FICC Remains “Key Growth Engine” as SGX Reports Profits Increase

Singapore Exchange (SGX) has reported adjusted net profit for FY 2022 of SGD 456.4 million, SGD 9.5 million more than the previous year. Revenues were SGD 1.099 billion, the highest since the exchange listed.

The group’s fixed income, currencies and commodities (FICC) business had another strong year, revenues up by 19% to SGD 252.7 million, driven largely by FX and commodities at SGD 240.6 million, up 22% from FY 2021.

SGX’s growing OTC FX business – it acquired Maxx Trader during this financial year to add to its existing Bid FX business – contributed 5% of total revenue at SGD 58.4 million, up 47% year-on-year.

“Our record-high revenue was driven by higher derivatives volumes across equities, currencies and commodities, as our global customers increasingly used our multi-asset platform to navigate market uncertainties,” says Loh Boon Chye, CEO of SGX Group. “Our fixed income, currencies and commodities (FICC) business remains a key growth engine and is expected to deliver mid-teens percentage revenue growth in the medium term.

“We will build on this momentum to scale our already significant standing in commodity and FX futures,” he continues. “As portfolio management needs evolve, we are sharpening our equities product suite to stay at the forefront of global investing trends. With our expanded global network and connectivity, we are well-positioned to capitalise on capital market opportunities when conditions are more conducive.”