Singapore has been ranked as the third listing destination in the Asia-Pacific region, behind Hong Kong and Shanghai, in a survey of financial sector professionals conducted by law firm Norton Rose.
The poll was taken by 314 bankers, fund managers, insurers and other experts worldwide from July to September to track market sentiment following the global financial crisis. Out of the total respondents, 62 were from the Asia Pacific region.
Majority of the respondents said that Hong Kong’s stock exchange will be the most important listing exchange in the Asia Pacific over the next five years, followed by Shanghai, Singapore, Sydney and Tokyo.
The Hong Kong stock exchange has recently drawn several high-profile listings, with Rusal and Prudential offering shares there. More international firms are also looking at listings in Hong Kong, said Jon Perry, a partner at Norton Rose Hong Kong.
“Hong Kong no longer sees itself merely as a gateway to China – in the long run, that mantle is likely to be taken up by Shanghai,” said Perry.
Meanwhile, Singapore emerged on top for having a regulatory environment that urges financial institutions to do business.
The results demonstrate that “strong regulation can be compatible with increased business dealings as long as the regulatory regime is clear, transparent and predictable”, said Mr. Wilson Ang, a counsel at Norton Rose (Asia) in Singapore.
Singapore’s measured response and “resistance against knee-jerk reactions and populist measures in the midst of the financial crisis have won over the confidence of financial institutions”, said Mr. Ang.
Hong Kong finished second with 78 percent of respondents seeing its regulatory system as a driver for growth.