new ubs non-deal roadshows, singaporebursa.listedcompany.com/misc/presentation_slide_ubsndr... ·...
TRANSCRIPT
UBS Non-Deal Roadshows, Singapore
Nadzirah Abdul Rashid Director
Corporate Services
27 May 2013
33
28 29
1,285
1,466
1,612
2011 2012 22 May 2013
1,788
1,573
1,870
2011 2012 YTD 22 May 2013
14.95
31.73
4.62
2011 2012 YTD 30 April 2013
Average Daily Value (RM mil)
Velocity (%) FBMKLCI No. of New Listing
Market Capitalisation (RM bil) Fund Raised from New Listings & Secondary Market (RM bil)
1,530.73 1,688.95
1,783.88
Securities Market Overview Average Daily Value Lifted After GE
28
17
3
2
19% 10%
Crude Palm Oil Futures FMBKLCI Futures
Derivatives Market Overview Strong Growth in Trade Volume and Open Interest
Quarterly Average Daily Contracts (000’)
Others
Open Interest since Migration to Globex®
1/9/10 96,678
28/2/12 199,215
31/12/12 214,065
30/4/13 205,029
3
2011 2012 YTD 30 Apr 2013
34.47
39.39 14%
77% 68%
31% 22%
75%
25%
44.46 13%
89 88 88
2011 2012 YTD 30 Apr 2013
200 813
805
2011 2012 YTD 30 Apr 2013
18%
2011 2012 YTD 30 Apr 2013
55 69 71 19
20 19
Sukuk Listing (USD$ bil)
No. of Sukuk
Bursa Suq Al-Sila’ ADV Commodity Traded
(RM bil)
1.2
No. of Trading Participants
2.3
92%
28.5
33.7
3.6
33.8
Shari’ah Indices Performance
57%
Islamic Market Overview BSAS ADV Trending Up and Continue To Grow
0.3% -2.52%
-1.00%
% of Shari’ah Compliant Stocks
4
19.6 19.4
11.5 9.7
7.0 5.6
4.4 2.5 2.4 2.2
0.0
5.0
10.0
15.0
20.0
25.0
Fund Raised from IPOs in 2012 (USD billion)
We Made a Mark Internationally Ranked among top 5 World Listing Destination in 2012
Source: Renaissance Capital IPO Intelligence
5
We Made a Mark Internationally Our FCPO is Global Benchmark
3.00 4.01 4.06
5.87
7.46
0
1
2
3
4
5
6
7
8
2008 2009 2010 2011 2012
Total Contract Traded on FCPO (Million)
Our FCPO is the world’s most successful CPO futures contract and it continues to be the global benchmark as evidenced by the growth in total contract traded.
148%
6
We Made a Mark Internationally We are Forerunner in Islamic Capital Market
Our one of a kind Bursa Suq Al-Sila’ ADV commodity traded is gaining traction by growing rapidly over the years.
Note* - Bursa Suq Al-Sila’ was launched in August 2009. Therefore, there is no statistic for 2008. Note^ - Sukuk Listing was introduced in December 2008.
17.6
27.7 28.5
33.7
0
5
10
15
20
25
30
35
40
2008^ 2009 2010 2011 2012
Value of Sukuk Listings (USD)
91%
70
364
1,219
2,299
0
500
1000
1500
2000
2500
2008* 2009 2010 2011 2012
BSAS Average Daily Value Commodity Traded (RM million)
3,204%
7
1.21%
1.87%
1.91%
2.62%
2.72%
2.90%
3.14%
3.30%
3.37%
5.39%
Steady Return to Shareholders Offers Attractive Dividend Yields
Selected Regional Markets – Dividend Yield
Australia (AS30)
Bursa (FBM KLCI)
China (SHASHR)
Hong Kong (HSI)
Indonesia (JCI)
Philippines (PCOMP)
Singapore (FSSTI)
South Korea (KOSPI)
Taiwan (TWSE)
Thailand (SET)
Source: Bloomberg – Dividend yield for main regional indices as at 30 April 2013
8
We Remain Focused Our Trade Value Held Steadily Amidst Global Uncertainties
Source: World Federation of Exchanges
9
0.0
1.0
2.0
3.0
4.0
5.0
6.0
7.0
8.0
9.0
10.0
2008 2009 2010 2011 2012 YTD April 2013
Global Trade Value (USD Trillion)
22%
46%
Over last 5 years, the global trade value has gone down 46% while ours has grown by 42%.
During a year when exchanges are facing global financial turbulence, global trade value was down 22%; ours was down by only 7%.
