Thailand, Philippines top ASEAN bourses

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Stock Exchange of Thailand

Thailand’s SET index and the Philippines’ PSE Composite were among the top 10 best-performing stock markets globally in 2012 based on year-to-date performance.

The SET ranks 5th on the list with gains of 35 per cent, and the PSE 9th with a year-to-date movement of plus 33 per cent.

Other ASEAN bourses did not reach a comparable performance. The stock indices of Malaysia and Singapore each gained 13 per cent, Vietnam’s 11 per cent, and Indonesia’s 7 per cent.

The Stock Exchange of Thailand index broke through the 1,400-point barrier on the last trading day of the year on December 28, 2012, reaching 1,402.86 points, a record high for the past 16 years.

SET president Charamporn Jotikasthira said the Thai stock market rose sharply in the fourth quarter of 2012 as a result of huge foreign capital inflows to Asian markets including Thailand, with high potential for continued strong returns throughout 2013. In 2012, foreign investors fled developed markets in the US and Europe as those regions struggled to find solutions to financial problems.

Foreign investors were net buyers of 76.4 billion baht ($2.55 billion), while retail investors were net sellers of 59.3 billion baht ($1.98 billion), according to SET data.

However, the inflow has pushed several stocks’ price-to-equity (P/E) ratios up drastically, in some cases to more than 40 which shows overvaluation of these stocks.

“It is time for investors to evaluate cautiously the real value of stocks and their ability to grow,” Jotikasthira said.

Philippines

Philippine stocks soared to greater heights for the fourth straight year in 2012, rising by about 33 per cent on favourable local macroeconomic and corporate performance and ahead of the government’s attainment of a much-coveted investment grade rating.

For the whole year 2012, the bourse in Manila remained one of the best performing in the region as it gained 1,440.77 points from the end-2011 closing of 4,371.96.  It closed at new record highs 38 times during the year and ended on the last trading day at 5,812.23

But the Philippine bourse is now also Asia’s priciest, trading at 17 times projected earnings, nearly double the Asia-Pacific average, according to Thomson Reuters data. Brokers doubt the torrid pace will continue but expect modest advances in line with the country’s strong economy, and eye the 6,500 mark in the benchmark index for 2013.

 

 

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Reading Time: 2 minutes

Stock Exchange of Thailand

Thailand’s SET index and the Philippines’ PSE Composite were among the top 10 best-performing stock markets globally in 2012 based on year-to-date performance.

Reading Time: 2 minutes

Stock Exchange of Thailand

Thailand’s SET index and the Philippines’ PSE Composite were among the top 10 best-performing stock markets globally in 2012 based on year-to-date performance.

The SET ranks 5th on the list with gains of 35 per cent, and the PSE 9th with a year-to-date movement of plus 33 per cent.

Other ASEAN bourses did not reach a comparable performance. The stock indices of Malaysia and Singapore each gained 13 per cent, Vietnam’s 11 per cent, and Indonesia’s 7 per cent.

The Stock Exchange of Thailand index broke through the 1,400-point barrier on the last trading day of the year on December 28, 2012, reaching 1,402.86 points, a record high for the past 16 years.

SET president Charamporn Jotikasthira said the Thai stock market rose sharply in the fourth quarter of 2012 as a result of huge foreign capital inflows to Asian markets including Thailand, with high potential for continued strong returns throughout 2013. In 2012, foreign investors fled developed markets in the US and Europe as those regions struggled to find solutions to financial problems.

Foreign investors were net buyers of 76.4 billion baht ($2.55 billion), while retail investors were net sellers of 59.3 billion baht ($1.98 billion), according to SET data.

However, the inflow has pushed several stocks’ price-to-equity (P/E) ratios up drastically, in some cases to more than 40 which shows overvaluation of these stocks.

“It is time for investors to evaluate cautiously the real value of stocks and their ability to grow,” Jotikasthira said.

Philippines

Philippine stocks soared to greater heights for the fourth straight year in 2012, rising by about 33 per cent on favourable local macroeconomic and corporate performance and ahead of the government’s attainment of a much-coveted investment grade rating.

For the whole year 2012, the bourse in Manila remained one of the best performing in the region as it gained 1,440.77 points from the end-2011 closing of 4,371.96.  It closed at new record highs 38 times during the year and ended on the last trading day at 5,812.23

But the Philippine bourse is now also Asia’s priciest, trading at 17 times projected earnings, nearly double the Asia-Pacific average, according to Thomson Reuters data. Brokers doubt the torrid pace will continue but expect modest advances in line with the country’s strong economy, and eye the 6,500 mark in the benchmark index for 2013.

 

 

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