The Straits Times Index (STI) reached a new high of 4,575.91 on Nov 13. It closed Friday Nov 14 at 4,546.07, delivering a 20.0% price return year-to-date in 2025. Including dividends, the total return stands at 25.8%, comprising 7.4% in 1H25 and 17.1% in the 2H25 to Nov 14. During 2H25, the Bloomberg Consensus Target Price on the STI was revised upward by 12%, compared to a 2% increase in 1H25.
STI ETFs AUM at S$3.38 billion
Since the end of 2019, through to Nov 14, the annualised total return of the two STI ETFs averaged 10.2%. Supported by modern platforms that offer ways to gradually build exposure in ETFs and stocks, from 2019 to 2025 (as of Nov 14), the indicative CAGR of a monthly STI ETF DCA plan was 8.3%, compared to the lump-sum investing 10.2% annualised total return. As of Nov 14, STI ETFs recorded a 36% year-on-year surge in collective AUM, reaching S$3.38 billion. The SPDR STI ETF expanded to S$2.27 billion in assets, while the Amova STI ETF grew to S$1.11 billion. This growth was driven by year-to-date net inflows of S$349 million, including S$65 million in October alone. October also marked the highest monthly trading activity for the two ETFs since April 2025, with an average daily turnover of S$6.5 million.
Beyond Interest: STI Banks Hit S$5B NOII Milestone
The STI performance remains heavily influenced by its three leading banks, DBS Group Holdings (DBS), Oversea-Chinese Banking Corporation (OCBC) and United Overseas Bank (UOB). Collectively the trio make up 50.4% of the Index. For 3Q25, the trio reported combined Non-Interest Income (NOII) above S$5.0 billion for the first time, at S$5.06 billion. This was up 13% from 2Q25. Combined Net Interest Income (NII) also remained above S$8.0 billion for a twelfth consecutive quarter.
For 3Q25, OCBC reported 7% total income growth from 2Q25, DBS reported 3% total income growth from 2Q25 and UOB reported 3Q25 total income declined 2% from 2Q25.
DBS sustained income through steady deposit growth despite easing rates, with 3Q25 customer loans up 1% and deposits up 4% from 2Q25, even as Group NIM fell 15bps from 3Q24 and Commercial NII slipped 2% from 2Q25. UOB reinforced its balance sheet with a S$615 million pre-emptive provision, lifting general allowance to 1% and NPA coverage to 100%, positioning this as a strategic safeguard against macro uncertainties despite short-term profit impact. OCBC delivered strong non-interest income, up 24% quarter-on-quarter, driven by a 35% surge in wealth management fees and record AUM of S$336 billion, underscoring broad-based growth across fees, trading, and insurance.
STI Performances in 2025: Strategic Shifts and Bank Weight Decline
In 2025, the STI’s performance leaderboard has been propelled by value unlocking, strategic transformation, and macroeconomic tailwinds. With DBS the sole STI bank ranked in the top 10 STI stocks by total return for the year to Nov 14, the trio’s combined weightage of 50.4% is down from 53.7% at the end of 2024.
Note ADT refers to Average Daily Trading Turnover, NIF refers to Net Institutional Flow, TR refers to Total Return. Sources: SGX Data as of Nov 14, 2025.
STI Holds Value as Key Stocks Drive Performance
STI valuations remain competitive, with the P/B ratio at 1.5x, up from 1.3x in June, but still well below the 2.0x levels that accompanied the former version of the STI in 2007. Meanwhile for both Jun 30, and Nov 14, the median P/B across STI constituents holds at 1.2x.
Recent price movements and valuations have largely reflected research analysts’ outlooks, with market sentiment closely aligned to their forward guidance. ST Engineering which has led the STI constituents in 2025, with an 85% total return maintains the highest P/B ratio of the 30 constituents at 9.8x. This year’s gain have coincided with research analysts upwardly revising their target price on the stock by 74%.
Since the end of 2024, institutions have net bought S$225 million of ST Engineering, while retail have net sold S$271 million of the stock. Hongkong Land maintains the lowest P/B ratio across the 30 STI constituents at 0.5x, while still ranking among the performance leaderboard tabled above. While generating a 50% USD total return (42% in SGD), its target price has been revised upwards by 54% this year, and the stock has also bought back 41 million shares at an average price of S$5.78 per share.
