By Mak Yuen Teen and Chew Yi Hong
Thank you to all the trusts for your interest and support of the Governance Index for Trusts (GIFT) over the past 6 years. In particular, we would like to thank those who have participated in the self-assessment since we introduced this feature. The increasing participation in the self-assessment suggests that GIFT is seen by trusts as a useful index on the governance and business risks of trusts. We also thank other stakeholders, including SGX and MAS, for their interest and support.
Since the first REIT was listed on SGX, SGX has become one of the leading hubs for the listing of trusts in Asia Pacific. However, over the past few years, the sector has faced challenges. We have highlighted some of these challenges in our reports.
We started GIFT because we believe a dedicated index and ranking is necessary given the unique features of trusts. We continue to hold this view.
However, in order to ensure that GIFT remains relevant, we are taking a pause this year while we review the methodology and criteria for the index, taking into account the lessons we have learned in assessing trusts over the past few years and the challenges faced by the sector.
We are also considering updating the ranking several times a year, rather than just once a year, although we will likely still release a full report once a year. As part of this review, we are also looking at adding criteria relating to how trusts are addressing major sustainability-related issues in a substantive way. However, governance will remain the foundation of GIFT.
We hope to relaunch an enhanced GIFT in 2024 and will be providing more information about changes in methodology and criteria in due course. We hope that trusts, investors and other stakeholders will continue to support GIFT when it is relaunched. We will be inviting trusts to participate in the self-assessment again when we do so.
