Foreigners back in local stock mart

By Doris Dumlao
Philippine Daily Inquirer

THE PHILIPPINE stock market, one of the best performing in the region, is starting to attract a bigger share of foreign portfolio inflows to Asian emerging markets.

Net foreign buying in the Philippine Stock Exchange doubled to P15.8 billion in the first semester from P8.3 billion in the same period last year, PSE president and chief executive officer Val Antonio Suarez said Friday.

The volume of trades in the market also jumped 32.5 percent as the daily turnover for the first half of the year stood at P4.2 billion from P3.2 billion in the same period last year, Suarez said.

He said the favorable economic backdrop and the positive outlook of investors on emerging economies such as the Philippines presented bright prospects for the stock market.

The PSE chief noted that as the US-led crisis bottomed out, the stock market has rebounded strongly. The main-share PSE index has surged 14.7 percent as of Aug. 17 and recorded its highest level in more than two years since the crisis when it closed at 3,525.81 points on Aug 10.

In 2009, the PSEi likewise gained 63 percent, a turnaround from the 48.3 percent decline in 2008.
The shares of the PSE has also benefitted from the trading rebound, gaining P15 or 5.58 percent to end at P284 each last Thursday, buoyed by its recent positive earnings announcement.

Based on its financial statement submitted to the Securities and Exchange Commission on Monday, the PSE’s net income soared 91 percent in the first six months due to higher listing and trading-related revenues and lower operating expenses. Net income grew to P148.3 million in the period from January to June, from P77.6 million in the same period last year. In the April to June quarter, net income also rose 33 percent to P65.79 million from 49.36 million in the same period last year.

“The share performance reflects investor optimism on our growth story and is a vote of confidence on the initiatives we have taken to improve the operations of the exchange,” Suarez said.

Published in Philippine Daily Inquirer August 20, 2010.

Stocks extend gains

Doris C. Dumlao

Philippine Daily Inquirer

BUOYANT INVESTOR sentiment allowed local stocks to extend their winning streak for the fifth straight day and hit a 31-month high Friday despite an overnight bloodbath in Wall Street.

The main-share Philippine Stock Exchange index gained another 33.11 points or 0.93 percent to close at 3,593.60. This was the highest since the 3,617.29 recorded on Jan. 2, 2008.

For the whole upbeat week, the index added 124.08 points or 3.6 percent. The PSEi has climbed 17.7 percent so far this year.

Dealers said investors ignored the weak data abroad that caused Wall Street to decline overnight. Instead, the local market focused on the rosy domestic economic fundamentals and corporate earnings. Any market dip was seen as an opportunity to load up stocks.

The market is likewise still benefiting from a post-election euphoria and the ample liquidity seeking better returns amid an environment of record-low interest rates.

“It’s really hard to stop a train full of money. We were expecting a correction for the week but given the corporate results, which showed most corporations performing better than expected, investors were inspired by such good numbers,” said Astro Del Castillo, managing director at local fund management firm First Grade Holdings Inc.

Published in Philippine Daily Inquirer August 21. 

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WELCOME We are Philam Asset Management, Inc. (PAMI), an asset management company that manages, distributes and provides investment advisory to seven mutual funds. We help you achieve your financial goals through sound advice and wise investing. Our wide range of mutual fund products provide you with high potential returns at well-managed risks. FUND NAME Net Asset Value Per Share- Aug 20, 2010 Year-to-Date Return     Philam Bond Fund Php 3.049 4.47%     Philam Dollar Bond Fund USD$ 1.8512 11.26%     Philam Managed Income Fund Php 1.0974 1.37%     Philam Fund Php 10.7359 26.08%     GSIS Mutual Fund Php 2.4664 24.27%     Philam Strategic Growth Fund Php 410.84 30.17%     AIG Global Bond Fund Phil USD$ 1.1836 2.16%     NCM Mutual Fund of the Phils., Inc. Php 1.2586 17.63% Philippine Stock Exchange Index - PSEi (Aug 20, 2010) USD$ = Php Exchange Rate (Aug 20, 2010) 3593.6 USD $1 = Php 44.971

Contact us: Tel Nos.: (63) (2) 867-3912 to 18 | Fax No.: (63) (2) 813-6813 or 18

Above is a mugshot of the Daily Report of Philam Asset Management, Inc. published in their website to help investors monitor their investments in the different mutual funds being mange by the said company.

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Philippine mutual funds money and security: Alejandro A. Esteban, editorial consultant