![](https://i.imgur.com/CLvY2jA.png")
17-08-2025, 09:24 AM
The Singapore Exchange (SGX) is indeed a well-respected, stable, and internationally known exchange, but it doesn’t appear in the Top 20 global stock exchanges by market capitalization. Here’s why:
1. Size of Domestic Economy
The market cap of an exchange largely reflects the size of the companies listed on it.
Singapore’s GDP is about USD 500+ billion (2024), while countries like the US, China, Japan, and India have multi-trillion-dollar economies.
Naturally, domestic firms in these larger economies are much bigger in aggregate.
---
2. Limited Number of Large Companies
SGX is home to fewer mega-cap companies compared to New York, Shanghai, or even Mumbai.
Many of Singapore’s biggest corporations (like DBS Bank, Singtel, Keppel Corp) are significant regionally, but not at the same global scale as Apple, Alibaba, Toyota, or Reliance.
SGX’s total market capitalization is around USD 600–650 billion, while the threshold for the Top 20 is above USD 2 trillion.
---
3. Regional Competition
Asian neighbors — Hong Kong, Shanghai, Shenzhen, Tokyo, and India’s NSE/BSE — all host much larger markets.
Even in ASEAN, the Indonesia Stock Exchange (IDX) surpassed SGX in total market cap (over USD 880 billion) because of Indonesia’s fast-growing consumer and commodity companies.
---
4. SGX’s Niche Role
Unlike big national exchanges, SGX carved out a specialized niche:
A leading hub for REITs (real estate investment trusts) — one of the largest in Asia.
A key venue for derivatives and commodities trading (iron ore, rubber, and even Chinese stock index futures).
This means it plays a strategic role for global investors, but doesn’t compete in raw size with the Top 20.
---
5. Global Listings Preference
Many large Asian companies (especially from China and Southeast Asia) choose to list in Hong Kong or the US instead of Singapore, seeking bigger pools of capital and liquidity.
This reduces SGX’s ability to scale up its market cap rankings.
---
In Summary
The Singapore Exchange (SGX) is:
Stable, well-regulated, and globally connected,
Top 2 in ASEAN,
A specialist in REITs and derivatives,
…but too small in absolute market capitalization to break into the global Top 20, where exchanges start above USD 2 trillion.
1. Size of Domestic Economy
The market cap of an exchange largely reflects the size of the companies listed on it.
Singapore’s GDP is about USD 500+ billion (2024), while countries like the US, China, Japan, and India have multi-trillion-dollar economies.
Naturally, domestic firms in these larger economies are much bigger in aggregate.
---
2. Limited Number of Large Companies
SGX is home to fewer mega-cap companies compared to New York, Shanghai, or even Mumbai.
Many of Singapore’s biggest corporations (like DBS Bank, Singtel, Keppel Corp) are significant regionally, but not at the same global scale as Apple, Alibaba, Toyota, or Reliance.
SGX’s total market capitalization is around USD 600–650 billion, while the threshold for the Top 20 is above USD 2 trillion.
---
3. Regional Competition
Asian neighbors — Hong Kong, Shanghai, Shenzhen, Tokyo, and India’s NSE/BSE — all host much larger markets.
Even in ASEAN, the Indonesia Stock Exchange (IDX) surpassed SGX in total market cap (over USD 880 billion) because of Indonesia’s fast-growing consumer and commodity companies.
---
4. SGX’s Niche Role
Unlike big national exchanges, SGX carved out a specialized niche:
A leading hub for REITs (real estate investment trusts) — one of the largest in Asia.
A key venue for derivatives and commodities trading (iron ore, rubber, and even Chinese stock index futures).
This means it plays a strategic role for global investors, but doesn’t compete in raw size with the Top 20.
---
5. Global Listings Preference
Many large Asian companies (especially from China and Southeast Asia) choose to list in Hong Kong or the US instead of Singapore, seeking bigger pools of capital and liquidity.
This reduces SGX’s ability to scale up its market cap rankings.
---
In Summary
The Singapore Exchange (SGX) is:
Stable, well-regulated, and globally connected,
Top 2 in ASEAN,
A specialist in REITs and derivatives,
…but too small in absolute market capitalization to break into the global Top 20, where exchanges start above USD 2 trillion.
