The fund flow conundrum


Why should foreign funds invest in our local stock market and listed companies if the valuation versus their growth trajectory or earnings is not in tandem? A good example would be Singapore. The Singapore Exchange (SGX) for the past 10 years has suffered a wave of delistings. In 2010, there were 783 listed companies on the SGX. As at end-2020, there were only 715 listed companies remaining.

THE FBM KLCI closed above 1,600 points this week for the first time in five months since March 23, 2021.

It has been six consecutive days that our index continued to scale impressively. The index was single-handedly lifted due to the foreign funds flowing back into Bursa Malaysia with limited support by local institutions and retail investors, who have been net sellers.

Save 30% for ads-free and full access now!

Monthly Plan

RM13.90/month
RM9.73 only

Billed as RM9.73 for the 1st month then RM13.90 thereafters.

Annual Plan

RM12.33/month
RM8.63/month

Billed as RM103.60 for the 1st year then RM148 thereafters.

1 month

Free Trial

For new subscribers only


Cancel anytime. No ads. Auto-renewal. Unlimited access to the web and app. Personalised features. Members rewards.

Follow us on our official WhatsApp channel for breaking news alerts and key updates!
SGX , Bursa , Ng Zhu Hann , Foreign Funds , conundrum ,

Others Also Read


All Headlines:

Want to listen to full audio?

Unlock unlimited access to enjoy personalise features on the TheStar.com.my

Already a member? Log In