KUCHING: Malaysia’s automotive industry is off on a positive start this year, led by strong numbers recorded by national carmakers. Analysts expect the industry to continue this strong momentum, underpinned by healthy demand and favourable foreign exchange (forex). According to the research arm of Affin Hwang Investment Bank Bhd (AffinHwang Capital), the automotive industry’s January […]
PETALING JAYA: Affin Hwang Asset Management Bhd (Affin Hwang AM) today announced the appointment of Raja Tan Sri Datuk Seri Aman Raja Haji Ahmad (pix) as its new chairman, effective Feb 19, 2019.
In a statement today, Affin Hwang AM said that Aman had held various positions in the Maybank Group from 1974 to 1985 prior to joining Affin Bank Bhd as an executive director.
In 1992, he joined Perbadanan Usahawan Nasional Bhd as its CEO before he was re-appointed as the CEO of Affin Bank in 1995.
He had served as a member of the National Pension Fund’s (KWAP) Investment Panel and is currently the chairman of Lembaga Tabung Angkatan Tentera’s (LTAT) Investment Committee.
He had also served as a member of the Malaysian Government’s Working Group Policy of the Special Task Force to Facilitate Business (Pemudah) for a period of ten years from 2007 to 2017.
Aman is also the chairman of Ahmad Zaki Resources Bhd, and sits on the Board of Affin Hwang Investment Bank Bhd as well as Tomei Consolidated Bhd.
A graduate from Universiti Malaya, Aman is a Fellow of the Institute of Chartered Accountants in England and Wales, member of the Malaysian Institute of Certified Public Accountants and the Malaysian Institute of Accountants as well as a Fellow of the Institute of Bankers Malaysia.
KUALA LUMPUR: Corporate earnings delivery will not significantly influence the Malaysian capital market this year as catalysts are expected to come from the external front, according to Affin Hwang Asset Management Bhd (Affin Hwang AM).
Its managing director, Teng Chee Wai, said for 2019, the company expects a single-digit upside in the FBM KLCI at around 8% to 10%, partly buoyed by recovery in global growth as the economic cycle matures.
“2019 is a year that the markets are going to respond more towards macro policies rather than earnings. And I do not see price-earnings expansion to be one big factor this year for the market because there is a very little growth,” he told a press conference after presenting Affin Hwang AM market outlook and company briefing here today.
“With 5% in (consensus) earnings (estimates) growth, I don’t expect this year to be a double-digit year (for the FBM KLCI),” he said, noting downward revisions in earnings are likely if there is slowdown in global economic activities.
Asked whether 2019 is a good year to invest in stocks, Teng warned of risks and uncertainties in the market such as the ongoing trade dispute between the United States and China.
“There is no such thing as the best time to invest … you must be mindful of the risks, and asset allocation is the way forward,” he added.
Nevertheless, Teng said given the positive development in the US-China trade talks, coupled with changes in policy by the Federal Reserve, he is fairly confident that the market will improve at some point in the second half of the year.
On Affin Hwang AM’s outlook, Teng said the fund manager is confident that it will surpass the RM50 billion mark in assets under administration (AUA) this year and reach the RM52 billion level.
He said the firm’s AUA grew 0.84% or RM400 million to RM47.8 billion as at end of 2018 from RM47.4 billion in late 2017.
Earlier at the press conference, Affin Hwang AM’s Islamic entity, Aiiman Asset Management Sdn Bhd, launched its maiden fund called Aiiman Asia Pacific (ex-Japan) Dividend Fund, which marks its foray into the retail market.
Aiiman managing director Akmal Hassan said the fund is suitable for retail investors who want regular income distribution and capital gains, and have a medium- to long-term investment horizon and moderate risk tolerance.
The fund will invest a minimum of 70% of the fund’s net asset value (NAV) in syariah-compliant equities and a maximum of 30% of its NAV in sukuk, syariah-compliant money market instruments and/or deposits.
The base currency of the fund is in ringgit with a minimum investment amount of RM1,000.
KUCHING: Analysts across the board gave two thumbs up for Serba Dinamik Holdings Bhd (Serba Dinamik) catching its first batch of contract wins in 2019 totalling US$110 million (RM448 million). The announced values consist only of the international contracts – United Arab Emiraes, Uzbekistan and Qatar – as the Malaysian contracts are all call-out in […]
KUCHING: Malaysia’s banking sector ended 2018 with a slight uptick in its figures, recording 5.6 per cent year on year (y-o-y) growth while expanding by 0.6 per cent month on month (m-o-m). The annual growth was underpinned by sectors such as manufacturing, retail, business services, construction and households – specifically residential properties, personal use […]
KUALA LUMPUR: Trading on Bursa Malaysia is expected to be reinvigorated next week with the market moving in a tight range as most investors flock back from the Chinese New Year celebration, analysts said.
