Latest news with #F4GBM
BusinessToday
9 hours ago
- Business
- BusinessToday
KLCI Gains As PM Slashes RON95 Price
The FBM KLCI edged higher by midday, rising 4.89 points or 0.32 % to reach 1,524.29, with broader indices FBM70, FBMEMAS, FBMSHA, and F4GBM also posting mild gains. Market participants appear to be responding positively following Prime Minister Anwar Ibrahim's announcement of a RM100 cash handout for all adults and a reduction in RON95 fuel prices to RM1.99 per litre, expected to ease public cost-of-living burdens. Advantageous moves in global markets are also supporting sentiment. The US dollar weakened amid renewed scrutiny over the Federal Reserve's independence, while US Treasury yields softened after last night's rally. Concurrently, ASEAN stock markets have steadied on hopes that next week's US tariff deadline could be postponed. Crude oil and gold rebounded, further improving risk appetite. Locally, comfort in daily necessities has buoyed consumer-facing counters. Notably, NEXG led midday volumes, trading at RM0.515 with a 1.97 % gain, as the easing in fuel costs is expected to benefit the household and retail sectors. Residential sentiment also improved after the PM reaffirmed structural reforms to support affordable housing targets, reinforcing confidence in both macroeconomic and social policy continuity. Despite the cautious global environment, reflected in a muted recovery in European markets, Malaysian equities reflect growing optimism. Bullish investor tone was also supported by recent government assistance announcements, which may help shore up domestic consumption if implemented effectively. The energy space has responded to the reduced fuel price guidance, while the broader market registers mild gains as liquidity conditions stabilise and short-term political concerns dissipate. The central bank's continued accommodative stance, alongside fiscal measures, is expected to reinforce the positive trajectory into the afternoon session. Looking ahead, attention will shift to how the PM's targeted subsidies interact with inflation data and whether US trade decisions near August 1 continue to influence sentiment. For now, Bursa remains calm yet positive as midday marks a tentative recovery from recent volatility. Related
The Star
6 days ago
- Business
- The Star
REITs draw positive attention with ESG efforts
CIMB Research highlighted that Sunway Real Estate Investment Trust (Sunway-REIT) is a strong contender for F4GBM Index inclusion by year-end. PETALING JAYA: Malaysian real estate investment trusts (REITs) are expected to gain further traction in the sustainability space, with increasing potential for enhanced representation in the FTSE4Good Bursa Malaysia (F4GBM) Index in the coming review cycle this December. This momentum reflects the sector's growing alignment with environmental, social and governance (ESG) standards. CIMB Research highlighted that Sunway Real Estate Investment Trust (Sunway-REIT) is a strong contender for F4GBM Index inclusion by year-end. 'Our assessment indicates that Sunway-REIT is on track for potential inclusion in the F4GBM Index in December,' the research house said in a recent note. In the June review, Sunway-REIT joined Axis-REIT and Capitaland Malaysia Trust (CLMT) in attaining ESG Grading Band 4 – the second-highest tier – marking the highest number of REITs achieving this level in the last six cycles. Despite this, Sunway-REIT was not added to the index at that point as it was not a constituent of the FTSE Bursa Malaysia Emas Index as of end-May due to previously low liquidity. However, a turnaround in liquidity saw Sunway-REIT re-enter the FBM Emas Index following the June semi-annual review, paving the way for potential inclusion in the December F4GBM Index review. CIMB Research recommended 'hold' on Sunway-REIT with a target price of RM2.11. According to the research house, 'Only companies that are constituents of the FBM Emas Index as of the end of May are eligible for consideration in the June F4GBM Index review, while companies added thereafter are only eligible in the December review.' The REIT sector's weightage in the F4GBM Index has risen to 1.7% from 1.1% last December, following the inclusion of 19 new companies in the update last month. Among these were CLMT, KIP-REIT and YTL Hospitality-REIT, bringing the total number of REIT constituents to seven out of 160. 'To qualify for inclusion in the F4GBM Index, companies must achieve a minimum ESG score of 2.9 out of five,' CIMB Research noted. Based on its analysis, CLMT likely qualified due to liquidity, while YTL-REIT and KIP-REIT earned their spots through improved ESG performance. Still, five of the 10 largest REITs by market capitalisation – which represent 93% of the sector's total market capitalisation – remain absent from the index, including KLCC-REIT and IGB Commercial-REIT, mainly due to liquidity issues. Al-Aqar Healthcare-REIT was excluded for failing to meet the minimum ESG score. 