world adopting monetary policy loosening, the Fed is becoming increasingly isolated in its policy bias. One of the risks is that the continued strengthening of the USD will negatively impact the competitiveness of US corporations and consequently affect the country’s economic recovery that is still fragile.

Currency markets have been pricing in a tightening move by the Fed this year since July 2014 and policy easing by the MAS since late January. The USD/SGD buy-inanticipation trade can unravel if the next move by the Fed or MAS disappoints currency traders. All eyes will be on the April MAS policy meeting and the Fed's statement off the FOMC meeting next week.

USD/SGD (quarterly chart) since 1993

Source: DBS Bank

The long-term chart of the USD/SGD (see above) shows the currency cross starting to embark on a major upward retracement of the multi-year decline. This decline began from a high of 1.85 back in the year 2002 to a low of 1.20 in the year 2011. The current major upward retracement

has pushed passed the 23.6% retracement level at 1.35. The next key level is the 38.2% retracement at 1.45. But we note intermediate resistance at around 1.40. An intermediate pullback off c.1.40 to the 1.35 support is possible before the USD/SGD strengthens further to 1.45.

USD/SGD (Daily)

Source: DBS Bank

If the current upward momentum of the USD/SGD goes unabated, it should reach 1.40 by early April earliest, middle May latest. From this observation, 2Q15 could turn out to be the tipping point for an intermediate pullback to the USD/SGD’s multi-month rally towards 1.35 before the major rising trend resumes.

Ceteris paribus, a look at the potential winners/losers of a strong USD As much of the market attention has turned to the strength of the USD, ceteris paribus, we compiled the list of stocks under our coverage that are beneficiaries/losers of the strong USD. CPO stocks IndoFood Agri, Golden Agri and First Resources are beneficiaries of a stronger

Page 3

Singapore Traders Spectrum Wired Weekly impact will be very much mitigated by weaker oil and commodity prices when the USD strengthens. Furthermore, the magnitude of the percentage decline in oil price since June last year is much more significant than the rebound in USD. As such, SIA and Tiger Airways continue to benefit from lower jet fuel price despite the USD rally.

USD as it means lower costs for them in USD terms. Bumitama is the exception as its benefits are more than offset by higher interest expenses and FX losses from USD debts. But oil and USD-denominated commodity users are potential losers when the USD strengthens. However, the

Ceteris paribus, impact on net profits based on new rate of 1US$ to S$1.40 (end-2015) and S$1.41 (1Q16) Na me

% o f s a l e s % o f Co s t i n US$ i n US$

Amo u n t o f l o a n i n US$

R e vi s e d Ne t % c h n g i n n e t Pro fi t (S$ m) e a rn i n g s

FY1 5 F B e n e fi c i a ri e s Venture

~95%

~80%

IndoFood Agri

96%

43-44%

MAGIC

all in HKD/CNY

majority in HKD/CNY

CRCT

all in CNY

majority in CNY

Golden Agri

95%

Petra

FY1 6 F FY1 5 F FY1 6 F

0

157

167

5.0%

10.0%

82-83%

2,384

330

437 11.5% 11.2%

8.0%

<5%

60%

na

52

62

-7.7%

-9.1%

First resources

100%

43-48%

607

189

207

2.1%

3.2%

Wilmar

100%

99%

22,362

1,116

1,187

0.3%

0.4%

SembCorp Marine Lo s e rs

70%

50%

175

591

Bumitama

100%

60-68%

344

103

139.6

-5.3%

7%

60%

NA

41

58.5

SIA

15%

60%

140

915

Super

13%

65%

0

61

Tiger

Source: DBS Bank

Page 4

5.0%

Se n s i ti vi ty An a l ys i s %c h g i n n e t p ro fi ts /1 0 % c h g i n US$

Co mme n ts

Assumed 5% revenue slowdown in demand due to weaker currency in Europe and Asia accounting for one-third of group revenue each 250 78 120 11.9% 16.2% 12.8% Financial statements in IDR. Benefiting from lower costs in USD terms loans in HKD 6.99* 7.07* 0.0% 3.7% 11% excluding any MAGIC has hedged 90% of FY15 distributable impact from hedges income and hedged a portion of FY16 distributable income 4.0% 1.8% 11.0% 13% of 11.37* 12.06* borrowings in CNY, rest in SGD

632 1.40% 1.60%

Financial statements in USD, benefiting from lower costs in USD terms 6.0% Impact due to weakening of IDR, assume at IDR13,500/ USD for FY15/16F and all else constant. Actual impact may be lower as company is likely to adjust higher selling prices to compensate on the back of stronger USD. 2.8% Financial statements in USD. Sukuk was swapped to USD debt. Higher interest expense is offset by FX gains from USD cash 1.8% Financial statements in USD 2.0%

Fully hedged through natural hedge and plain vanilla currency derivatives.

-6.5%

-9.1%

-7.9%

-4.8%

-6.7%

1229

-7.6%

-3.8%

-4.5%

66.4

-9.0%

-8.0%

-3.0%

Financial statements in IDR. Benefit more than offset by higher interest expense and FX losses from USD debts A stronger US$ typically sees weaker oil prices, which may help to offset the impact A stronger US$ typically sees weaker oil prices, which may help to offset the impact Key inputs Coffee, Sugar, are denominated in USD. Sales in USD relate to Myanmar market.

Singapore Traders Spectrum Wired Weekly Top large and small / mid cap picks

TOP LARGE CAP PICKS Recom

P rice

T arget Price

Upside

CapitaLand

Buy

3.480

3.88

12%

1) Portfolio-wide improvement; performance underpinned by higher contributions from China 2) Streamlined structure enables group to be more nimble

OCBC

Buy

10.360

12.70

23%

1) Merged OCBC-WHB to deepen its capabilities in Greater China 2) Divestments in non-core (non-financial related) assets plus scrip dividend to buffer capital 3) Strong core banking business; wealth management and insurance to remain key ROE drivers 4) Our preferred Singapore bank pick.

