Tag Archives: Asset Management in Sri Lanka

Hiruni Perera, Senior Research Analyst at First Capital Holdings, with the Market Review on Ada Derana – 25.09.2018

Share Market Investment in Sri Lanka

First Capital’s Hiruni Perera with the Market Review on Ada Derana

The comments on this report are provided by the Capital Markets Research Unit of First Capital Holdings PLC an investment bank in Sri Lanka.

The company operates in the capital markets of Sri Lanka in government securities – treasury bills and bonds, stock brokering and share market investments, asset management, private wealth management, retirement planning, personal financial planning, unit trust, margin trading, capital market research, trustee services, corporate finance advisory services including corporate debt structuring (debentures, trust certificates, commercial papers), valuations, restructuring, mergers and acquisitions, initial public offerings (IPOs) and project advisory.

The First Capital Group consists of First Capital Treasuries PLC, First Capital Limited, First Capital Markets Limited, First Capital Asset Management Limited and First Capital Equities (Private) Limited covering Colombo, Negombo, Matara, Kandy and Kurunegala.

Sri Lanka shares fall to near 5-year closing low on foreign selling

DIMANTHA MATHEW, HEAD OF RESEARCH AT FIRST CAPITAL HOLDINGS PLC, SPEAKS TO REUTERS

SEPTEMBER 26, 2018

COLOMBO, Sept 25 (Reuters) – Sri Lankan shares fell over 1 percent on Tuesday to their lowest close in nearly five years, as foreign investor selling, a weaker rupee and government plans to curb imports hurt investor sentiment.

Prime Minister Ranil Wickramasinghe said on Monday the government would take measures to impose taxes to curb imports by $500 million to $1 billion to face the currency crisis.

The rupee hit a record low for an eighth straight session on Friday despite the central bank’s intervention. It fell to an all-time low of 169.00 per dollar on Friday, weighed down by importer demand for the scarce U.S. currency.

The rupee has weakened 4.5 percent so far this month after a 1.2 percent drop last month, and has declined 9.97 percent so far this year.

Analysts said the acceleration in the rupee’s depreciation was creating panic among investors.

The Colombo stock index declined 1.21 percent to 5,833.58 on Tuesday, its lowest close since Dec. 18, 2013. This was also the sharpest single-day drop since late November 2017.

“It’s another disastrous day, lots of exits happened. It’s mainly because of panic selling, that’s why the market came down sharply in lower turnover,” said Dimantha Mathew, head of research at broker First Capital Holdings.

Turnover was 297.6 million rupees ($1.77 million), the lowest since Sept. 6, and less than half of this year’s daily average of 793.5 million rupees.

Foreign investors sold a net 60.9 million rupees worth of shares on Tuesday, extending the year-to-date net foreign outflow to 5.6 billion rupees worth of equities.

Analysts said the recent fuel price hike also hurt investor confidence as it could hit corporate earnings. Fuel retailers raised gasoline and diesel prices earlier this month for a third time in four months due to higher global oil prices and a weaker rupee.

Investors are awaiting cues from the national budget in November.

Shares of Ceylon Tobacco Company Plc fell 1.5 percent, Hemas Holdings Plc lost 4.3 percent, Sri Lanka Telecom Plc ended 5.7 percent down and conglomerate John Keells Holdings Plc closed 1.1 percent lower. ($1 = 168.5500 Sri Lankan rupees) (Reporting by Ranga Sirilal and Shihar Aneez; Editing by Subhranshu Sahu)

Sri Lanka shares hit over 30-month closing low on rupee woes

DIMANTHA MATHEW, HEAD OF RESEARCH AT FIRST CAPITAL HOLDINGS PLC, SPEAKS TO REUTERS

SEPTEMBER 25, 2018

COLOMBO, Sept 21 (Reuters) – Sri Lankan shares dropped to their lowest close in more than 30 months on Friday as foreign investors sold banking stocks, while a weaker rupee dented investor sentiment as well.

