What is SGX Nifty and How It Impacts Our Indian Stock Market?


Nifty index directly and officially trades in Singapore exchange limited. If you are a newbie in trading and never heard about the SGX Nifty and its impact on the Indian stock market, then I would suggest you open any business news channel and you will see the discussion of SGX nifty and its impact on the opening of NIFTY on that day. If you want to follow and see the better picture of Indian stock exchange then its hashtags are most followed and searched on social media. 

SGX Market cap: $733.27 Billion 

SGX Trading hours

Local Times:

Start timeEnd time
Pre open08:30 AM08:51 AM
Market open09:00 AM11:59 AM
Pre open (Mid-Day Break)12:00 PM12:59 PM
Market open01:00 PM05:00 PM
Pre close05:00 PM05:05 PM
Close05:06 PM 

We need to know that NIFTY trades for 6 hours on the National Stock Exchange but the NIFTY future on SGX is traded for 16 long hours. From 6.30 am to 11.30 pm as per Indian time (IST). As Singapore and India are on the same continent. The time difference is 2 hours & 30 minutes, their exchange opens at 9:00 AM viz 6:30 AM according to IST.

What is SGX NIFTY?

SGX stands for Singapore stock exchange, SGX Nifty is a derivative of NIFTY in Singapore stock exchange.

It can be easily understood if we divide it into two parts SGX + NIFTY. 

SGX is an acronym of Singapore stock exchange and NIFTY is a benchmark index of National Stock Exchange that comprises the top 50 companies.

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For the investors of Singapore who want to participate in the Indian stock exchange SGX Nifty is very useful.  

Who is Allowed to trade in SGX Nifty?

SGX Nifty is for those interested investors of NIFTY of the national stock exchange, but did not access the Indian stock market. They find the best to trade in SGX nifty.

Indian citizens are not allowed to trade in the SGX nifty contracts, even though they are not allowed to trade derivatives of any other country. 

How SGX Nifty Impacts on our Indian Stock Market?

Since it is a NIFTY futures trading on the Singapore stock exchange (SGX), it has an impact on our Indian stock market. It is affected by the world economy, NIFTY is also affected by global economic factors, environmental effects, political news, and others. SGX nifty is more volatile than the Indian NIFTY, the time difference of 2 hours & 30 minutes causes SGX to open before the Indian stock exchange so there is little effect on the NSE.

SGX NIFTY movement gives the direction of the Indian Stock market.

Key Takeaways

  • SGX Nifty is Indian NIFTY that directly and officially trades in the Singapore stock exchange.
  • The Opening hours of Singapore stock exchange is 6:30 AM to 11:30 PM as per Indian standard time (IST).
  • Useful for those who are interested in investing in Indian stock exchange.
  • The margin is lower than the NSE.
  • Indian citizens are not allowed to trade in SGX nifty.
  • SGX nifty has no or little impact on Indian stock exchange.