Recom

P rice

T arget Price

Upside

China Merchants

Buy

1.050

1.42

35%

1) Organic growth to continue 2) Jiurui E’way acquisition to drive future growth

Mapletree Greater China Commercial Trust

Buy

1.035

1.12

8%

1) Visible organic growth 2) Portfolio of quality assets

Company

Catalyst

TOP SMALL / MID CAP PICKS Company

Catalyst

Source: DBS Bank

Page 5

Singapore Traders Spectrum Wired Weekly Major research reports released last week Company / Sector Recommendation Target Price ($) Key Points

Noble Group

HOLD (Downgrade S$ 1.12 (Prev S$ from BUY) 1.60)

1) 2) 3) 4)

4Q14 core profit down 47%, missing our estimate Weaker MMO and Noble Agri performance Some clarity over issues raised by Iceberg Research Downgrade to HOLD, TP cut to S$1.12

Olam International

HOLD (Downgrade S$ 2.20 (Prev S$ from BUY) 3.15)

1) 2) 3) 4)

2Q15 core PATMI hit by currency volatility Underperformance of Food Staples segment Limited near term re-rating catalyst due to drag on FY15F earnings and delay in hitting FCF targets Downgrade to HOLD, TP lowered to S$2.20

Budget 2015

-

-

1) Marginal impact on corporate earnings from higher CPF contributions 2) REITs continue to enjoy tax incentives- Buy MAGIC, FCOT, AREIT and CDL HT 3) Handouts from Jubilee budget will spur spending. Key beneficiaries are consumer staples and services companies - Buy Sheng Siong, Dairy Farm and SMRT.

SG budget: Shaping Singapore’s future

-

1) Budget 2015 goes beyond being a jubilee budget to focus on shaping Singapore’s future 2) Key areas of focus include skills upgrading and investment in public infrastructure, further strengthening the social safety net and providing more support for companies in the restructuring process 3) Despite a larger projected deficit of SGD 6.67bn for FY2015, compared to a shortfall of SGD 0.13bn for FY2014, overall fiscal position for the current term of government remains in good shape

Singapore REITs

-

-

1) Overhang on expiring tax concessions for REITs lifted; most incentives extended for 5 years 2) Stamp duty remission lapses on 31st Mar; not a game changer but acquisitions could slow down 3) Picks: A-REIT, MAGIC, CDL HT, FCOT

CapitaLand

BUY

S$ 3.88 (Prev S$ 3.84)

1) 2) 3) 4)

Operating PATMI up 54%, boosted by one-off sale of Westgate Tower; ROE improves to 7.1% Growing Investment Properties portfolio, focus on expanding fund management platform Deepening exposure in developing markets in Vietnam and Indonesia Maintain BUY, TP S$3.88

Sembcorp Industries BUY

S$ 4.80 (Prev S$ 4.70)

1) 2) 3) 4)

4Q14 results beat expectations as Marine & Utilities exceed Raised FY15-16F earnings by 4-5% India to support Utilities earnings, offset by subdued Singapore power operations Undemanding valuation at 9x FY15F PE on steady Utilities earnings; maintain BUY, S$4.80 TP

City Development

BUY

S$ 11.54 (Prev S$ 1) 4Q14 PATMI a new record, boosted by gains from restructuring of Quayside Collection Holdings 10.71) 2) Top selling developer in 2014 with S$1.4bn in new sales (1,378 units); South Beach project to contribute in 2015 3) Maintain BUY, TP raised to S$11.54

Yangzijiang Shipbuilding

BUY

S$ 1.62

1) 2) 3) 4)

Frasers Centrepoint BUY Ltd

S$ 2.02 (Prev S$ 2.05)

1) Strong start to 1Q15 underpinned by contribution from Australand 2) Close to S$3.6bn in unrecognised revenues across its key markets; capital recycling a spark to re-rate stock 3) Cheap valuations, TPS$2.02 based on 40% discount to RNAV

Cambridge Industrial Trust

HOLD

S$ 0.73

1) Proposed acquisition of a property in the mature Jurong industrial estate for S$16.2m 2) High income visibility backed by 5 year lease 3) Maintain HOLD and TP S$0.73

Courts Asia

HOLD (upgrade from FULLY VALUED)

S$ 0.45

1) 2) 3) 4)

Initial signs of recovery from sequential improvement seen in 3Q15 results Singapore and new Indonesia stores to fuel growth Lower FY16F/FY17F earnings by 34%/22% to factor in more conservative estimates Valuations have bottomed; upgrade to HOLD with S$0.45 TP

Raffles Medical

HOLD

S$ 3.96 (Prev S$ 4.19)

1) 2) 3) 4)

4Q14 and FY14F earnings below expectations, dragged by higher contracted services cost Expansion still on track Reduce FY15F/FY16F earnings by 6%/8% Maintain HOLD but TP lowered to S$3.96

Page 6

First orders for LNG carriers in the bag Major breakthrough that paves the way for Yangzijiang’s foray into this market Proper measures in place to mitigate teething problems Maintain BUY and S$1.62 TP

Singapore Traders Spectrum Wired Weekly Major research reports released last week (cont’d) Company / Sector Recommendation Target Price ($) Key Points

ARA Asset Management

BUY

S$ 1.85 (Prev. S$1.98)

1) 4Q14 earnings in line 2) ADF 3 to grow earnings in 2015, performance fee from ADF1 to surprise 3) BUY, TPS$1.85

Tat Hong

HOLD

S$ 0.82 (Prev S$ 0.83)

1) Core earnings below expectations as margins disappointed 2) Anticipated recovery of Australia business remains slow 3) Maintain HOLD with S$0.82 TP, look to upgrade when Australia operations display more significant signs of recovery

S$ 0.49 (Prev S$ 0.50)

1) First loss-making quarter since 2009 from a S$90m one-off charge relating to the terminated Octabuoy project 2) Cancellation risks heighten; lingering concerns over drillship and cylindrical rig sagas 3) Maintain FULLY VALUED; TP lowered to S$0.49

Cosco Corporation

FULLY VALUED

Ezion Holdings

BUY

S$ 1.58 (Prev S$ 1.60)

1) 2) 3) 4)

CWT

BUY

S$ 2.06 (Prev S$ 2.08)

1) FY14 core earnings of S$111m were slightly below expectations due to weaker than expected performance from Commodity Marketing 2) Final DPS of 4Scts declared (vs 3.5Scts last year) 3) Growth drivers from 2 new warehouses totaling over 1.3m sf to contribute fully from 2015 onwards 4) Maintain BUY, with S$2.06 TP