The Colombo stock index ended 0.29 percent weaker at 5,904.90, its lowest close since March 9, 2016. It lost 2.1 percent this week, its second straight weekly drop.

“Today, the market came down on foreign selling in banking shares,” said Dimantha Mathew, head of research at broker First Capital Holdings, adding that the acceleration in the rupee’s depreciation was creating panic among investors.

The rupee hit a record low for an eighth straight session despite the central bank’s intervention. It fell to an all-time low of 169.00 per dollar, weighed down by importer demand for the scarce U.S. currency.

The rupee has weakened 4.5 percent so far this month after a 1.2 percent drop last month, and has declined 9.9 percent so far this year.

Analysts said they expected a minor support for the stock market at 5,900 levels and a stronger support at 5,800 levels.

Turnover was 977.7 million rupees ($5.80 million) on Friday, more than this year’s daily average of 796.3 million rupees.

Foreign investors sold a net 359.9 million rupees worth of shares, extending the year-to-date net foreign outflow to 5.6 billion rupees worth of equities.

Analysts said the fuel price hike also hurt investor confidence as it could hit corporate earnings. Fuel retailers raised gasoline and diesel prices in September for a third time in four months due to higher global oil prices and a weaker rupee.

Investors are awaiting cues from the national budget in November.

Shares of Sampath Bank Plc ended 2.5 percent weaker, Good Hope Plc fell 23 percent, Ceylon Tea Services Plc closed down 8 percent, and Commercial Bank of Ceylon Plc declined 1 percent. ($1 = 168.6000 Sri Lankan rupees) (Reporting by Ranga Sirilal and Shihar Aneez; Editing by Subhranshu Sahu)

Dimantha Mathew, Head of Research at First Capital Holdings, with the Market Review on Ada Derana – 17.09.2018

First Capital’s Dimantha Mathew with the Market Review on Ada Derana

The comments on this report are provided by the Capital Markets Research Unit of First Capital Holdings PLC an investment bank in Sri Lanka.

The company operates in the capital markets of Sri Lanka in government securities – treasury bills and bonds, stock brokering and share market investments, asset management, private wealth management, retirement planning, personal financial planning, unit trust, margin trading, capital market research, trustee services, corporate finance advisory services including corporate debt structuring (debentures, trust certificates, commercial papers), valuations, restructuring, mergers and acquisitions, initial public offerings (IPOs) and project advisory.

The First Capital Group consists of First Capital Treasuries PLC, First Capital Limited, First Capital Markets Limited, First Capital Asset Management Limited and First Capital Equities (Private) Limited covering Colombo, Negombo, Matara, Kandy and Kurunegala.

First Capital’s Dimantha Mathew with the Market Review on Ada Derana

Hiruni Perera, Senior Research Analyst at First Capital Holdings, with the Market Review on Ada Derana – 13.09.2018

Stock Brokers in Sri Lanka

First Capital’s Hiruni Perera with the Market Review on Ada Derana

The comments on this report are provided by the Capital Markets Research Unit of First Capital Holdings PLC an investment bank in Sri Lanka.

The company operates in the capital markets of Sri Lanka in government securities – treasury bills and bonds, stock brokering and share market investments, asset management, private wealth management, retirement planning, personal financial planning, unit trust, margin trading, capital market research, trustee services, corporate finance advisory services including corporate debt structuring (debentures, trust certificates, commercial papers), valuations, restructuring, mergers and acquisitions, initial public offerings (IPOs) and project advisory.

The First Capital Group consists of First Capital Treasuries PLC, First Capital Limited, First Capital Markets Limited, First Capital Asset Management Limited and First Capital Equities (Private) Limited covering Colombo, Negombo, Matara, Kandy and Kurunegala.

Hiruni Perera, Senior Research Analyst at First Capital Holdings, with the Market Review on Ada Derana – 06.09.2018

Stock Brokers in Sri Lanka

First Capital’s Hiruni Perera with the Market Review on Ada Derana

The comments on this report are provided by the Capital Markets Research Unit of First Capital Holdings PLC an investment bank in Sri Lanka.

