Local equities firm IH Securities said despite the lack of data on new portfolio inflows in 2012, it was encouraging to note that the contribution of foreign turnover against total turnover continued to move upwards.
“We retain our position that these figures continue to be severely understated and believe that the contribution of foreign turnover is significantly higher given the clear dearth in local liquidity,” said the firm.
Local institutions and individual investors are hindered by the lack of liquidity whilst the trend for the majority of institutional investors has shifted to holding on to equity investments for the long-term.
Total turnover during the period was 6% year down from $478 million in 2011 to $448 million in 2012, but the company is optimistic that 2013 will be better.
Post published in: Business