Qinthara Fasya | 16 September 2021
Singapore is a major financial and fintech centre on a global and regional scale. However, there is still space for more digitalization in the industry. Henry Toh, CFO of Tiger Brokers (Singapore) spoke with DigitalCFO Asia on how he sees technology impacting the digital investment industry throughout the world, particularly in Singapore.
Trading Trends Evident in the Past Year
The trading trends across time has been largely the same. Risk on and Risk off approaches. Except that it had been noted that investors tend to pick up riskier assets during a risk on period, ie Cryptos, Reddit Stocks and higher volatility EV counters. And Risk off trading largely still evolve around the traditional businesses, for example Banks, Consumers / FMCG type of companies
Boom and Bust cycles had also become much shorter than before. Dot Com Bubble burst took 1808 trading days to recover from a 57% drop, Black Monday took 402 trading days and 29% drop. Covid 19 only took 117 trading days and 34% drop. Clearly this is a result of excess liquidity within the markets, creating a situation where investors had a pile of Dry Powder fund waiting to be deployed when opportunities arise.
Tiger Brokers in Automating its Financial Procedures
Through API connections, it is possible now to push data directly into the client’s own trading systems and ERP system. Once this is done, automatic reconciliation becomes a reality. In a corporate environment, this greatly reduces the time taken for trade matching and portfolio mark to market.
Trading in the Current Market
Depending on the current economic activities and how the pandemic situation rolls out, trends and stock market developments may change and can be fast changing.
At Tiger Brokers Singapore, we always encourage investors to be prudent, monitor and keep abreast of the latest news and developments closely to make investment decisions befitting their investment portfolio.
Given the current fast moving and quick changing market sentiment, investors should keep a close eye on their portfolio performance. Be ready to change their investment objectives should situation arise. At Tiger Brokers, as much as possible, live prices are provided to users to help them keep track of the fluctuations, this is especially important given the new level of volatility some of the counters had introduced to the market. Real time news also helps keep users abreast of the current development for decision making.
Tiger Brokers’ institutional division provides clients with comprehensive technological solutions that include advanced portfolio and risk management tools. With its sophisticated client management tools and functions, fund managers and professional advisors can manage accounts and assist clients to invest seamlessly.
Our consumer business on Tiger Trade brings proven technology for our B2B partners and clients. We hope to bring the same to the B2B segment and allow institutional partners to also tap on our technology to grow their business in our ecosystem. We are thrilled to formally launch our B2B segment with some of the strongest and well-established partners, together we are committed to transforming the financial advisory landscape. Tiger Brokers suite of API will allow financial institutions who wish to retain their branding and UI/UX to connect to Tiger Brokers for transactions.
Safeguarding our Investors assets is sacrosanct to our business. Users should be able to invest in what they want, and not worry about losing their assets due to non systematic risk. At Tiger Brokers, every possible avenue is employed to ensure that customers assets are properly custody with globally reputable custody banks. Cash is also segregated via client trust account set up.
Reliability of the trading platform is another key to today’s investing environment. This means, not just an informative platform where live prices and news are real time. Latency is also another requirement, especially in the institutional space. At Tiger Brokers, our platform is industry leading, apparent by the number of users we have accumulated in a short operational time in Singapore. And we are grateful for them choosing us. Our system is frequently load tested to ensure that it can handle large amount of orders in times when volatility sets in suddenly.