Ad Banner
Advertisement by Open Privilege
Malaysia

Foreign investors infuse RM535 million into Bursa Malaysia, signaling market confidence

Image Credits: UnsplashImage Credits: Unsplash
  • Foreign investors have injected RM535 million into Bursa Malaysia, signaling renewed confidence in the Malaysian economy.
  • Key sectors benefiting from this influx include transportation and logistics, utilities, and healthcare.
  • Malaysia's strong economic performance and increased trading volume across all investor categories contribute to the positive market sentiment.

Foreign investors have made a notable return to Bursa Malaysia, contributing a net inflow of RM535 million. This development is a strong indicator of renewed confidence in the Malaysian economy and its financial markets. The recent influx of foreign funds is a positive sign, especially after a period of net outflows that had raised concerns among market analysts.

Throughout the course of the week, investment funds from overseas were net buyers in Malaysia, with the greatest net inflow of RM299.98 million occurring on Wednesday. This substantial investment is part of a broader trend of increasing foreign interest in Malaysian equities, driven by the country's robust economic performance and favorable market conditions.

The sectors that have benefited the most from this influx include transportation and logistics, utilities, and healthcare. These sectors saw significant net foreign inflows, with transportation and logistics leading at RM223.6 million, followed by utilities at RM189.1 million, and healthcare at RM183.3 million. This sectoral investment pattern reflects the strategic interests of foreign investors in areas with strong growth potential and stable returns.

In contrast, sectors such as plantation and construction experienced net foreign outflows, amounting to RM64.7 million and RM6.7 million, respectively. This divergence in investment trends highlights the selective approach of foreign investors, who are focusing on sectors with higher growth prospects and lower risks.

The return of foreign funds to Bursa Malaysia is also supported by positive economic indicators. Malaysia's GDP grew by 4.2% year-on-year in the first quarter of 2024, surpassing the 3.9% growth forecast by a Reuters poll and the government's advance estimates. This economic performance has bolstered investor confidence, making Malaysia an attractive destination for foreign capital.

Moreover, the average daily trading volume has increased across all investor categories, with local retailers, local institutions, and foreign investors showing significant participation. Local retailers saw a 27.1% increase in trading volume, local institutions 18.0%, and foreign investors 8.5%. This heightened trading activity indicates a vibrant and dynamic market environment, further enhancing the appeal of Bursa Malaysia to foreign investors.

The recent semi-annual review of the FTSE Bursa Malaysia Index Series also plays a role in shaping investor sentiment. Changes to the index constituents, effective from June 24, 2024, reflect the evolving landscape of the Malaysian stock market and provide updated benchmarks for investors. These adjustments ensure that the indices remain representative of the market, thereby maintaining their relevance and utility for investment decisions.

The return of foreign funds to Bursa Malaysia, with a net inflow of RM535 million, underscores the growing confidence in Malaysia's economic stability and market potential. This positive trend is expected to continue, driven by favorable economic conditions, strategic sectoral investments, and robust market participation. As Malaysia continues to demonstrate strong economic performance, it is likely to attract even more foreign investment, further boosting the country's financial markets.


Ad Banner
Advertisement by Open Privilege

Read More

Economy Malaysia
Image Credits: Unsplash
EconomyMay 9, 2025 at 5:30:00 PM

Indonesia shifts fuel imports from Singapore to US amid tariff negotiations

[WORLD] Indonesia is preparing to reroute a portion of its fuel imports from Singapore to the United States as part of broader negotiations...

In Trend Malaysia
Image Credits: Unsplash
In TrendMay 9, 2025 at 4:00:00 PM

Positive prospects in May 2025 for the Snake month

[WORLD] As May 2025 arrives, Chinese astrology places us in the month of the Snake, a time traditionally associated with wisdom, stealth, and...

In Trend Malaysia
Image Credits: Unsplash
In TrendMay 9, 2025 at 3:30:00 PM

All you need to know about ginger

[WORLD] From ancient medicine to modern kitchens, ginger (Zingiber officinale) has been cherished for its distinctive flavor and myriad health benefits. This article...

Economy Malaysia
Image Credits: Unsplash
EconomyMay 9, 2025 at 1:30:00 PM

Pope Leo XIV holds first Mass

[WORLD] Pope Leo XIV, formerly Cardinal Robert Francis Prevost, celebrated his inaugural Mass as the 267th leader of the Roman Catholic Church today,...

Tech Malaysia
Image Credits: Unsplash
TechMay 9, 2025 at 1:00:00 PM

China’s U.S. exports tumble as tariffs escalate

[WORLD] China's exports to the United States experienced a significant downturn in April 2025, plummeting by 21% year-on-year. This sharp decline follows the...

Leadership Malaysia
Image Credits: Unsplash
LeadershipMay 9, 2025 at 1:00:00 PM

Manager-employee disconnect undermines workplace morale

[WORLD] A growing number of managers report a more negative outlook on their teams' performance and overall morale than their employees themselves. This...

Finance Malaysia
Image Credits: Unsplash
FinanceMay 9, 2025 at 12:00:00 PM

Bursa Malaysia rises on banking and AI sector optimism

[MALAYSIA] Bursa Malaysia rebounded at the opening bell on Thursday, recovering from the previous session’s losses, driven by renewed buying interest in select...

Economy Malaysia
Image Credits: Unsplash
EconomyMay 9, 2025 at 12:00:00 PM

Trump optimistic about US-China trade talks

[WORLD] US President Donald Trump stated yesterday that he expects meaningful trade discussions between the US and China to take place this weekend,...

Finance Malaysia
Image Credits: Unsplash
FinanceMay 9, 2025 at 10:30:00 AM

Bank Negara signals policy shift

[MALAYSIA]

Finance Malaysia
Image Credits: Open Privilege
FinanceMay 9, 2025 at 10:00:00 AM

Ringgit rises on trade optimism amid US dollar strength

[MALAYSIA] The ringgit opened stronger against the US dollar today, buoyed by improved market sentiment stemming from recent developments in global trade tariffs...

Politics Malaysia
Image Credits: Unsplash
PoliticsMay 9, 2025 at 10:00:00 AM

The unraveling of the Western world order

[UNITED STATES] The West stands at a pivotal moment in history. The trajectories of civilizations—rising, falling, and evolving—are often shaped by the choices...

Politics Malaysia
Image Credits: Unsplash
PoliticsMay 9, 2025 at 10:00:00 AM

Hong Kong must become aware of the perils of US port and maritime concerns

[WORLD] As U.S. President Donald Trump escalates tariffs on Chinese imports, concerns of a deepening trade war cast a shadow over the global...

Ad Banner
Advertisement by Open Privilege
Load More
Ad Banner
Advertisement by Open Privilege