Five corporate-bond listed financial institutions posted very positive growth in the first quarter of the year despite Cambodia’s ongoing battle against the spread of Covid-19 following the February 20 community outbreak.
Share
Traffic moves in front of the ACLEDA Bank Plc headquarters on Phnom Penh’s Monivong Boulevard. Hong Menea
Acleda records 28.5% gain in Q1 profit
Tue, 11 May 2021
Stock-listed Acleda Bank Plc posted more than $44 million in net profit from its business operations for the first quarter of this year, an increase of 28.53 per cent over the $34 million logged in the same quarter of 2020.
In a financial statement filed to the Cambodia Securities Exchange (CSX) on May 10, Acleda – majority-owned by local investors – said the profit growth was “mainly due to an increase in net interest income of 12.47 per cent, equivalent to 45.62 billion riel [$11.4 million], compared to” the first quarter of 2020.
The Cambodia Securities Exchange (CSX) Index maintained a bullish trend and reached peak at 648.33 points mid-lockdown before cooling back down, despite remaining flat in the days prior to the restrictive measure.
The government first placed Phnom Penh and adjacent Takmao town in Kandal province under lockdown on April 15, in a move to break the chain of Covid-19 transmission from the February 20 community outbreak. It extended it for another seven days until May 5.
Trading activity spiked across the board during the lockdown, with daily average trading values and volumes increasing by approximately 13 and 19 per cent respectively, CSX said in a press release late last week, citing data compiled from April 1 to May 5.
| Publication date 04 May 2021 | 10:33 ICT
Share
Manage risks in stock investment: Read the market before investing
Tue, 4 May 2021
Risk is an unavoidable element in any investment, but the magnitude of the risk, whether large or small, depends on the type of product.
Investing in stocks entails a certain level of risk, which can be linked to the prevailing economic conditions, a company’s performance and stability, or market price factors.
By having a better understanding of the nature of the market, investors can mitigate risks if investments are done prudently.
Economic crises
The performance and financial health of companies can be interrupted by economic downturns – whether the 2007-9 global financial crisis, the 2009-19 Greek debt debacle or the current Covid-induced economic woes.
The local bourse has logged a sharp increase in trading even as the lockdown enters a third week, according to a senior official at the Cambodia Securities Exchange (CSX).
With a dramatic upsurge in number of new Covid-19 cases reported in connection to the February 20 community transmission, the government on April 14 announced a full lockdown in the capital and neighbouring Takmao town in Kandal province from April 15 to May 5 to control the risk of spreading the novel coronavirus.
CSX Market Operations Department director Kim Sophanita told The Post that the stock market has been operating smoothly since the lockdown began, adding that some 99 per cent of orders are received via Mobile Trading System (MTS).