Retailers the only net buyers of equity market since start of 2021
KUALA LUMPUR: Since the beginning of 2021, cumulatively, retailers have been the only net buyers of Malaysia’s equity market to the tune of RM1.98 billion, analysts observe in the latest fund flow report.
The research arm of MIDF Amanah Investment Bank Bhd (MIDF Research) recapped that foreign investor was net buyer as the week ended on February 5 with inflow to the tune of RM117.05 million.
“As market reopened on Tuesday last week, foreign investors bought RM179.11 million net of local equities, with retailers and local institutions as net sellers to the tune of RM6.01 million and RM173.1 million respectively,” MIDF Research said.
“Last week was a four-day trading period which started on Tuesday.”
However, MIDF Research highlighted that even with the weekly positive inflow, the market saw net foreign outflow every day of the week except on Tuesday.
“The only inflow was to the tune of RM179.11 million. Subsequent continuous selling was not able to negate Tuesday’s inflow.
“Largest foreign outflow was recorded on Friday at RM38.78 million and the smallest outflow was on Wednesday at only RM4.9 million.”
MIDF Research noted that it was the opposite for retailers.
The research arm further noted that retailers were net buyers every day for last week except on Tuesday.
It gathered that largest net buying was recorded on Thursday at RM105.81 million and smallest net purchase was on Wednesday at RM49.52 million.
“Meanwhile, local institutions were net sellers every day of last week. Cumulative weekly outflow was to the tune of RM339.17 million.
“The biggest outflow was on opening day of last week trading period and smallest outflow was on Friday at RM173.1 million and RM34.04 million.
“Since the beginning of 2021, cumulatively, retailers are the only net buyers of our equity market to the tune of RM1.98 billion.
“Local institutions and foreign investors are net sellers to the tune of RM1.26 billion and RM0.72 billion respectively.”
In comparison to another three Southeast Asian markets that MIDF Research tracked last week; Thailand was the only country that recorded net outflow last week.
The research arm recalled that in terms of participation, the retail investors recorded a weekly decrease of 14.55 per cent in average daily trade value (ADTV) while the foreign investors and local institutions experienced declines in ADTV of 9.68 per cent and 19.85 per cent respectively.
Overall, Public Bank Bhd registered the highest net money inflow of RM6.11 million last week, followed by Telekom Malaysia Bhd with the second highest net money inflow of RM5.15 million.
Malayan Banking Bhd saw the third highest net money inflow of RM3.35 million.
On outflows, BURSA Malaysia Bhd saw the largest net money outflow of RM8.3 million last week.
Top Glove Corporation Bhd recorded the second largest net money outflow of RM6.06 million during the week under review while Fraser & Neave Holdings Bhd registered the third largest net money outflow of RM2.82 million.