Ella 
As Lawrence Wong prepares to succeed Lee Hsien Loong as Singapore’s prime minister next month, he will inherit a flourishing economy and strong local assets, including a surging currency, high-performing bonds, and robust stocks.
Since Lee assumed office in 2004, the Singapore dollar has appreciated approximately 40% against the currencies of the city-state’s key trading partners, more than double the US dollar’s gain in the same period. Singapore government bonds have also delivered total returns exceeding their global counterparts by about 16 percentage points.
Singapore’s economy has more than doubled under Lee’s leadership, reaching S$532.3 billion ($390 billion) by May 15, when his tenure ends. The nation’s total assets under management have surged more than eightfold to S$4.9 trillion. Under Lee, Singapore has solidified its status as a premier financial hub and an appealing destination for global talent.
The city-state’s stock market has also benefited from the strong local currency. In US dollar terms, the Straits Times Index has outperformed the MSCI Asean Index, which tracks Southeast Asian markets, by nearly 32 percentage points since Lee took office.
However, despite these gains, more than half of the companies listed on the Singapore Exchange are trading below their book value, reflecting a dearth of high-growth firms in the mature economy.
“There is potential for Wong to implement measures to support local equities,” said Nirgunan Tiruchelvam, head of consumer and internet at Aletheia Capital. “The nation’s sovereign wealth funds might increase investments in local markets, and there could be a push to enhance incentives for companies to list in Singapore.”