Religare Health Trust

HOLD

S$ 1.06 (Prev S$ 0.82)

1) 2) 3) 4)

3Q15 DPU within expectations, forms 71% of our forecasts SGD/INR forex rate locked in at 50.23 for 1H16 DPU Raised FY15F/16F DPU by 6%/14% on the back of revised SGD/INR assumptions Maintain HOLD, TP raised to S$1.06 due to revision in INR forex rates

Neptune Orient Lines

BUY

S$ 1.10

1) 2) 3) 4)

Losses continued in 4Q14, but noted a decline in operating expenses per FEU Further cost improvements expected in FY15 on the back of lower oil prices and fleet optimisation Possible sale of logistics division could help bolster balance sheet; lead to one-off disposal gains Maintain BUY and S$1.10 TP

StarHub

HOLD

S$4.35 (Prev S$4.30)

1) 2) 3) 4)

4Q14 net profit of S$ 94.2m (+10% y-o-y, -4% q-o-q) was broadly in line Service revenue remains weak on lower broadband revenue Lower traffic costs offset weak revenue and higher handset subsidies Maintain HOLD with revised TP of S$ 4.35

UOL

BUY

S$ 9.31

1) Strong core operations driving profits higher 2) Strong recurring revenues; selectively venturing overseas for opportunities 3) Maintain BUY, TP S$9.31

Genting Singapore

HOLD

S$ 1.00 (Prev S$ 1.08)

1) 2) 3) 4)

4Q14 net profit fell 36% y-o-y to S$89m, below expectations Challenging operating conditions in 2015 Potential for higher bad debts near term Maintain HOLD, TP reduced to S$1.00

S$ 0.83 (Prev S$ 0.82)

1) 2) 3) 4)

FY14 results in line, driven by 3.3% SSSG and higher gross margin Final DPS of 1.5 Scts declared, bringing total DPS for FY14 to 3 Scts, or 92% payout ratio Positive outlook on higher margins, SSSG, new store openings, and China expansion Maintain BUY, TP S$0.83

Pacific Radiance

HOLD (Downgrade S$ 0.78 (Prev S$ from BUY) 0.92)

1) 2) 3) 4)

4Q14 results below, as knee jerk reaction from low oil prices depress fleet utilisation and margins Subsea vessels likely to continue to be underutilised in near term – significant drag on earnings Cut FY15/16F net profit by 35%/23% Expect earnings to decline in FY15; downgrade to HOLD with lower TP of S$0.78

SIIC Environment

BUY

1) FY14 results were above our expectation but in line with the market 2) To add 1-1.5m tons of water capacity and 1,000 –2,000 tons of WTE capacity 3) Maintain BUY with TP at S$0.23

Sheng Siong Group BUY

S$ 0.23 (Prev S$0.22)

FY14 results in line; recurring PATMI up 34% y-o-y No cancellation / renegotiation thus far; striving a balance between growth and gearing Trim FY15 EPS by 6%, adjusting for revision in delivery schedule Reiterate BUY; TP adjusted to S$1.58

Source: DBS Bank

Page 7

Singapore Traders Spectrum Wired Weekly Shanghai Composite Index 3,500

Hang Seng Index 26,000

Shanghai Comp Index

3,300

Taiwan Index 9,900

Hang Seng Index

3,100 2,900

24,000

2,700

23,000

2,500

9,500 9,300 9,100 8,900

22,000

2,300

8,700 8,500

2,100

21,000

1,900 Feb-14

20,000 Feb-14

May-14

12 mth: 1 mth:

Aug-14

Nov-14

Feb-15

61. 6%

YT D:

2. 0%

-1. 6%

1 Wk:

1. 6%

8,300

12 mth:

May-14 11. 0%

1 mth:

Nikkei Index

Taiwan Index

9,700

25,000

0. 4%

Aug-14

Nov-14

Feb-15

8,100 Feb-14

19,000

Nikkei 225 Index

19,000

18,500

18,000

18,000

5. 5%

12 mth:

11. 9%

YT D:

3. 4%

1 mth:

1. 1%

1 Wk:

1. 0%

NASDAQ Index 5,200

Dow Jones

4,800 4,600 4,400

16,000

4,200

14,000

15,500

4,000

13,000 Feb-14

15,000 Feb-14

12 mth: 1 mth:

May-14

Aug-14

Nov-14

25. 5% 5. 7%

Feb-15

YT D:

7. 7%

1 Wk:

2. 9%

12 mth:

May-14 12. 4%

1 mth:

USD/SGD

4. 8%

Aug-14

Nov-14

Feb-15

3,800 Feb-14

125

usd/SGD

1.36

12 mth:

16. 2%

YT D:

5. 3%

1 mth:

6. 5%

1 Wk:

1. 3%

Euro/USD 1.40

usd/JPY

115

1.30

1.30

110

1.25

105

1.20

100

1.15

1.24 1.22 Feb-14 12 mth: 1 mth:

May-14

Aug-14

Nov-14

Feb-15

7. 2%

YT D:

2. 5%

1. 5%

1 Wk:

0. 0%

95 Feb-14 12 mth:

16. 6%

1 mth:

USD/RMB

1. 3%

5.10

usd/RMB

6.25

5.00

6.20

4.90

6.15

4.80

6.10

4.70

6.05

4.60

6.00 Feb-14

4.50 Feb-14

1 mth:

May-14

Aug-14

Nov-14

Feb-15

2. 2%

YT D:

0. 9%

0. 2%

1 Wk:

0. 1%

Source: Datastream, DBS Bank

Page 8

Aug-14

Nov-14

Feb-15

12 mth: 1 mth:

Euro/USD

1.10 Feb-14

May-14

Aug-14

Nov-14

Feb-15

YT D:

-0. 2%

12 mth:

-18. 0%

YT D:

-7. 3%

1 Wk:

0. 4%

1 mth:

-1. 6%

1 Wk:

-1. 6%

SGD/RMB

6.30

12 mth:

May-14

Feb-15

1. 3%

1.32

1.26

Nov-14

2. 2%

1.35

1.28

Aug-14

YT D:

120

1.34

May-14

1 Wk:

USD/JPY

1.38

Nasdaq

5,000

16,500

15,000

Feb-15

0. 3%

17,000

16,000

Nov-14

YT D:

