Analysts believe local institutional investors can absorb the net selling by foreign portfolio funds on Bursa Malaysia and support the local market to hold on to the 7.4% gains made year-to-date (y-t-d).
Fund managers believe that the local equity market is set for some tightening over the coming months, despite the indirect good news that Malaysia had posted a 15.3% year-on-year growth in foreign investments last year.
The Employees Provident Fund (EPF) is positioned for favourable returns this year as improving global market sentiment gains momentum and with the resolution of political uncertainties locally.