ETF Performance Report - January 2023
- Trading activities in the ETF space spiked to the highest level since August 2021 with total volume/value traded jumped over tenfold and fivefold MoM respectively to 47.27 mil units/RM 57.63 mil in January 2023. The MoM improvement was mainly led by ABF Msia Bond Index Fund (ABFMY1) where 45.00 mil units worth RM52.43 mil were traded via direct business transaction on 16 January, making it the most traded ETF by volume and value for the month. Total market volume/value traded (excluding direct business transaction), however moderated by 40.2%/39.0% MoM to 2.27mil units/RM5.21 mil after 3 consecutive months of growth.
- Trading interest in China-themed ETFs remained subdued despite a rally in China equities on hopes of economic recovery as the country eased COVID-19 restrictions and reopened borders. The 6 China-centric ETFs saw their combined value traded moderated by 24.0% MoM to RM2.32 mil in January (December: RM3.05 mil). Within this theme, the Tradeplus S&P New China Tracker-MYR (CHINAETF-MYR) and VP-DJ Shariah China A-Shares 100 ETF – MYR (CHINA100-MYR) were among the most traded by value and volume in January, which also contributed to 90.5% of the China-focused ETFs’ total value traded.
- Trading activities in the Tradeplus Shariah Gold Tracker (GOLDETF) - one of the top traded ETFs cooled down in January despite the rebound in gold prices since late November/early December 2022 amid lower US Treasury yield and weakening USD. Total volume and value traded for GOLDETF shrink 37.0% and 34.9% MoM respectively to 444K units and RM1.15 mil in January as investors turned cautious ahead of the next Fed meeting on possible rate hikes.
