THE YEAR IN BRIEF
SHAREHOLDER VALUE CREATION
SHAREHOLDER RETURN
Bursa Malaysia has a proven track record of delivering annual dividend payout of more than 90% over the years. We had also declared special dividends consecutively in 2013 and 2014.
SHARE PRICE PERFORMANCE
Bursa Malaysia recorded a strong financial performance in 2014, with key metrics such as PATAMI increasing by 15% year-on-year and ROE rising to reach 25%. Meanwhile, the share price of the Exchange recorded a marginal decline of 2%, a reflection of weaker sentiment across the broader market.
Starting the year strong at RM8.23 after a 32% gain made in 2013, Bursa Malaysia’s share price began shedding value in the 1st half of 2014, reaching a low of RM7.40 on 1 April before recovering. In the wider market, the FBM KLCI proved more resilient in the face of adverse news flows which included concerns over economic slowdowns in China and the Eurozone and rising geo-political tensions over the Ukraine.
Moving into the 2nd half of 2014, the announcement of a special dividend of 20 sen for Bursa Malaysia’s shareholders and strong market trading values in the 3rd quarter managed to sustain the Exchange’s share price over the remainder of the year, while the FBM KLCI eventually succumbed to pressure over the sharp fall in global oil prices and the weakening Ringgit Malaysia over the final months of the year. This resulted in Bursa Malaysia outperforming the benchmark index over the year.
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