0.0
2.0
4.0
6.0
8.0
10.0
12.0
14.0
16.0
2008 2009 2010 2011 2012 YTD April 2013
Bursa Trade Value (USD billion)
42% 7%
(RM bil)
(2.00)
(1.00)
-
1.00
2.00
3.00
4.00
5.00
6.00
Jan-
12
Feb-
12
Mar
-12
Apr-
12
May
-12
Jun-
12
Jul-
12
Aug-
12
Sep-
12
Oct
-12
Nov
-12
Dec
-12
Jan-
13
Feb-
13
Mar
-13
Apr-
13
Foreign Net Purchases/Sales
Positive Foreign Inflows Foreign Investors Were Net Buyers For Most Months
Net Purchases Net Sales
10
We Remain Focused Revenue Growing at Faster Rate than Expenses
Operating revenue has gone up by 28% over the last 5 years compared to increase in expenses of only 13%. The jump in Operating Revenue was significant in the last 2 years.
Currently, we have achieved cost optimisation. However, we foresee an increase in operating cost in the future due to our investment in human capital to build talents. This is to achieve our goal as a high performance organisation.
Operating Expenses
Operating Revenue
186.0 183.2 197.3 214.0 211.1
302.5 297.8 331.3 381.5 388.5
2008 2009 2010 2011 2012
(RM million)
Operating Expenses 13% Operating Revenue 28%
11
104.4 101.6
113.0
146.0 151.5
-
20.0
40.0
60.0
80.0
100.0
120.0
140.0
160.0
2008 2009* 2010 2011 2012
PATAMI (RM million)
We Remain Focused Recorded Strong Performance Especially in the Recent 2 Years
Note* - The results and ratio for 2009 exclude the extraordinary gain on disposal of a subsidiary.
13.8 13.6 13.4
17.1 17.4
0
2
4
6
8
10
12
14
16
18
20
2008 2009* 2010 2011 2012
ROE (%)
26% 45%
12
12.2 8.8 9.5
13.0 13.5
5.9 9.0
10.5
13.0 13.5
2008 2009 2010 2011 2012
Payout 95%
Growing Dividends Consistent Payout of > 90%
Payout 93%
Payout 94%
Final Dividend (sen)
Interim Dividend (sen)
Payout 95%
Payout 91%
13
3.8
0.0
1.0
2.0
3.0
4.0
5.0
6.0
7.0
8.0
9.0
10.0
Dividend yield - Bursa vs. FBMKLCI Constituents @ 30 April 2013
High Yielding Stock One of the Highest Dividend Yield PLCs among FBM KLCI Constituents
Source: Bloomberg 14
42
19
11
8
6 7
7
1Q 2013
Operating Revenue Mix (%)
50.5 43.2
12.9 18.5
12.3 11.3
7.5 7.8
5.0 6.5 6.1 7.4 6.2 7.0
1Q 2012 1Q 2013
Operating Revenue Sustained Despite Lower Activity On Securities Market
Total RM100.5 mil
Total RM101.7 mil
Securities Trading Revenue
Derivatives Trading Revenue
Listing & Issuer Services
Depository Services
1%
Market Data
Membership Services & Connectivity
Other Operating Revenue
Note : Please refer to the appendix for further details of the reclassification of revenue
100.5
93.2 93.2
97.8 97.8 98.2 99.6 100.9 101.7
-7.3 +5.6 -1.0
+0.3 +1.5
+1.3 +0.8
1Q 2012 1Q 2013
Growth contribution by revenue streams:
(RM mil)
14%
13%
29% 21%
4%
43%
8%
Securities Trading Revenue
Derivatives Trading Revenue
Listing & Issuer Services
Depository Services
Market Data
Other Operating Revenue
Membership Services & Connectivity
15
(%)
50
16
7
8
6
13
1Q 2013
Operating Expenses Mix
Staff costs
IT maintenance
Service fees
Other operating expenses
Depreciation & amortisation
Marketing and development
Operating Expenses Higher Staff Development Cost To Attract And Retain Talent
24.2 27.2
8.0 8.8
4.2 3.7 4.0 4.5 2.5
3.8 9.3
6.9
1Q 2012 1Q 2013
Total RM52.2 mil
Total RM54.9 mil
5%
Staff costs
Depreciation & amortisation
Marketing & development
IT maintenance
Service fees
Other operating expenses
52.2
54.9
+3.0 +0.8 - 0.5 +0.5
+1.3 -2.4
1Q 2012 1Q 2013
Movement of expenses:
12%
12%
9% 14% 52%
25%
(RM mil)
16
Focus Area in 2013 and Beyond To Establish Strong Regional Presence
LEVERAGE ON ASEAN
GROWTH
LEVERAGE ON DOMESTIC LIQUIDITY
IMPROVING MICROSTRUCTURE
Focus 1: Value Extraction Focus 2: Build for the Future
REVIEW MACRO-
STRUCTURE
REVIEW MARKET
FRAMEWORK
DEVELOP REGIONAL PRESENCE &
NEW BUSINESS
17
Create a More Facilitative TRADING ENVIRONMENT
