Foreign investors turns net buyers to tune of RM70.91 mln

KUALA LUMPUR: Foreign investors turned net buyers last week to the tune of RM70.91 million, analysts observed in the latest fund flow report.

According to the research arm of MIDF Amanah Investment Bank Bhd (MIDF Research), this was the first net inflow of September where the first week of the month saw foreign investor as net sellers at RM589.38 million.

“Combined, for the first two weeks of September, foreign investor was net seller to the tune of RM518.47 million,” MIDF Research noted.

“Meanwhile, retailers are net buyers of RM456.61 million worth of equities last week, with local institutions at minus RM527.51 million net during the same period.

“Last week was the tenth consecutive week of local retailers as net buyer on Bursa to the tune of net RM5.03 billion, in comparison of local institution as net seller at RM707.4 million and foreign investor at RM4.02 billion since early July.”

MIDF Research highlighted that as market reopened on Monday last week, foreign investors sold RM72.45 million net of local equities, with retailers and local institutions as net buyers at RM68.91 million and RM3.54 million respectively.

It further highlighted that foreign selling happened only on Monday and Tuesday at net outflow of RM72.45 million and RM11.52 million respectively, before buying momentum started on Wednesday.

“The largest net inflow was on Thursday at RM94.81 million and smallest was in Friday at RM1.33 million.”

The research arm noted that so far in 2020, foreign investors net selling has amounted to RM20.87 billion worth of equities on Bursa.

It also noted that local players and institutions are net buyers at RM10.88 billion and retailers at RM9.61 billion.

In comparison to another three South East Asian markets that MIDF Research tracked last week; Philippines recorded the least foreign net outflow while Indonesia experienced the biggest outflow compare to the others.

“In terms of participation, the retail investors recorded a weekly increase 21.28 per cent in average daily trade value (ADTV) while the foreign investor experienced the decrease of ADTV of 14 per cent.”

Overall, Tenaga Nasional Bhd registered the highest net money inflow of RM2.68 million last week, followed by Press Metal Aluminium Holdings Bhd with the second highest net money inflow of RM2.42 million.

CIMB Group Holdings Bhd saw the third highest net money inflow of RM1.72 million.

On outflows, Top Glove Corporation Bhd (Top Glove) saw the largest net money outflow of 69.98 million last week.

Kossan Rubber Industries Bhd recorded the second largest net money outflow RM11.68 million during the week under review while Bursa Malaysia Bhd registered the third largest net money outflow of RM5.83 million.

Combined, for the first two weeks of September, foreign investor was net seller to the tune of RM518.47 million. MIDF Research