17,500

17,000

Aug-14

1 Wk:

Dow Jones Industrials

20,000

May-14

A$/SGD 1.20

sgd/RMB

A$/SGD

1.18 1.16 1.14 1.12 1.10 1.08 1.06 1.04 May-14

Aug-14

Nov-14

Feb-15

1.02 Feb-14

May-14

Aug-14

Nov-14

Feb-15

-4. 2%

YT D:

-1. 2%

12 mth:

-6. 6%

YT D:

-1. 8%

-0. 3%

1 Wk:

0. 5%

1 mth:

-0. 3%

1 Wk:

0. 5%

Singapore Traders Spectrum Wired Weekly Baltic Dry Index 1,800

Volatility Index 28

Baltic Dry Index

1,600

Fed Funds Rate 0.30

Volatility Index

24

1,400 1,200

20

1,000

16

0.20 0.15 0.10

800 12

600 400 Feb-14 12 mth: 1 mth:

May-14

Aug-14

Nov-14

-56. 4%

YT D:

-22. 5%

1 Wk:

Feb-15

US$/barrel 120

0.05

8 Feb-14

May-14

Aug-14

Nov-14

Feb-15

0.00 Feb-14

110

US$/Ib 44

Palm Oil

900

42

850

40

90

800

38

80

750

36

70

700

34

60

650

32

50

600

30

40 Feb-14

550 Feb-14

100

1 mth:

Nov-14

Feb-15

-46. 6%

YT D:

5. 1%

23. 9%

1 Wk:

0. 2%

Aluminium US$/MT 2,150 2,100 2,050 2,000 1,950 1,900 1,850 1,800 1,750 1,700 Feb-14 12 mth: 1 mth:

12 mth:

May-14 -25. 8%

1 mth:

Aug-14

Feb-15

-0. 9%

YT D:

-0. 1%

-1. 9%

1 Wk:

-0. 5%

Feb-15

Nov-14

Feb-15

12 mth:

-19. 8%

YT D:

-2. 2%

0. 1%

1 mth:

1. 0%

1 Wk:

-0. 6%

RMB/MT 3,400 3,200 3,000

21,000

2,800

20,000

2,600

19,000

2,400

18,000

2,200

17,000 Feb-14

May-14 -23. 5%

1 mth:

7,000

20,000

6,500

18,000

6,000

16,000

5,500

14,000

5,000 Feb-14

12,000 Feb-14

Aug-14

-3. 3%

22,000

12 mth:

May-14

YT D:

23,000

-6. 2%

Aug-14

Nov-14

Feb-15

2,000 Feb-14

Steel (rebar)

May-14

Aug-14

Nov-14

Feb-15

YT D:

-7. 0%

12 mth:

-30. 0%

YT D:

-8. 3%

1 Wk:

-0. 4%

1 mth:

0. 7%

1 Wk:

1. 6%

Gold

US$/MT 22,000

Copper

28 Feb-14

Soya Oil

1 Wk:

Nickel

US$/MT 7,500

1 mth:

Nov-14

Tin

24,000

Nov-14

Feb-15

Steel

US$/MT

Aluminium

Copper

12 mth:

4. 5%

Aug-14

Tin

May-14

Nov-14

Soya Oil

US$/ton 950

Brent Crude Oil

Aug-14

Aug-14

4. 3%

Palm Oil

May-14

May-14

-31. 8%

Brent Crude Oil

12 mth:

Fed Funds Rate

0.25

US$/Ounce 1,400

Nickel

Gold

1,350 1,300 1,250

May-14

Aug-14

Nov-14

-16. 7% 8. 5%

Feb-15

YT D:

-7. 1%

1 Wk:

2. 6%

12 mth: 1 mth:

1,200 1,150 May-14

Aug-14

Nov-14

Feb-15

1,100 Feb-14

May-14

Aug-14

Nov-14

Feb-15

1. 0%

YT D:

-5. 0%

12 mth:

-8. 8%

YT D:

1. 9%

-2. 8%

1 Wk:

2. 8%

1 mth:

-6. 6%

1 Wk:

0. 0%

Source: Datastream, DBS Bank

Page 9

Singapore Traders Spectrum Wired Weekly

Straits Times Index Rel ST I MTD (%)

Rel ST I QT D (%)

Rel ST I YTD (%)

Weight (%)

A c t ual M k t Cap (S$m)

4,324 6,007 22,992 2,443

1 (0) (2) (1)

(5) (1) 5 (8)

(5) (1) 5 (8)

11.8 11.0 10.5 9.3

48,390 41,264 65,365 36,143 60,217

S/No.

B'berg Code

St oc k Name

1 2 3 4

DBS SP OCBC SP ST SP UOB SP

DBS GROUP HOLDINGS LTD OV ERSEA-CHINESE BANKING CORP SINGAPORE TELECOMMUNICATIONS UNITED OV ERSEAS BANK LTD

SGD SGD SGD SGD

19.52 10.36 4.10 22.550

5

J M SP

J ARDINE MATHESON HLDGS LTD

USD

63.35

259

235

(1)

4

4

7.2

6

HKL SP

HONGKONG LAND HOLDINGS LTD

USD

7.80

2,117

1,724

4

15

15

4.4

24,242

7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30

KEP SP J S SP CAPL SP GLP SP THBEV SP WIL SP SPH SP SGX SP CIT SP CD SP SIA SP GENS SP CT SP STE SP AREIT SP HPHT SP NOBL SP J CNC SP SCI SP GGR SP STH SP SMM SP OLAM SP SIE SP

KEPPEL CORP LTD J ARDINE STRATEGIC HLDGS LTD CAPITALAND LTD GLOBAL LOGISTICS THAI BEV ERAGE PCL WILMAR INTERNATIONAL LTD SINGAPORE PRESS HOLDINGS LTD SINGAPORE EXCHANGE LTD CITY DEV ELOPMENTS LTD COMF ORTDELGRO CORP LTD SINGAPORE AIRLINES LTD GENTING SINGAPORE PLC CAPITAMALL TRUST SINGAPORE TECHNOLOGIES ENG A-REIT HUTCHISON PORT HOLDINGS TRUST NOBLE GROUP LTD J ARDINE CYCLE & CARRIAGE LTD SEMBCORP INDUSTRIES LTD GOLDEN AGRI-RESOURCES LTD STARHUB LTD SEMBCORP MARINE LTD OLAM INTERNATIONAL LTD SIA ENGINEERING CO LTD