Facilitate More TRADABLE ALTERNATIVES
Reshape MARKET STRUCTURE & FRAMEWORK
REGIONAL MARKETPLACE with Global Access (Centre of ASEAN)
2013 Business Plans Major Initiatives to Build a Competitive Marketplace
E-Rights Retail Strategy BTS Replacement
ETBS ETFs and Business
Trusts New Derivatives
Products
Revamped of Business Rules for Securities Brokers Liberalisation of
Derivatives market membership structure CMTF
ASEAN Exchanges & ASEAN Link
SI 1 SI 2 SI 3 SI 4
Projects implemented in 2013
18
Expanding Capital Market Global Partnerships & Recognition
Migration of Malaysian derivatives products to CME Globex®
QDII – Malaysia Investment destination for China investors
FTSE Upgrade
CFTC Approval
U.S. SEC Approval
“Designated Offshore Securities Market” recognition to ease trading in Malaysian listed securities & shelf listed bonds by U.S. investors
CME Partnership
Malaysia promoted to Advanced Emerging Market status in FTSE Global Equity Index Series
We have built successful global partnerships and will continue our efforts for more business collaborations.
Approval from US Commodity Futures Trading Commission (CFTC) to enable Malaysian Futures brokers to deal with US customers
ASEAN Trading Link connecting Bursa Malaysia, Singapore Exchange and Thailand
CBRC Recognition
ASEAN Link
19
Internationally Benchmarked Building Market Quality and Ensure Sustainability
• 4th among 11 countries in Asia (6th in 2010)
• Bursa Malaysia as a listed company is included in the “Top 50 Corporate Governance ranking of mid/small caps in Asia Pacific”
• 4th among 142 countries for Strength of Investor Protection and 9th for Efficacy of Corporate Boards
• 4th among 183 countries for Investor Protection
ASIA CORPORATE
GOVERNANCE ASSOCIATION
WORLD BANK
WORLD ECONOMIC
FORUM
FUTURES & OPTIONS WORLD AWARD
• Winner of Best Technology Innovation by an Asian Exchange Award and Runner-up for the Asian Derivatives Exchange of the Year Award
20
www.bursamalaysia.com
APPENDICES : Reclassification Of Quarterly Operating Revenue – 1Q12 to 1Q13 22
Integrated Exchange With Diverse Asset Classes 23
Our Strategic Intents 24 – 25
Bursa’s Potential To Grow Its Velocity 26
Securities Market 27 – 29
Derivatives Market 30 – 31
Reclassification Of Quarterly Operating Revenue – 1Q12 to 1Q13
(RM'000) Q1 2012 Q2 2012 Q3 2012 Q4 2012 Q1 2013 Securities clearing fees 41,549 34,408 35,893 32,788 34,340 Securities trade fees 5,431 4,534 4,866 4,434 4,760
Institutional Settlement Service (ISS) fees 3,428 3,270 3,371 3,624 3,986
Other securities revenue 108 250 315 228 144 Securities trading revenue 50,516 42,462 44,445 41,074 43,230
Derivatives clearing fees 2,490 3,299 3,333 3,478 3,516 Derivatives trade fees 7,472 9,855 9,461 9,950 9,927 Collateral management services 1,598 1,781 1,755 2,093 2,692 Other derivatives revenue 1,318 1,808 1,645 1,995 2,314 Derivatives trading revenue 12,878 16,743 16,194 17,516 18,449
Listing and issuer services * 12,307 14,120 12,595 12,411 11,348 Depository services 7,476 9,858 9,584 9,498 7,812 Market data 5,028 6,262 6,620 6,212 6,471 Member services and connectivity 6,145 6,477 6,323 6,711 7,440 Other operating revenue ** 6,152 819 909 1,125 6,948
Total operating revenue 100,502 96,741 96,670 94,547 101,698
* Listing & issuer services revenue consists of listing fees and perusal & processing fees
** Other operating revenue consists of BSAS trade fees and conference income
22
10 Derivatives Products:
Commodity options
Commodity futures
Equity futures
Equity options
Financial futures
Islamic Offerings :
Sukuk
Shari’ah-compliant
equities
i-REITS
i-ETFs
Bursa Suq Al-Sila’
ETBS
TRADING CLEARING SETTLEMENT DEPOSITORY
SECURITIES DERIVATIVES ISLAMIC OTHERS
