What Is The Minimum Lot Size You Need To Buy When Investing In Singapore-Listed Stocks?

If you’re new to investing in Singapore shares, one of the first technical terms you’ll encounter is “board lot size”. 

It sounds like an archaic market rule (indeed it is) but, in practice, it also affects something very real: how much money you need to get started investing in Singapore stocks.

Today, the standard minimum board lot on SGX is still 100 shares. But that may soon change, with the MAS Equities Market Review Group throwing its support behind a proposal for SGX to reduce the lot size for stocks priced above S$10 from 100 shares to 10. 

If that’s adopted, the change would make many well-known blue-chip names far more accessible. But here’s a broad overview of what you need to know about minimum board lot sizes in the Singapore market.

Read Also: Revitalising the SGX: 4 Measures To Be Implemented To Help Boost Singapore’s Equities Market

What Is A Board Lot And How Does It Work?

A board lot is simply the minimum number of shares you need to buy or sell in a single “normal market” trade. 

On SGX, this minimum is set at 100 shares for most ordinary stocks, REITs, business trusts and other listed securities. This itself was a reduction from a minimum of 1,000 shares to make up a board lot – and was reduced to 100 in 2015.

The only exception to the current 100 shares, minimum board lot is exchange-traded funds (ETFs), which investors can purchase in single shares. This particular change was implemented by SGX in April 2022 to help broaden access to the ETF universe for Singapore-based investors.

There is also an odd-lot market that allows you to trade smaller quantities, under 100 shares, but liquidity tends to be thinner and spreads on the trades can be much wider. 

As a result, most investors transact on the main market using these standard lot sizes given the obvious benefit of price efficiency. Here’s a quick example of how a board lot works in practice:

• If a stock trades at $2, the minimum cash outlay if you want to buy it is going to be $200 before fees (100 shares × $2)

• For a $50 stock, the minimum is $5,000 before fees (100 shares x $50)

Barriers To Stock Investing

Higher-priced stocks therefore require significantly larger capital commitments under the current rules.

This is why many investors might be reluctant to buy quality blue-chip stocks, primarily the banks. Not because they’re not good stocks to own but rather because they require a large upfront capital commitment to own them. 

For example, DBS is current trading at nearly S$55 – and therefore you have to invest around S$5,500 (before commissions) to buy a single 100-share lot. 

For younger or budget-conscious investors trying to get started and build a diversified portfolio, this can be a real barrier to entry.

MAS Proposed To Reduce Lot Sizes For Stocks Trading Over S$10

Earlier this month, the MAS Equities Market Review Group released its final recommendations for proposed reforms of the local market. 

One of the most impactful ideas – at least for retail investors – is the proposal for SGX to cut minimum board lots for Singapore stocks (priced above S$10) from 100 shares to just 10. Despite this proposal, it will actually only impact a few stocks on SGX.

Securities on SGX, above S$10

Source: SGX

Within this list, only Keppel, Venture Corp, SGX, OCBC, UOB and DBS have significant average daily trading volume.

Nevertheless, the intention of this move is pretty straightforward; by lowering the entry price for higher-priced stocks, more investors can participate without needing thousands of dollars per trade.

The review group also noted that smaller lot sizes should help retail investors diversify more easily, rather than concentrating their money into one or two expensive counters simply to meet lot-size rules. 

SGX has also framed the change as part of a broader effort to revitalise Singapore’s equities market, alongside initiatives such as improved market-making incentives and the proposed SGX-Nasdaq dual-listing bridge.

The proposal still has to go through SGX’s formal consultation and implementation process so we’ll hear more details on exactly this change will be implemented in the first quarter of 2026. 

Market regulators want Singapore’s stock market to be more accessible, especially for younger and first-time investors who are building their portfolios gradually.

Read Also: Investing In What You Know: 20 Brands You See Daily That Are SGX-Listed

What Next For Singapore Investors?

For now, the minimum lot size in Singapore remains 100 shares for most listed securities on SGX. But after the MAS Equities Review Group proposal, that is likely to soon change for stocks trading above $10. 

If SGX proceeds with the proposed change to reduce the minimum board lot for stocks trading above $10, it would be another move woo retail investors to the local stock market.

This will make Singapore’s stock market a little more expensive, inclusive and, ultimately, a little closer to the way people actually invest today with many global markets even offering fractional share trading.

Already, investors who buy US stocks will know that you can invest from as little as 1 share in a company. Often, there’s also an option for fractional trading for many of the popular stocks.

Cover image credit: Singapore Land