SGD USD SGD SGD SGD SGD SGD SGD SGD SGD SGD SGD SGD SGD SGD SGD SGD SGD SGD SGD SGD SGD SGD SGD

8.720 34.58 3.48 2.54 0.75 3.25 4.12 7.75 10.08 2.98 11.900 0.93 2.07 3.47 2.47 0.69 0.93 40.69 4.18 0.40 4.33 2.96 2.000 4.08

5,940 117 10,143 14,753 30,124 5,853 3,378 1,809 1,429 10,697 1,337 28,632 10,695 5,190 8,391 20,208 102,764 443 4,092 60,377 3,152 3,648 333 248

4,643 171 13,958 17,239 20,702 5,823 3,488 2,133 1,005 10,996 1,324 46,391 12,289 4,854 7,533 18,736 40,194 230 4,519 67,617 2,693 2,908 483 218

1 0 (2) (1) 8 1 2 (4) (1) 2 0 (5) (1) (0) 1 0 (4) (4) (0) (0) 2 (0) 1 (3)

(2) 1 5 2 8 0 (2) (1) (2) 14 2 (14) 1 2 4 (0) (19) (5) (6) (13) 4 (9) (1) (4)

(2) 1 5 2 8 0 (2) (1) (2) 14 2 (14) 1 2 4 (0) (19) (5) (6) (13) 4 (9) (1) (4)

4.3 3.7 3.1 2.6 2.5 2.4 2.3 2.2 2.1 2.1 2.0 2.0 1.9 1.9 1.7 1.7 1.5 1.4 1.3 0.9 0.9 0.9 0.3 0.3

15,800 53,537 14,848 12,293 18,833 20,785 6,588 8,301 9,166 6,381 13,908 11,243 7,168 10,782 5,942 6,011 6,268 14,474 7,457 5,135 7,472 6,175 4,881 4,574

Source: Bloomberg Finance L.P.

Page 10

Crncy

L ast Day A v g V ol f or L ast Pric e V ol t he Week 13- M ar- 15 (000 Shrs) (000 Shrs) 5,061 12,449 25,894 2,899

Singapore Traders Spectrum Wired Weekly At A Glance Currencies

SG$/US$ Yen/US$ US$/Euro AUS$/US$ Pound/US$

Announced Dividends and Capital Issues

    

Last Close

Pt s chg

% Chg 1 wk

Company

T y pe

Part iculars

Ex Dat e

Paid/ Pay able

MINDRAY MEDICAL INTL ADR 10

DIVIDEND

USD 0.38

17-Mar-15

31-Mar-15

ASIAN PAY TELEVISION TRUST

DIVIDEND

011014 - 311214 SGD 0.0213 TAX EXEMPT

18-Mar-15

27-Mar-15

DAIRY FARM INT'L HOLDINGS LTD

DIVIDEND

USD 0.165

18-Mar-15

13-May-15

1.39

0.0

1.0

HONGKONG LAND HOLDINGS LIMITED

DIVIDEND

USD 0.13

18-Mar-15

13-May-15

121.32

0.5

0.4

J ARDINE MATHESON HLDGS LTD

DIVIDEND

SCRIP ALT USD 1.07

18-Mar-15

13-May-15

0.95

0.0

3.4

J ARDINE STRATEGIC HLDGS LTD

DIVIDEND

SCRIP ALT USD 0.19

18-Mar-15

13-May-15

1.31

0.0

1.3

MANDARIN ORIENTAL INTL LTD

DIVIDEND

USD 0.05

18-Mar-15

13-May-15

1.48

(0.0)

(1.9)

AVJ ENNINGS LIMITED

DIVIDEND

FULLY FRANKED AUD 0.01

23-Mar-15

8-Apr-15

PRUDENTIAL PLC

DIVIDEND

GBP 0.2574 TAX EXEMPT

25-Mar-15

28-May-15

TAI SIN ELECTRIC LIMITED

DIVIDEND

SGD 0.0075 ONE-TIER TAX

25-Mar-15

6-Apr-15

MURATA MFG CO. LTD 100

DIVIDEND

J PY 100 LESS TAX

27-Mar-15

29-J un-15

QIAN HU CORPORATION LIMITED

DIVIDEND

SGD 0.001 ONE-TIER TAX

1-Apr-15

17-Apr-15

ROXY-PACIFIC HOLDINGS LIMITED

DIVIDEND

SGD 0.01297 ONE-TIER TAX

2-Apr-15

17-Apr-15

OSIM INTERNATIONAL LTD

DIVIDEND

SGD 0.02 ONE-TIER TAX

6-Apr-15

15-Apr-15

Other Important Indicators Last Close Gold



Crude Oil



44.84

US$ Yield 10-year



2.11

Pt s chg 1w k

% Chg 1 wk

LONZA GROUP LTD

DIVIDEND

CHF 2.5 NET OF TAX

9-Apr-15

14-Apr-15

(0.9)

GLOBAL PREMIUM HOTELS LIMITED

DIVIDEND

SGD 0.005 ONE-TIER TAX

14-Apr-15

28-Apr-15

(4.8)

(9.6)

FRAGRANCE GROUP LIMITED

DIVIDEND

SGD 0.001 ONE-TIER TAX

16-Apr-15

28-Apr-15

IFAST CORPORATION LTD.

