SocGen launches series of US stock daily leverage certificates on SGX

FRENCH bank Societe General (SocGen) has announced the launch of a new series of US stock daily leverage certificates on the Singapore Exchange (SGX) securities market.

The new products will be listed for trading on SGX from Friday (Oct 4) and can be traded during market hours from 9 am to 5 pm.

This allows investors to swiftly react to overnight market-moving developments ahead of US markets opening, said the bank.

Stocks of the Magnificent Seven – Apple, Amazon, Alphabet, Meta, Microsoft, Nvidia and Tesla – are featured in this first round.

Trading daily leverage certificates grants Singapore investors exposure to the underlying US stock’s daily performance, with a leverage of three times the daily return for both long and short directions, SocGen said.

This lets them capitalise on opportunities across both rising and falling markets.

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Investors will also benefit from the added convenience of trading the US stock daily leverage certificates in Singapore dollars through their regular stock brokerage account.

SocGen vice-president of cross-asset listed distribution Marcus Ng highlighted a growing focus among investors on the US market and Magnificent Seven stocks over the past two years, tracking the artificial intelligence boom and the US stock market’s strong bull run.

SocGen is the first issuer to launch daily leverage certificates in Asia on SGX, with 2024 marking the seventh year of the French bank’s offering for the Singapore market.

As at September, the initial batch of 10 daily leverage certificates has grown to more than 200, and more than S$17 billion has been traded since inception.

The range of underlying assets has grown to cover key Hong Kong and Singapore indices, Hong Kong and Singapore single stocks and key US equity indices, including the Nasdaq Composite, S&P 500 and the Dow Jones Industrial Average.