Maybank Investment Bank Shares Strategies on Manoeuvring Market Headwinds in 2H2015
Opportunities abound despite market volatility
Kuala Lumpur, 10 August 2015 - Maybank Investment Bank (Maybank IB) shared its strategies on how to capitalise on the current stock market at its second half 2015 Market Outlook session held on Saturday. Themed “Manoeuvring Headwinds”, this round of the Market Outlook roadshow saw Maybank IB’s research team presenting its investment themes for 2H2015 as well as local and regional investment opportunities to clients.
With external headwinds including the crisis in Greece, growth risk in China and US rate hike as well as domestic factors continuing to dominate the domestic investment scene, Maybank IB opines that the capital market will remain volatile.
Despite the uncertainties, there are still trading windows, and investors who adopt the right investment strategies may still profit from the current market. In light of the current market condition, investors were advised to remain defensive in the near term and invest based on selected themes.
Maybank IB has overweight calls on construction stocks which are expected to benefit from the continued investment in infrastructure projects, as well as glove producers and technology stocks which will benefit from the strengthening of the US dollar. Plantation stocks, which are currently rated neutral, may be rerated if a strong El Nino pans out. Maybank IB’s top 10 stock picks are Axiata, Gamuda, NCB, CMS, Harbour Link and Top Glove for Growth play, Malakoff for Yield play and HSL, Hong Leong Financial Group and Tenaga for Value play.
Maybank IB’s yearend target for FBMKLCI is 1830 and forecast for the 2015 full year GDP growth is 4.9% as compared to 6.0% in 2014. Overall, Maybank IB expects the market to slowly improve in the mid and longer term as fund outflows should stabilise by year end and corporate earnings are also expected to recover.
The Market Outlook session was held at Wisma Bentley in Mutiara Damansara and in line with Maybank IB’s focus on embracing technology, for the very first time the session was broadcasted live simultaneously to various other locations namely Johor, Penang and Ipoh. There will also be sessions for clients in Sibu, Kuching, Kota Kinabalu, Kuantan, and Kota Bharu. Maybank IB holds the Market Outlook sessions twice a year across the country, to share their research ideas and investment strategies with their valued clients. This year, Feng Shui master Dato’ Joey Yap was also invited to hold a special talk on Feng Shui.