KUALA LUMPUR: The Securities Commission and Bursa Malaysia Bhd
are assuring investors that the fundamentals of the Malaysian stock market remain strong and should not be a cause for any concern.
In a joint statement, the regulators said they are closely monitoring recent market conditions in light of the heightened volatility in certain stocks.
Accordingly, it said the recent significant decline in share prices is limited to a few small-cap stocks and not widespread.
It added that the affected stocks constituted about 0.17% of the total market capitalisation and 8.3% of total traded value for the year.
"Investors are advised to make informed investment decisions based on fundamentals and continue to refer to disclosures and announcements made by listed companies on www.bursamalaysia.com.
"In addition, investors should also take note of companies’ replies to the Unusual Market Activity (UMA) queries issued by Bursa Malaysia," said the statement.
The SC and Bursa Malaysia said they conduct proactive surveillance of corporate transactions and disclosures, as well as real-time monitoring of all trading activities to ensure an efficient, fair and orderly market.
Where irregularities are detected, the SC and Bursa Malaysia said they will not hesitate to take the necessary regulatory actions to preserve the integrity of the market.
