Fuelled by volatility
? We project an expedited recovery in treasury income towards c.16% of
revenue in FY23-24F (FY21: c.10%) as Fed signals 6 more hikes in CY22F.
? SDAV rose 21% yoy to S$1.6bn in Feb 22, rebounding strongly from the
S$1.2bn average in 1H22. SGX’s China A50 trading volumes are steady.
? Reiterate Add. Continued geopolitical uncertainty should support demand for
hedging solutions. Valuations are inexpensive at 23x CY22F P/E.