katsul51, Bizfuneng, signn, thank you for your comments.
Bizfuneng, foreign institutional investors buying certain shares doesn't affect (for the most part) the business of the companies they are buying shares of, so from purely investment point of view it makes no major difference. However, in general higher institutional investor shareholding base means less volatility in the stock price, as compared to higher retail investor shareholding base, so this might be one positive.
Hi , am newbie in stock investing . Could anyone explain what ‘net buy’ means ? Isn’t the short selling of glove stock been participated by foreign investor too ? Does this indicate that they value that they bought more than they sell ? Then why is the net short position of TG still stand at 3 % ? Thank you.
yong99, thank you for your comment. My best advice would be to stay away from the stock market if you are unprepared. Otherwise the chance of disappointment is much higher than the opposite.
One, some of them do not stay long term (>5years), when exit due to their large size, will be a drag on share price. a)Exit due to forex not favorable to their home country. b)Exit due to financial crisis and needing to unwind their position to support their local portfolio.
Two, their influence as majority shareholding such as Carl Icahn and Nelson Peltz are normally act as activist to unravel scandals or CBT issues within the company. In this case, may further hurt on ESG issues in Msia.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
katsul51
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Posted by katsul51 > 2021-04-07 13:42 | Report Abuse
Thanks for the article Ben. Appreciate your constant and valuable update.