This article first appeared in The Edge Financial Daily on April 17, 2020

KUALA LUMPUR: Foreign shareholdings in the Malaysian equity market stood at 22.46% as at end-March this year, which is consistent with the yearly average of 22.3% since 1998, said the Securities Commission (SC).

Its chairman Datuk Syed Zaid Albar said this is despite foreign outflow hitting RM17.8 billion in March, its highest level in nearly two years since May 2018.

“Foreign selling in Malaysian equities hit the highest in March this year, volatility is seen across global market, and it’s not specific to Malaysia,” he said in a virtual media briefing on the SC’s annual report 2019 yesterday.

“Foreign investors especially strategic holding remains consistent over the years, as at the end of March 2020, foreign shareholdings in the equity market stood at around 22.46%. The average foreign shareholdings between 1998 and 2019 [was] about 22.3%,” he added.

According to Syed Zaid, the current level of foreign shareholdings in the Malaysian equity market is higher than the 18% recorded in 2002 — its lowest level in the 20-year period.