ETF Performance Report - January 2024
TRADING HIGHLIGHT
- Overall global equities ended marginally higher, with MSCI World Index gained 1.1% month-on-month (MoM) despite recorded the highest day-on-day (DoD) decline on 31 January subsequent to the FOMC’s decision to maintain federal funds rate target of between 5.25% to 5.50%. ABFMY1’s total volume / value traded narrowed for the third consecutive month to 87.8K units / RM107.5K.
- In response to FOMC’s decision that the federal funds rates is unlikely to pivot, LBMA Gold Price AM Index rose daily for the last three days of January and reached two-week high of USD2,037.90 per troy ounce on the last market day. Nevertheless, MoM comparison shows the commodity index softened by -1.2%. GOLDETF’s total volume / value traded reached 7-month high in January after recording a 158.6% and 160.7% MoM expansion to 1.3 mil units / RM4.0 mil.
- In China, Shanghai Composite Index and Shenzhen Composite index significantly declined (-6.3% and -15.9% respectively, MoM) after Evergrande was ordered to liquidate by a Hong Kong court. Cumulative volume / value traded of the four China-themed ETFs significantly jumped by 1,134.5% / 580.9% to 4.2 mil units / RM5.9 mil, with CHINA100-MYR led in trading growth.
- Back in Malaysia, FBMKLCI climbed 4.0% MoM subsequent to the inclusion of YTL and YTLPWR to the benchmark index. The Malaysian benchmark index was further lifted by the announcement on the establishment of data centre by the utility counter. FBMKLCI-EA’s total volume / value traded reached 3-month high of 588.5K units / RM916.9K.
- With that, Malaysian ETFs total volume / value traded rose to 6.6 mil units / RM11.5 mil in January, bolstered by substantial direct business transaction (DBT) of CHINA100-MYR amounting to 3.0 mil units / RM3.5 mil. Excluding DBT, market transacted volume / value traded rose 106.4% and 125.2% MoM to 3.6 mil / RM8.5 mil.