Electronic trading platform for bonds
Labuan International Financial Exchange :
Non-ringgit securities
Bond /Sukuk Listing
LISTING
Integrated Exchange With Diverse Asset Classes Bursa Malaysia at a Glance
2 Markets:
Main Market : 804 cos ACE Market : 110 cos
Market Cap as at 30 Apr 2013 :RM1,499 billion (USD456 billion) Products :Shares, REITs, Warrants, ETFs, ETBS, CBBCs, Loan stocks & Bonds
23
B U I L D I N G A C O M P E T I T I V E M A R K E T P L A C E
F O U R S T R AT E G I C I N T E N T S
SI 1
SI 2
New Derivatives Clearing System
New Bursa Malaysia Website
Central Matching System Enhancement for Straight Through Processing
BTS New Trading Features
eCash payment framework FTSE and Bursa Malaysia introduce Shari’ah Compliant Small Cap Index Implementation of CDS Straight Through Processing
Bursa Suq Al-Sila’ expanded Commodity Offering with RBD Palm Olein
Revamped Options on Index Futures (OKLI)
Options on CPO Futures (OCPO)
Create a More Facilitative TRADING ENVIRONMENT
Facilitate More TRADABLE ALTERNATIVES
Our Strategic Intents We made progress and we delivered in 2012(i)
24
B U I L D I N G A C O M P E T I T I V E M A R K E T P L A C E
F O U R S T R AT E G I C I N T E N T S
SI 3
SI 4 ASEAN Exchanges
ASEAN Trading Link connecting Bursa Malaysia, Singapore Exchange and Thailand
Introduce Referral Agent Activities
Ease of Local Participants entry requirements for Derivatives trading
Ease restrictions for establishment branches/kiosks for Futures Brokers
Dual Licensing Fast Track Programme - Eligibility requirement further ease with minimum years experience
reduced from 10 to 5 years Establishment of new Shari’ah Committee - To enhance and strengthen business governance for Islamic Offerings Amendment of listing requirements* - To strengthen board quality and enhance transparency of listed
issuers’ corporate governance practices New Surveillance System
Reshape MARKET STRUCTURE & FRAMEWORK
REGIONAL MARKETPLACE with Global Access (Centre of ASEAN)
Note* - in line with the recommendations made under the Corporate Governance Blueprint 2011 (CG Blueprint), as well as the Malaysian Code on Corporate Governance 2012 (MCCG 2012) issued by the Securities Commission (SC).
Our Strategic Intents We made progress and we delivered in 2012 (ii)
25
20 29 32 38 39
50 52 60 60
71 84
101
141
197 204
Bursa’s Potential To Grow Its Velocity YTD April 2013
Source: World Federation Exchanges (WFE)
(%)
26
1,924
497 805 911
350 472 748
874 718
1,019
2,179
1,181 1,129
1,454
1,699 1,573 1,679
-
400
800
1,200
1,600
2,000
2,400
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 YTD Apr 2013
RM mil
2,610 2,303
2,069 1,751 1,907
1,187 823 854
615
1,490 1,266
1,099 1,435 1,209
1,387
1,793 2,161
1,579 1,732 1,341
1,841
1,439 1,595 1,430
1,643
-
400
800
1,200
1,600
2,000
2,400
2,800
1Q 07 2Q 07 3Q 07 4Q 07 1Q 08 2Q 08 3Q 08 4Q 08 1Q 09 2Q 09 3Q 09 4Q 09 1Q 10 2Q 10 3Q 10 4Q 10 1Q 11 2Q 11 3Q 11 4Q 11 1Q 12 2Q 12 3Q 12 4Q 12 1Q 13
RM mil
57
31
40 39
20 23
34 32 25
32
53
34 34 33 33 28 29
68
54 50 41 46
31 25
32 23
48 36
28 35
28 31 37 42
30 34 27
34 27 28 25 28
Securities Market Trading Activity
Quarterly ADV Traded & Velocity
Average Daily Value Traded (OMT, RM mil) Turnover Velocity (%)
Average Daily Value Traded (OMT, RM mil) Turnover Velocity (%)
Annual ADV Traded & Velocity
27
65 63 58
73 73 74 74 70
35 37 42 27 27 26 26 30
2006 2007 2008 2009 2010 2011 2012 YTD Apr 2013
66 63 76
67 73 74 77
84
34 37 24 33 27 26 23 16
2006 2007 2008 2009 2010 2011 2012 YTD Apr 2013
357
806
496 323
392 437 404 503
346
806
283 369 392 442 354
268
From 2006 to 2009, the statistics were based on Brokers’ submission. From 2010 onwards statistics were based on Bursa’s internal system.