Bank Islam chief economist Dr Mohd Afzanizam Abdul Rashid said the benchmark FTSE Bursa Malaysia KLCI (FBM KLCI) had been struggling to pierce its immediate resistance of 1,700 points over the last few weeks.
“External developments continue to take centre stage. Issues surrounding the trade negotiations between the US and China has always been the source of market instability,“ he told Bernama.
If latest news are any indication, the resolution of trade negotiations will still be a long way to go before the US struck a trade deal with China, according to the National Economic Council Director Larry Kudlow.
Additionally, Mohd Afzanizam said the meeting between US President Donald Trump and Chinese President Xi Jinping might not happen before the March 1 trade deadline.
Despite this, Mohd Afzanizam said foreign investors turned net buyers on Feb 4 and 7 snapping up RM138.6 million worth of stocks while the ringgit appreciated to 4.067 against the US dollar at the time of writing.
“Against such backdrop, we could expect the FBM KLCI to continue remaining in a tight range next week,“ said Mohd Afzanizam.
Additionally, Malaysia’s 2018 fourth-quarter (Q4 2018) gross domestic product numbers would be announced on February 14.
“Perhaps, investors would also want to assess the resilience of the Malaysian economy.
“This is especially true in the context of weak business and consumer sentiment as indicated by the Malaysian Institute of Economic Research’s survey recently,“ the chief economist said.
The Business Condition Index and Consumer Sentiment Index fell to 95.3 points and 96.8 points in Q4 2018 from 108.8 points and 107.5 points in the previous quarter, respectively.
Affin Hwang Capital Asset Management managing director Teng Chee Wai remained optimistic on the US-China trade negotiations as the backdrop of the global economy was actually very strong, while the vision of a downtrend in local corporate earnings is still an ongoing process.
“Putting the two together, this year will probably be a better year than last year from the equity market standpoint,” said Teng.
On a Friday-to-Thursday basis, the benchmark FBM KLCI settled 2.99 points higher at 1,686.52.
The market was closed on Tuesday and Wednesday for the Chinese New Year.
The FBM Emas Index was 64.9 points higher at 11,725.52, the FBMT 100 Index increased 56.33 points to 11,601.54 and the FBM Emas Syariah Index improved 40.42 points to 11,593.03.
The FBM 70 gained 215.69 points to 14,032.9 and the FBM Ace Index added 153.12 points to 4,555.22.
Sector-wise, the Financial Services Index rose 127.14 points to 17,642.11, the Plantation Index increased 19.36 points to 7,299.6, and the Industrial Products and Services Index inched up 0.86 of-a-point to 161.97.
On a Friday-to-Thursday basis, weekly turnover dwindled to 4.94 billion units worth RM3.8 billion against 8.77 billion units worth RM8.13 billion.
Main Market volume shrank to 3.77 billion units valued at RM3.57 billion versus 6.32 billion units valued at RM7.66 billion.
Warrants turnover declined to 690.66 million units worth RM149.03 million from 1.38 billion units worth RM301.90 million.
The ACE Market volume decreased to 483.1 million shares valued at RM83.25 million against 1.05 billion shares valued at RM152.46 million. — Bernama
KUALA LUMPUR: International investors are confident in Malaysia’s economic potential as well as the government’s ability to drive the economy forward. Finance Minister Lim Guan Eng said Malaysia remained an attractive investment destination with investors, especially with the government’s commitment to the competency, accountability and transparency principles under Prime Minister Tun Dr Mahathir Mohamad’s leadership. […]
KUCHING: Westports Holdings Bhd’s (Westports) financial year 2018 (FY18) results were within expectations, leading analysts to raise their earnings forecast for the port operator. MIDF Amanah Investment Bank Bhd’s research team (MIDF Research) in a report, pointed out that Westports’ fourth quarter of FY18 (4QFY18) was the best performing quarter in FY18 with normalised earnings […]
After years of tepid development, Malaysia’s automotive industry has finally shifted into high gear with the launch of new vehicles under local brands and improved total industry volume, driven by heightened demand and a recovery in consumer sentiments. The automotive industry, while small, contributes about RM40 billion or four per cent to Malaysia’s gross domestic […]