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Bursa Malaysia: Hong Kong Fund Managers Seek Opportunities In Malaysia’s Diversified Marketplace

Date 27/10/2015

Bursa Malaysia Berhad (“Bursa Malaysia” or “the Exchange") in partnership with RHB Investment Bank, today held its Invest Malaysia Hong Kong 2015. Invest Malaysia Hong Kong 2015 follows from Invest Malaysia Tokyo in June and last month’s roadshow to New York for global fund managers. Invest Malaysia, this year themed Malaysia: Sustainable at the Core, is an institutional investors conference held to engage and showcase Malaysia’s value propositions and the opportunities in the Malaysian capital market.

Today’s conference successfully showcased to fund managers and investors in Hong Kong the mid-cap opportunities in Malaysia’s diverse and resilient emerging marketplace. The team, together with the CEOs and senior management executives of eight (8) public listed companies (“PLCs"), met with some 50 Hong Kong-based institutional investors representing 32 fund houses with assets under management (AUM) totaling USD528 billion. The session facilitated the firsthand-sharing and conversations on the investment and growth opportunities of these companies which showcased a range of sectors including oil & gas services, financial services, construction and healthcare and are as follows: Cahya Mata Sarawak, Gamuda, Inari Amertron, KPJ Healthcare, Malakoff Corporation, QL Resources, RHB Capital and Yinson Holdings.

Dato’ Tajuddin Atan, Chief Executive Officer, Bursa Malaysia, said, “Malaysia’s value proposition as a diverse and resilient marketplace offers investment opportunities in its well-diversified capital market featuring more than 50 economic activities. Despite market volatility and currency fluctuations, Malaysia’s investment opportunities are sustained in well-placed companies operating in a marketplace supported with strong economic fundamentals, and capital market and financial infrastructure in place that drive resilience. Today, Malaysia is home to 27% of the ASEAN Top 100 companies, making Bursa Malaysia a sustainable marketplace of choice for buying into the growth opportunities offered by ASEAN. The selection of mid-cap companies showcased in Hong Kong today demonstrate the depth of our capital market and those leveraging the ASEAN growth.”

Mike Chan, Managing Director or RHB Investment Bank, said, “This roadshow allows us to introduce Malaysia to local funds based in Hong Kong that are smaller in size and notably influential. Malaysia’s economic resilience, capital market diversity, and prevailing higher valuations are yielding exciting opportunities on Bursa Malaysia. We advocate a bottom-up approach in stock picking for investors in identifying companies with resilient growth characteristics, strong governance, steady cash flows and strong balance sheets. Our sectorial recommendations include technology, construction and healthcare.”

“This year’s session is more focused with 8 PLCs with a 40% increase in the number of meetings between fund managers and the PLCs as compared to last year’s dialogue. A market-driven approach ensures that Invest Malaysia continues to bring Malaysia’s sustainable investment opportunities to key markets and buyers. I believe that the combination of a diverse and resilient marketplace is a compelling one, and this is even more so when embedded with a sustainable business mindset, which is an increasingly important criterion for investors. In fact, Bloomberg has ranked Malaysia as the only ASEAN market amongst the Top 10 Most Promising Emerging Markets in the world through 2016. Today’s interests support our fundamentals where despite current volatilities, attractive valuations have emerged for institutional investors looking to tap the ASEAN growth opportunity and through Invest Malaysia.” added Dato’ Tajuddin.

Over the last 10 years Bursa Malaysia has put in place the building blocks to create a sustainable marketplace and improve marketplace access to capital. In 2006 Malaysia had implemented CSR Framework and Governance requirements and in December 2014, became the first emerging market to implement an exchange driven, globally benchmarked FTSE4Good ESG index. Bursa Malaysia is also a Partner Exchange Signatory to the Sustainable Stock Exchange Initiative.