'Overall, we are positive on the gradual progress made by REIT players in enhancing their ESG practices, as reflected by the increasing number of constituents in the F4GBM Index,' CIMB Research stated. The research house emphasised that further ESG gains lie within the environmental pillar, particularly in reducing carbon emissions and boosting energy efficiency. 'A key area for improvement is the reduction of carbon emissions through greater adoption of renewable energy or improving energy efficiency,' it said. REITs were encouraged to consider subscribing to Tenaga Nasional Bhd 's Green Electricity Tariff programme, which was revised this month to offer a more accessible flat rate of five sen per kilowatt-hour. KIP-REIT was singled out for retrofitting efforts across seven malls through a performance-based partnership that is expected to deliver energy savings of 15%. 'Sustainability-linked financing embeds pre-agreed sustainability performance targets into financing terms, directly linking borrowing costs to the achievement of ESG outcomes,' CIMB Research added, citing Sunway-REIT's RM3.4mil in savings from 2021 to 2023 as an example. With tenants increasingly favouring green-certified spaces and cost-effective financing tied to sustainability metrics, Malaysian REITs are positioned to benefit from continued ESG integration in the long term.
The Star
6 days ago
- Business
- The Star
REITs in good stead for F4GBM Index inclusion
PETALING JAYA: Malaysian real estate investment trusts (REITs) are expected to gain further traction in the sustainability space, with increasing potential for enhanced representation in the FTSE4Good Bursa Malaysia (F4GBM) Index in the coming review cycle this December. This momentum reflects the sector's growing alignment with environmental, social, and governance (ESG) standards. CIMB Research highlighted that Sunway Real Estate Investment Trust (Sunway REIT) is a strong contender for F4GBM Index inclusion by year-end. 'Our assessment indicates that Sunway REIT is on track for potential inclusion in the F4GBM Index in Dec 2025,' the brokerage said in a recent note. In the June 2025 review, Sunway REIT joined Axis REIT and Capitaland Malaysia Trust (CLMT) in attaining ESG Grading Band 4 — the second-highest tier — marking the highest number of REITs achieving this level in the last six cycles. Despite this, Sunway REIT was not added to the index at that point as it was not a constituent of the FTSE Bursa Malaysia EMAS Index as at end-May 2025 due to previously low liquidity. However, a turnaround in liquidity saw Sunway REIT re-enter the FBM EMAS Index following the June 2025 semi-annual review, paving the way for potential inclusion in the December 2025 F4GBM Index review. CIMB Research recommended 'hold' on Sunway REIT, with a target price of RM2.11. According to CIMB Research, 'Only companies that are constituents of the FBM EMAS Index as at end-May are eligible for consideration in the June F4GBM Index review, while companies added thereafter are only eligible in the December review.' The REIT sector's weightage in the F4GBM Index has risen to 1.7% from 1.1% in December 2024, following the inclusion of 19 new companies in the June 2025 update. Among these were CLMT, KIP REIT, and YTL Hospitality REIT , bringing the total number of REIT constituents to seven out of 160. 'To qualify for inclusion in the F4GBM Index, companies must achieve a minimum ESG score of 2.9 out of 5,' CIMB Research noted. Based on its analysis, CLMT likely qualified due to liquidity, while YTL REIT and KIP REIT earned their spots through improved ESG performance. Still, five of the 10 largest REITs by market capitalisation — which represent 93% of the sector's total market cap — remain absent from the index, including KLCC REIT and IGB Commercial REIT, mainly due to liquidity issues. Al-Aqar Healthcare REIT was excluded for failing to meet the minimum ESG score. 'Overall, we are positive on the gradual progress made by REIT players in enhancing their ESG practices, as reflected by the increasing number of constituents in the F4GBM Index,' CIMB Research stated. The brokerage emphasised that further ESG gains lie within the environmental pillar, particularly in reducing carbon emissions and boosting energy efficiency. 'A key area for improvement is the reduction of carbon emissions through greater adoption of renewable energy or improving energy efficiency,' it said. REITs were encouraged to consider subscribing to Tenaga Nasional Bhd 's Green Electricity Tariff programme, which was revised in July 2025 to offer a more accessible flat rate of five sen per kilowatt-hour. KIP REIT was singled out for retrofitting efforts across seven malls through a performance-based partnership that is expected to deliver energy savings of 15% post-capex recovery. 'Sustainability-linked financing embeds pre-agreed sustainability performance targets into financing terms, directly linking borrowing costs to the achievement of ESG outcomes,' CIMB Research added, citing Sunway REIT's RM3.4mil in savings from 2021 to 2023 as an example. With tenants increasingly favouring green-certified spaces and cost-effective financing tied to sustainability metrics, Malaysian REITs are positioned to benefit from continued ESG integration in the long term.