DIVIDEND

SGD 0.0068 ONE-TIER TAX

16-Apr-15

30-Apr-15

(0.1)

(5.7)

M1 LIMITED

DIVIDEND

SGD 0.119 ONE-TIER TAX

17-Apr-15

30-Apr-15

STRAITS TRADING CO. LTD

DIVIDEND

SGD 0.04 ONE-TIER TAX

20-Apr-15

8-May-15

CSE GLOBAL LTD

DIVIDEND

SGD 0.015 ONE-TIER TAX

21-Apr-15

20-May-15

GREAT EASTERN HLDGS LTD

DIVIDEND

SGD 0.05 ONE-TIER TAX

21-Apr-15

7-May-15

GREAT EASTERN HLDGS LTD

DIVIDEND

SGD 0.4 ONE-TIER TAX

21-Apr-15

7-May-15

CEI CONTRACT MANUFACTURING LTD

DIVIDEND

SGD 0.0046 ONE-TIER TAX

22-Apr-15

8-May-15

CEI CONTRACT MANUFACTURING LTD

DIVIDEND

SGD 0.001 ONE-TIER TAX

22-Apr-15

8-May-15

KEPPEL CORPORATION LIMITED

DIVIDEND

SGD 0.36 ONE-TIER TAX

22-Apr-15

6-May-15

KEPPEL TELE & TRAN

DIVIDEND

SGD 0.035 ONE-TIER TAX

22-Apr-15

5-May-15

KEPPEL TELE & TRAN

DIVIDEND

SGD 0.115 ONE-TIER TAX

22-Apr-15

5-May-15

ROTARY ENGINEERING LIMITED

DIVIDEND

SGD 0.025 ONE-TIER TAX

23-Apr-15

19-May-15

SARINE TECHNOLOGIES LTD

DIVIDEND

USD 0.02 LESS TAX

23-Apr-15

7-May-15

SEMBCORP INDUSTRIES LTD

DIVIDEND

SGD 0.11 ONE-TIER TAX

23-Apr-15

18-May-15

ISHARES ASIA LC 1-3Y BOND ETF

ENTITL.

DELISTING

24-Apr-15

11-May-15

ISHARES ASIA LOC CUR BOND ETF

ENTITL.

DELISTING

24-Apr-15

11-May-15

THAI BEVERAGE PUBLIC CO LTD

DIVIDEND

THB 0.46 LESS TAX

24-Apr-15

20-May-15

DBS GROUP HOLDINGS LTD

DIVIDEND

SCRIPDIV SCHEME SGD 0.3 ONE-TIER TAX

27-Apr-15

19-J un-15

DESIGN STUDIO GROUP LTD.

DIVIDEND

SGD 0.04 ONE-TIER TAX

27-Apr-15

22-May-15

DESIGN STUDIO GROUP LTD.

DIVIDEND

SGD 0.02 ONE-TIER TAX

27-Apr-15

22-May-15

IFS CAPITAL LIMITED

DIVIDEND

SGD 0.015 ONE-TIER TAX

27-Apr-15

8-May-15

SEMBCORP MARINE LTD

DIVIDEND

SGD 0.08 ONE-TIER TAX

27-Apr-15

14-May-15

SINGAPORE TECH ENGINEERING LTD

DIVIDEND

SGD 0.07 ONE-TIER TAX

27-Apr-15

15-May-15

SINGAPORE TECH ENGINEERING LTD

DIVIDEND

SGD 0.04 ONE-TIER TAX

27-Apr-15

15-May-15

VICOM LTD

DIVIDEND

SGD 0.095 ONE-TIER TAX

27-Apr-15

7-May-15

VICOM LTD

DIVIDEND

SGD 0.0875 ONE-TIER TAX

27-Apr-15

7-May-15

1156.99 (10.2)

Important Dates (Singapore) Eve nt Electronic Exports YoY Non-oil Domestic Exports YoY Non-oil Domestic Exports SA MoM Automobile COE Open Bid Cat A Automobile COE Open Bid Cat B Automobile COE Open Bid Cat E CPI NSA MoM CPI YoY CPI Core YoY Bbg Mar Spore Economic Survey Industrial Production SA MoM Industrial Production YoY Credit Card Bad Debts Credit Card Billings Bank Loans and Advances YoY Money Supply M1 YoY Money Supply M2 YoY Purchasing Managers Index Electronics Sector Index Foreign Reserves Automobile COE Open Bid Cat A Automobile COE Open Bid Cat B Automobile COE Open Bid Cat E GDP SAAR QoQ GDP YoY Retail Sales Ex Auto YoY Retail Sales YoY Retail Sales SA MoM Electronic Exports YoY Non-oil Domestic Exports YoY Non-oil Domestic Exports SA MoM Automobile COE Open Bid Cat A Automobile COE Open Bid Cat B Automobile COE Open Bid Cat E CPI NSA MoM CPI YoY CPI Core YoY Industrial Production SA MoM Industrial Production YoY Credit Card Bad Debts Credit Card Billings Bank Loans and Advances YoY Money Supply M1 YoY Money Supply M2 YoY Unemployment rate SA

Pe riod Feb Feb Feb Mar Mar Mar Feb Feb Feb Feb Feb Feb Feb Feb Feb Feb Mar Mar Mar Apr Apr Apr 1Q A 1Q A Feb Feb Feb Mar Mar Mar Apr Apr Apr Mar Mar Mar Mar Mar Mar Mar Mar Mar Mar 1Q P

Da te 17-Mar-15 17-Mar-15 17-Mar-15 18-Mar-15 18-Mar-15 18-Mar-15 23-Mar-15 23-Mar-15 23-Mar-15 25-Mar-15 26-Mar-15 26-Mar-15 31-Mar-15 31-Mar-15 31-Mar-15 31-Mar-15 31-Mar-15 2-Apr-15 2-Apr-15 7-Apr-15 8-Apr-15 8-Apr-15 8-Apr-15 10-Apr-15 10-Apr-15 15-Apr-15 15-Apr-15 15-Apr-15 17-Apr-15 17-Apr-15 17-Apr-15 22-Apr-15 22-Apr-15 22-Apr-15 23-Apr-15 23-Apr-15 23-Apr-15 24-Apr-15 24-Apr-15 30-Apr-15 30-Apr-15 30-Apr-15 30-Apr-15 30-Apr-15 30-Apr-15

Upcoming IPOs Nil

Recent IPO Trading Company Name V ersalink Holdings Ltd ISEC Healthcare Ltd Serrano Ltd/Singapore MS Holdings Ltd Zico Holdings Inc UG Healthcare Corp Ltd Huationg Global Ltd mm2 Asia Ltd iF AST Corp Ltd Keppel DC REIT

IPO Share Price 0.30 0.28 0.23 0.25 0.30 0.215 0.200 0.250 0.950 0.930

Last Close 0.174 0.470 0.190 0.310 0.450 0.23 0.22 0.23 1.26 1.04

ICB Sec t or Name Household Goods & Home Construction Health Care Equipment & Serv ices Construction & Materials Industrial Engineering Support Serv ices Health Care Equipment & Serv ices Construction & Materials Media Media Real Estate Investment Trusts

IPO Dat e 24/09/2014 28/10/2014 28/10/2014 07/11/2014 11/11/2014 08/12/2014 09/12/2014 09/12/2014 11/12/2014 12/12/2014

Source: Bloomberg Finance L.P.

