Bursa Malaysia • Annual Report 2013
28
THE BEST IS YET TO COME
Several exciting developments are already
happening in our favour to ensure we make the
most of our potential as an exchange.
ASEAN Rising
The dynamic growth of ASEAN for one augurs well
for Bursa Malaysia. Today, all 10 of ASEAN’s high-
growth and resilient economies are in the midst
of a golden period. Together, these nations boast
a combined population of more than 600 million
people - larger than the population of the US and
Japan put together.
prime marketplace for the international investing
community buying into the growth opportunities
offered by ASEAN.
Investors who buy into Bursa Malaysia today are
really investing in the future growth of ASEAN.
Given investor interest thus far we are confident of
making further inroads here.
Another phenomenon in our favour is the rising
number of Malaysian public listed companies
(PLCs) who are transforming into multinationals
with a strong presence across ASEAN. For some
time now, these listed companies have been
harnessing the abundant opportunities and
efficiencies of our marketplace to expand their
reach to the regional investors.
Today, Malaysia’s listed companies account for
24% of the FTSE ASEAN 40 market cap while our
FBM KLCI companies now generate 45% of their
revenue from overseas and provide one of the
highest dividend yield in ASEAN at 3.3%.
A Diverse Marketplace
The diversity of our marketplace too continues
to attract investors. Bursa Malaysia today
encompasses a broad base of listed companies and
products that offer investors balanced exposure
to the global economy. Many of our largest
multinational companies whom are ASEAN market
leaders and top performers are spread out across
60 key economic sectors such as Plantation,
Finance, Oil & Gas and Construction. The diversity
of this offering provides global investors looking
to take advantage of ASEAN’s growth a spread of
unique investment options.
With a market capitalisation to gross domestic
product ratio of 154%, Malaysia has the second-
highest such ratio among its ASEAN peers
reflecting the breadth, depth and quality of our
listed companies. With approximately 218 or
23% of the total number of our PLCs having a
market capitalisation greater than RM500 million,
the investable universe for international fund
managers too is growing.
As we sought to redefine
ourselves and STRENGTHEN
our capabilities,
we experienced
a marked shift
in growth
trajectory:
• Average three-year
PATami
improved 48%
from RM105.0 million
(2008-2010)
to RM155.6 million
(2011-2013)
• Average three-year
COST TO INCOME
RATIO improved
by 6 percentage
points
from 56% (2008-2010)
to 50%
(2011-2013)
Chief Executive Officer’s Message and Management Discussion and Analysis
2010
2012
POPULATION OF ASEAN (million)
0
600
200
800
400
1,000
600
617
In 2012, the ASEAN nations registered a combined
GDP of more than US$2.3 trillion and the region’s
economic performance continues to outpace the
rest of the world. The Asian Development Bank
predicts that GDP in ASEAN countries will grow
5.3% in 2013 and 5.6% in 2014.
Come 31 December 2015, things are really set
to take off when ASEAN’s disparate economies
integrate into a singular market with a common
trade, investment and production base under the
ASEAN Economic Community (AEC) concept. Given
the region’s impressive 5.5% annual average
growth rate over the last 13 years, the AEC is
shaping up as a key investment opportunity.
Our Position as ASEAN’s
Multinational Marketplace
We have spent the last few years establishing
ourselves as a relevant, innovative and attractive
investment proposition. As “ASEAN’s Multinational
Marketplace”, Bursa Malaysia is essentially
positioned as the preferred entry point and
Source: ASEANstats
From the Board of Directors and Senior Management
