[SINGAPORE] UOB Kay Hian’s (UOBKH) Alpha Picks portfolio underperformed the Straits Times Index (STI) by 6.4 percentage points on an equal-weighted basis in March, as Iran war jitters triggered sell-offs.

The portfolio shed 8.6 per cent month-on-month on an equal-weighted basis, while the benchmark index lost 2.2 per cent amid a resurgence of risk-off sentiment following heightened policy uncertainty in the US.

On price-weighted and market-cap weighted bases, the portfolio fell 6.5 per cent and 2.8 per cent respectively, as Singapore equities weakened in March and sectors across the board registered “largely negative” performances.

The month-on-month declines were led by property (13 per cent decline) and land transport (7.1 per cent), followed by real estate investment trusts (Reits) (6.3 per cent) and shipyards (6.4 per cent).

Aviation was “relatively resilient” with a 0.2 per cent month-on-month decline. Meanwhile, the plantation sector emerged as the sole outperformer on higher crude palm oil prices, gaining 13.5 per cent, and financials edged 0.8 per cent higher, supported by defensive qualities.

Notably, the Alpha Picks portfolio welcomed two new entrants: NTT Data Centre Reit (NTT DC Reit) was added for its merger and acquisition catalyst and yield and First Resources , for its exposure to Indonesia’s B50 scheme, a palm-oil based biodiesel programme.