EWM: Malaysian Equities May Be Close To A Bottom

JP Research
5.35K Followers

Summary

  • The iShares MSCI Malaysia ETF’s poor performance in recent years has extended into 2023.
  • But with earnings growth intact and the rate hike cycle likely at an end, there is light at the end of the tunnel.
  • The multi-year low earnings valuation leaves ample room for the ETF to re-rate higher.

Aerial View of Kuala Lumpur Skyline

Yongyuan Dai/E+ via Getty Images

The new Malaysian government's inaugural budget announcement marked another year of expansionary policies, as subsidies and social assistance took precedence over fiscal consolidation for yet another year. While positive for the consumer, elevated deficit levels will need to

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