Page 11

Singapore Traders Spectrum Wired Weekly

March 2015 Mon

Tues

Wed

Thu

Fri

2

3

4

5

6

IGG 4Q 14

Purchasing Managers Index Electronics Sector Index

9 IGG Inc 4Q 14

10 Vicplas International 2Q 15

Datapulse Tech 2Q 15

Automobile COE Open Bid Cat A Automobile COE Open Bid Cat B Automobile COE Open Bid Cat E

11

Foreign Reserves

12

Unemployment rate SA Retail Sales Ex Auto YoY Retail Sales YoY Retail Sales SA MoM

Manpower Survey

16

23

17

18

Capital Drilling 4Q 14

Cape Plc 4Q 14 Technovator Int'l 4Q 14

Electronic Exports YoY Non-oil Domestic Exports YoY Non-oil Domestic Exports SA MoM

Automobile COE Open Bid Cat A Automobile COE Open Bid Cat B Automobile COE Open Bid Cat E

24

25

19

20

26

27

CW Group 4Q 14

CPI NSA MoM CPI YoY CPI Core YoY

30

Bbg Mar Spore Economic Survey

31

Axis Offshore 4Q 14

Credit Card Bad Debts Credit Card Billings Bank Loans and Advances YoY Money Supply M1 YoY

Source: Bloomberg Finance L.P.

Page 12

13

LifeBrandz 2Q 15 Khong Guan Flor 2Q 15 TTJ Holdings 2Q 15

Industrial Production SA MoM Industrial Production YoY

Singapore Traders Spectrum Wired Weekly

DBS Bank Ltd recommendations are based an Absolute Total Return* Rating system, defined as follows: STRONG BUY (>20% total return over the next 3 months, with identifiable share price catalysts within this time frame) BUY (>15% total return over the next 12 months for small caps, >10% for large caps) HOLD (-10% to +15% total return over the next 12 months for small caps, -10% to +10% for large caps) FULLY VALUED (negative total return i.e. > -10% over the next 12 months) SELL (negative total return of > -20% over the next 3 months, with identifiable catalysts within this time frame)

Share price appreciation + dividends Traders Spectrum’s product is oriented towards readers with either a short-term trading horizon. It aims to highlight topical themes, which may move stock prices on a daily basis. Readers should be aware that “TS Take” relies more on assessments of technical factors, likely sentiment responses and short term money flows, rather than on fundamental analysis. As such the “TS Take” may from time to time conflict with fundamental ratings (where stocks are ranked to Strong Buy, Buy, Hold, Fully Valued and Sell on a 12 month basis), which are maintained by DBS Bank Ltd analysts. In keeping with the short-term orientation of the product, a stock highlighted may or may not be covered or commented on on an ongoing basis. GENERAL DISCLOSURE/DISCLAIMER This report is prepared by DBS Bank Ltd. This report is solely intended for the clients of DBS Bank Ltd and DBS Vickers Securities (Singapore) Pte Ltd, its respective connected and associated corporations and affiliates (collectively, the “DBS Vickers Group”) only and no part of this document may be (i) copied, photocopied or duplicated in any form or by any means or (ii) redistributed without the prior written consent of DBS Bank Ltd. The research set out in this report is based on information obtained from sources believed to be reliable, but we (which collectively refers to DBS Bank Ltd., its respective connected and associated corporations, affiliates and their respective directors, officers, employees and agents (collectively, the “DBS Group”)) do not make any representation or warranty as to its accuracy, completeness or correctness. Opinions expressed are subject to change without notice. This document is prepared for general circulation. Any recommendation contained in this document does not have regard to the specific investment objectives, financial situation and the particular needs of any specific addressee. This document is for the information of addressees only and is not to be taken in substitution for the exercise of judgement by addressees, who should obtain separate independent legal or financial advice. The DBS Group accepts no liability whatsoever for any direct, indirect and/or consequential loss (including any claims for loss of profit) arising from any use of and/or reliance upon this document and/or further communication given in relation to this document. This document is not to be construed as an offer or a solicitation of an offer to buy or sell any securities. The DBS Group, along with its affiliates and/or persons associated with any of them may from time to time have interests in the securities mentioned in this document. The DBS Group may have positions in, and may effect transactions in securities mentioned herein and may also perform or seek to perform broking, investment banking and other banking services for these companies. Any valuations, opinions, estimates, forecasts, ratings or risk assessments herein constitutes a judgment as of the date of this report, and there can be no assurance that future results or events will be consistent with any such valuations, opinions, estimates, forecasts, ratings or risk assessments. The information in this document is subject to change without notice, its accuracy is not guaranteed, it may be incomplete or condensed and it may not contain all material information concerning the company (or companies) referred to in this report. The valuations, opinions, estimates, forecasts, ratings or risk assessments described in this report were based upon a number of estimates and assumptions and are inherently subject to significant uncertainties and contingencies. It can be expected that one or more of the estimates on which the valuations, opinions, estimates, forecasts, ratings or risk assessments were based will not materialize or will vary significantly from actual results. Therefore, the inclusion of the valuations, opinions, estimates, forecasts, ratings or risk assessments described herein IS NOT TO BE RELIED UPON as a representation and/or warranty by the DBS Group (and/or any persons associated with the aforesaid entities), that: (a) such valuations, opinions, estimates, forecasts, ratings or risk assessments or their underlying assumptions will be achieved, and (b) there is any assurance that future results or events will be consistent with any such valuations, opinions, estimates, forecasts, ratings or risk assessments stated therein. Any assumptions made in this report that refers to commodities, are for the purposes of making forecasts for the company (or companies) mentioned herein. They are not to be construed as recommendations to trade in the physical commodity or in the futures contract relating to the commodity referred to in this report. DBS Vickers Securities (USA) Inc ("DBSVUSA")"), a U.S.-registered broker-dealer, does not have its own investment banking or research department, nor has it participated in any investment banking transaction as a manager or co-manager in the past twelve months. ANALYST CERTIFICATION The research analyst primarily responsible for the content of this research report, in part or in whole, certifies that the views about the companies and their securities expressed in this report accurately reflect his/her personal views. The analyst also certifies that no part of his/her compensation was, is, or will be, directly, or indirectly, related to specific recommendations or views expressed in this report. As of the date the report is published, the analyst and his/her spouse and/or relatives who are financially dependent on the analyst, do not hold interests in the securities recommended in this report (“interest” includes direct or indirect ownership of securities). COMPANY-SPECIFIC / REGULATORY DISCLOSURES 1. DBS Bank Ltd., DBS Vickers Securities (Singapore) Pte Ltd (“DBSVS”), their subsidiaries and/or other affiliates do not have a proprietary position in the securities recommended in this report as of 31 Dec 2014 except CapitaLand, OCBC, Mapletree Greater China Commercial Trust, Noble Group, Ascendas REIT, CDL Hospitality Trusts, SMRT, Sembcorp Industries, City Development, Yangzijiang Shipbuilding, Cambridge Industrial Trust, Cosco Corporation, Ezion Holdings, Religare Health Trust, Neptune Orient Lines, StarHub, UOL Group, Genting Singapore.