BusinessToday
14-07-2025
- Business
- BusinessToday
Bursa Stalls At Midday As China Jitters Cloud Sentiment
Bursa remained broadly flat at midday on Monday, with the FBM KLCI inching down 0.44 points to 1,535.63 amid cautious sentiment as investors digested weaker-than-expected economic data out of China and awaited further corporate earnings guidance this week. The benchmark index moved within a narrow range of 1,534.40 to 1,538.08 in the morning session, reflecting muted market participation and mild profit-taking pressure. Broader market indices also showed little movement, with the FBM70 slipping 13.33 points to 16,748.02, while the FBMEMAS and F4GBM eased slightly by 1.94 and 0.26 points respectively. Investor sentiment remained cautious after China's GDP figures released earlier in the day revealed slower-than-expected growth in Q2 2025, raising fresh concerns over regional demand and trade momentum. Market watchers also remained alert to global interest rate trends and potential ripple effects from prolonged monetary tightening in the US. Among actives, NexG led with a gain of 1.5 sen to 46.5 sen on strong volume of over 613 million shares, while Tanco and Wentel each added 0.5 sen and 1.5 sen respectively. ZETRIX, however, slipped 1 sen to 99 sen despite a high trading volume of over 322 million shares. Investors are likely to remain on the sidelines in the second half of the session, with attention turning to local corporate earnings and economic releases later this week, as well as regional developments surrounding China's stimulus outlook and its effect on trade-linked sectors. Trading resumed at 2.30pm. Related
BusinessToday
14-07-2025
- Business
- BusinessToday
Bursa Opens Cautiously Amid Global Trade Jitters, Tariff Tensions Weigh on Sentiment
Bursa Malaysia opened the week on a subdued note as persistent concerns over rising global trade tensions continued to weigh on investor confidence, with the benchmark FBM KLCI easing 0.78 points to 1,535.29 at 9.03am. The broader market was mixed, with the FBM 70 inching up 6.14 points to 16,767.49, while indices such as the F4GBM, FBMEMAS and FBMSHA all dipped slightly by 0.03%. Declines across the board reflected caution among investors bracing for the impact of the latest round of US tariff threats and inflation concerns. US President Donald Trump's recent announcement of 30% tariffs on imports from the European Union and Mexico, set to take effect 1 August, has injected fresh volatility into global markets. Investors are now closely watching for any retaliatory measures and the potential fallout on supply chains, especially for trade-reliant economies like Malaysia. Locally, trading was led by high-volume counters such as Zetrix, which slipped 0.005 sen to RM0.995 on 19.9 million shares traded. Meanwhile, A1AKK added 0.005 sen to RM0.250, Ecoshop gained 0.010 sen to RM1.280, and Jiankun rose 0.005 sen to RM0.030. With uncertainties surrounding global tariffs, investors are expected to tread cautiously, especially ahead of key economic data from China and US inflation prints due this week. Analysts warn that continued trade disruptions could weigh on Malaysia's export outlook and dampen risk appetite in the short term. Related
