Last week, a total of RM388.2 million of offshore funds found the way to Bursa Malaysia, the third week in a row of net buying by foreign investors.
In its weekly fund flow report today, MIDF Research said the only day this month that foreign investors were net sellers was last Tuesday, but this was more than offset by the net inflows during the rest of the trading week.
It said international investors started the week with the purchase of RM49.7 million worth of equities before disposing of RM40 million of their purchases to turn net sellers on Tuesday.
The buying spree resumed on Wednesday with foreign funds picking up RM75 million of equities. Thursday saw the strongest net foreign inflow of RM284.2 million – an amount last seen at the end of May 2022, before the week ended with net foreign inflow of RM19.3 million on Friday.
“Local institutions remained as net sellers for the fourth consecutive week, disposing of RM266.9 million of equities — almost four times the net amount that they have sold in the previous week,” MIDF Research said.
“They were net buyers only on Tuesday at RM68.3 million, but this was insufficient to cushion the selling activities that took place during the rest of the week,” it added.
It said Thursday saw the largest net selling at RM205.5 million, while net selling stood at RM21.7 million on Monday, RM80.2 million on Wednesday and RM27.7 million on Friday.
Local retailers also remained as net sellers for the third consecutive week, disposing of RM121.4 million worth of local equities, with the heaviest outflow seen on Thursday at RM78.7 million.
“Monday and Tuesday recorded softer net outflows of RM28 million and RM28.3 million, respectively.
“However, local retailers had turned into net buyers on Wednesday at a rate of RM5.2 million and RM8.5 million at the end of the week,” it said.
MIDF Research said to date, international funds have been net buyers for 20 out of 31 weeks of 2022, with a total net inflow of RM6.65 billion, while local retailers have been net buyers for 19 out of 31 weeks, snapping up RM1.57 billion worth of local equities.
Conversely, local institutions were net sellers for 24 out of 31 weeks, with a total net outflow of RM8.23 billion.
“In terms of participation, all investor classes recorded an increase in average daily trade volume, with retail investors at 11.4%, institutional investors at 3.7% and foreign investors at 5.7%,” it added.