Malaysia's 15th general election (GE15) results have led to a suspended situation in parliament, with the formation of a new government and prime minister due to be postponed until at least Thursday.。Malaysia's king has called a special meeting of the Malaysian Rulers' Council, scheduled for Thursday。I discussed in a previous article whether GE15 would offer clear prospects for investors, and the current results show a split in votes between the yuan and the National Front coalition.。On Monday, the Malaysian Stock Exchange lost a total of 73 percent of its total market value as the government was unable to reach an agreed outcome..200 million ringgit (about 16.$100 million), sparking a wave of selling。Among them, gaming stocks and brewery stocks suffered the worst, with a sell-off on Monday alone leading to 27.RM500 million loss of market value。However, given the many uncertainties in Malaysia, the Singapore market could benefit as foreign investors seek markets that offer political stability.。

Singapore market helps preserve value

Singapore market seen as helping investors preserve value。Its equity benchmark index, the Straits Times Index (STI), is considered a dividend index with a historical average return of between 3% and 4%.。Compared to markets in other regions, this resilient stock market also provides stability。At the same time, for example, Malaysia's equity benchmark index, the FTSE Buffett Malaysia Index (FBM KLCI), has fallen 8 per cent so far this year, while the STI has risen 4 per cent..1%。

Resistant Singapore dollar adds total return for investors

In addition to stock market performance, the resilient Singapore dollar (SGD) is another advantage for investors。Ten years ago, the Malaysian ringgit (MYR) was below 2 against the Singapore dollar..RM50 but now at 3.Around RM31。As GE15 shows that political uncertainty in Malaysia will persist, we are unlikely to see a rapid recovery in the Malaysian ringgit and equity markets, and further downside risks are also present for the ringgit and Malaysian markets.。

Singapore aspires to be Southeast Asia's financial and R & D hub

Investors in the Malaysian market will continue to face the challenge of political infighting, with no clear winner in the short term, and some investors may look for other options.。This is where the Singapore market comes in。The Singapore market remains attractive to Malaysian investors as it is seen as a financial centre capable of surpassing the Hong Kong market.。

It is no coincidence that Neo chose to list on the Singapore Exchange and became the first car company to list on three exchanges.。I had an exchange with Chen Rui, the head of investor relations at Neo.

He said Singapore's strategic importance as an international financial and technology hub was one of the key reasons for the listing, and that Neo would establish an artificial intelligence (AI) R & D center in Singapore.。According to Chen Rui, Singapore has a large high-tech talent pool, such as artificial intelligence。With neighboring Malaysia continuing to be distracted by domestic political issues, Singapore has the advantage of leading in these areas.。This will help Lion City position itself as a key hub in the next generation of growth opportunities in digital technology。Despite significantly higher costs than regional peers, Singapore already dominates key areas such as data centers。

At the same time, Singapore's political landscape has also become more competitive, but the ruling People's Action Party has planned an early political succession.。That would make Finance Minister Huang Xuncai the next party leader and lead the party's next general election by 2025.。