PETALING JAYA: Ringgit bonds drew the largest monthly inflow in over a year following bank failures and aversion to credit risk in the United States and Europe, said Maybank Investment Bank Group Research (Maybank IB Research).
In a note today, the research firm said this was due to the fact that regional local currency debts offered both yield and relative safety.
“Inflows accelerated to RM6.6 billion in March compared with RM4.3 billion in February, broadly in line with the regional trend as ringgit bonds outperformed their Asean peers,” it said.
According to Maybank IB Research, the foreign shares of Malaysia Government Securities (MGS) rose to 36% in March from 34.5% in February.
Additionally, the MGS+GII (Government Investment Issue) also grew to 36% in March from 22.4% in February.