Retail (%)
Institutions (%)
Local (%)
Foreign (%) Retail ADV Traded (RM mil)
Foreign ADV Traded (RM mil)
Retail vs Institutions Foreign vs Local
Securities Market Trading Participation
28
Securities Market Foreign Ownership
Singapore
Hong Kong
UK 23.1
76.9
Foreign Ownership by Nationality (%)
Foreign Nominees
Based on Market Capitalisation (as at month end)
20.4
20.6
20.8
21.8
21.9
22.0
21.7
22.
1
22.2
22.7
22.4
23.
0
23.3
23.7
23.9
24.
0
24.1
24.3
24.8
(%)
China/Taiwan
USA
Mid-East
Others
5.7
1.7
2.2
1.2
0.2
0.2
11.90
29
117
142
123 129 115 114
132 136
162 171
152
174
146
172
214
196
66
85
159
125
156
123 132 152
214 205
2004
2005
2006
2007
2008
2009
2010
2011
2012
YTD
Apr
il 20
13
2Q09
3Q09
4Q09
1Q10
2Q10
3Q10
4Q10
1Q11
2Q11
3Q11
4Q11
1Q12
2Q12
3Q12
4Q12
1Q13
30
Total Annual Contract (Million)
FBMKLCI Futures
Crude Palm Oil Futures
Others
Open Interest (000’)
Quarterly (Average Daily Contracts 000’)
FMBKLCI Futures
Crude Palm Oil Futures
Others
Open Interest (000’)
25%
75
% 2.6 2.5
4.2
6.2 6.1 6.1 6.2
8.4
3.6
23%
29
``
77%
24 22
24 23 25
28
37
32 34 35
31
40 42 44
Derivatives Market Activity
9.6
45
30
Derivatives Market Demography
* Local - A local participant is an individual who has been admitted as a participant in accordance with The Rules, registered with SC and has the right to trade for himself - all futures contracts listed on the Derivatives Exchange.
31 19 14 16 16 13 15 15 20 21 19 17 20
45
48 45 43 40
40 41 46 52 44 42 25
33
3
6 5
3 3 2 2
2
3 2
2
2
1
14
23
31 37
40 45
42 37
26
33 37
56
46
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 YTD 30 Apr 2013
(%) FKLI
40 38 35 33 35 31 25 27 36 34 34 36 33
15 21 26 24 23
27 34 38
27 26 24 19 17
4 6 4
3 2 1 1 1
1 1
1
27 21 18
20 22 25 22 15 17
15 13 12 10
14 14 17 20 18 16 18 20 19 25 28 32
39
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 YTD 30 Apr 2013
(%) FCPO
Local
Domestic Retail
Domestic Institutions
Foreign Institutions Local
Domestic Retail Domestic Institutions
Foreign Institutions Foreign Retail
June – Dec
2012
June - Dec
2012
31
www.bursamalaysia.com
KOAY LEAN LEE [email protected]
603-2034 7306
Disclaimer :
Bursa Malaysia and its Group of Companies (the Company) reserve all proprietary rights to the contents of this Presentation.
Whilst the Company endeavours to ensure that the contents in the presentation booklet are accurate, complete or have been obtained from sources believed by the Company to be accurate and reliable, neither the Company nor the Presenter make any warranty, express or implied, nor assume any legal liability or responsibility for the accuracy, completeness or currency of the contents of this Presentation.
In no event shall the Company be liable for any claim, howsoever arising, out of or in relation to this presentation booklet to the recipient of this presentation booklet and/or to any other third party.
© Bursa Malaysia 2013
INVESTOR RELATIONS CONTACT INFORMATION
E-mail : [email protected] Fax : 603-2732 6160
MUHAMMAD ALI [email protected]
603-2034 7673
LIM SIEW CHING [email protected]
603-2034 7277
NURHAFIZAWATI HANAFFI [email protected]
603-2034 7484