Page 13

Singapore Traders Spectrum Wired Weekly 2.

DBS Bank Ltd., DBSVS, DBSVUSA, their subsidiaries and/or other affiliates beneficially own a total of 1% of any class of common equity securities of Mapletree Greater China Commercial Trust as of 31 Jan 2015.

3.

Compensation for investment banking services: DBS Bank Ltd., DBSVS, DBSVUSA, their subsidiaries and/or other affiliates have received compensation, within the past 12 months, and within the next 3 months may receive or intends to seek compensation for investment banking services from Olam International, SMRT, Frasers Centrepoint Trust, Ezion Holdings, Neptune Orient Lines, StarHub, UOL Group, Genting Singapore, Pacific Radiance Ltd. DBSVUSA does not have its own investment banking or research department, nor has it participated in any investment banking transaction as a manager or co-manager in the past twelve months. Any US persons wishing to obtain further information, including any clarification on disclosures in this disclaimer, or to effect a transaction in any security discussed in this document should contact DBSVUSA exclusively.

RESTRICTIONS ON DISTRIBUTION General This report is not directed to, or intended for distribution to or use by, any person or entity who is a citizen or resident of or located in any locality, state, country or other jurisdiction where such distribution, publication, availability or use would be contrary to law or regulation. Australia

This report is being distributed in Australia by DBS Bank Ltd. (“DBS”) or DBS Vickers Securities (Singapore) Pte Ltd (“DBSVS”), both of which are exempted from the requirement to hold an Australian Financial Services Licence under the Corporation Act 2001 (“CA”) in respect of financial services provided to the recipients. Both DBS and DBSVS are regulated by the Monetary Authority of Singapore under the laws of Singapore, which differ from Australian laws. Distribution of this report is intended only for “wholesale investors” within the meaning of the CA.

Hong Kong

This report is being distributed in Hong Kong by DBS Vickers (Hong Kong) Limited which is licensed and regulated by the Hong Kong Securities and Futures Commission.

Indonesia

This report is being distributed in Indonesia by PT DBS Vickers Securities Indonesia.

Malaysia

This report is distributed in Malaysia by AllianceDBS Research Sdn Bhd ("ADBSR") (formerly known as HwangDBS Vickers Research Sdn Bhd). Recipients of this report, received from ADBSR are to contact the undersigned at 603-2604 3333 in respect of any matters arising from or in connection with this report. In addition to the General Disclosure/Disclaimer found at the preceding page, recipients of this report are advised that ADBSR (the preparer of this report), its holding company Alliance Investment Bank Berhad, their respective connected and associated corporations, affiliates, their directors, officers, employees, agents and parties related or associated with any of them may have positions in, and may effect transactions in the securities mentioned herein and may also perform or seek to perform broking, investment banking/corporate advisory and other services for the subject companies. They may also have received compensation and/or seek to obtain compensation for broking, investment banking/corporate advisory and other services from the subject companies.

Singapore

Wong Ming Tek, Executive Director, ADBSR This report is distributed in Singapore by DBS Bank Ltd (Company Regn. No. 196800306E) or DBSVS (Company Regn No. 198600294G), both of which are Exempt Financial Advisers as defined in the Financial Advisers Act and regulated by the Monetary Authority of Singapore. DBS Bank Ltd and/or DBSVS, may distribute reports produced by its respective foreign entities, affiliates or other foreign research houses pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the report is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, DBS Bank Ltd accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore recipients should contact DBS Bank Ltd at 6327 2288 for matters arising from, or in connection with the report.

Thailand

This report is being distributed in Thailand by DBS Vickers Securities (Thailand) Co Ltd. Research reports distributed are only intended for institutional clients only and no other person may act upon it.

United Kingdom

This report is being distributed in the UK by DBS Vickers Securities (UK) Ltd, who is an authorised person in the meaning of the Financial Services and Markets Act and is regulated by The Financial Conduct Authority. Research distributed in the UK is intended only for institutional clients.

Dubai

This research report is being distributed in The Dubai International Financial Centre (“DIFC”) by DBS Bank Ltd., (DIFC Branch) rd having its office at PO Box 506538, 3 Floor, Building 3, East Wing, Gate Precinct, Dubai International Financial Centre (DIFC), Dubai, United Arab Emirates. DBS Bank Ltd., (DIFC Branch) is regulated by The Dubai Financial Services Authority. This research report is intended only for professional clients (as defined in the DFSA rulebook) and no other person may act upon it. Neither this report nor any copy hereof may be taken or distributed into the United States or to any U.S. person except in compliance with any applicable U.S. laws and regulations. It is being distributed in the United States by DBSVUSA, which accepts responsibility for its contents. Any U.S. person receiving this report who wishes to effect transactions in any securities referred to herein should contact DBSVUSA directly and not its affiliate.

United States

Other jurisdictions

In any other jurisdictions, except if otherwise restricted by laws or regulations, this report is intended only for qualified, professional, institutional or sophisticated investors as defined in the laws and regulations of such jurisdictions. DBS Bank Ltd. 12 Marina Boulevard, Marina Bay Financial Centre Tower 3 Singapore 018982 Tel. 65-6878 8888, Company Regn. No. 196800306E

Page 14