The company operates in the capital markets of Sri Lanka in government securities – treasury bills and bonds, stock brokering and share market investments, asset management, private wealth management, retirement planning, personal financial planning, unit trust, margin trading, capital market research, trustee services, corporate finance advisory services including corporate debt structuring (debentures, trust certificates, commercial papers), valuations, restructuring, mergers and acquisitions, initial public offerings (IPOs) and project advisory.

The First Capital Group consists of First Capital Treasuries PLC, First Capital Limited, First Capital Markets Limited, First Capital Asset Management Limited and First Capital Equities (Private) Limited covering Colombo, Negombo, Matara, Kandy and Kurunegala.

Atchuthan Srirangan, Assistant Manager – Research at First Capital Holdings, with the Market Review on Ada Derana – 02.08.2018

Stock Market Sri Lanka

First Capital’s Atchuthan Srirangan with the Market Review on Ada Derana

The comments on this report are provided by the Capital Markets Research Unit of First Capital Holdings PLC an investment bank in Sri Lanka.

The company operates in the capital markets of Sri Lanka in government securities – treasury bills and bonds, stock brokering and share market investments, asset management, private wealth management, retirement planning, personal financial planning, unit trust, margin trading, capital market research, trustee services, corporate finance advisory services including corporate debt structuring (debentures, trust certificates, commercial papers), valuations, restructuring, mergers and acquisitions, initial public offerings (IPOs) and project advisory.

The First Capital Group consists of First Capital Treasuries PLC, First Capital Limited, First Capital Markets Limited, First Capital Asset Management Limited and First Capital Equities (Private) Limited covering Colombo, Negombo, Matara, Kandy and Kurunegala.

First Capital is an investment bank offering services as Stock Brokers in Sri Lanka. The Company acts as a conduit between retail and institutional clients and the secondary market of the Colombo Stock Exchange. First Capital’s best-in-class research team provide a series of actionable trade recommendations, daily and periodic market commentaries and publications for Stock Brokers in Sri Lanka.

 

Amanda Lokugamage, Senior Research Analyst at First Capital Holdings, with the Market Review on Ada Derana – 29.07.2018

Stock Market Sri Lanka

First Capital’s Amanda Lokugamage with the Market Review on Ada Derana

The comments on this report are provided by the Capital Markets Research Unit of First Capital Holdings PLC an investment bank in Sri Lanka.

The company operates in the capital markets of Sri Lanka in government securities – treasury bills and bonds, stock brokering and share market investments, asset management, private wealth management, retirement planning, personal financial planning, unit trust, margin trading, capital market research, trustee services, corporate finance advisory services including corporate debt structuring (debentures, trust certificates, commercial papers), valuations, restructuring, mergers and acquisitions, initial public offerings (IPOs) and project advisory.

The First Capital Group consists of First Capital Treasuries PLC, First Capital Limited, First Capital Markets Limited, First Capital Asset Management Limited and First Capital Equities (Private) Limited covering Colombo, Negombo, Matara, Kandy and Kurunegala.

Sri Lankan shares fall; foreign selling continues

DIMANTHA MATHEW, HEAD OF RESEARCH AT FIRST CAPITAL HOLDINGS PLC, SPEAKS TO REUTERS

JULY 19, 2018

COLOMBO, July 18 (Reuters) – Sri Lankan shares slipped on Wednesday from their highest close in nearly three weeks recorded in the previous session, as investors sold diversified and telecommunication shares.

Foreign investors sold net equities worth 34.1 million rupees on Wednesday, extending the year-to-date net foreign outflow to 2.7 billion rupees.

The Colombo stock index ended 0.31 percent weaker at 6,160.69.

“There is some profit-taking while foreign selling is still continuing,” said Dimantha Mathew, head of research, First Capital Holdings.

“We see some local buying slowly coming in to the market which is a good sign.”

Turnover stood at 543.8 million rupees ($3.40 million), less than this year’s daily average of 892.3 million rupees.

A downward revision in economic growth estimate by the central bank has also hurt sentiment, analysts said.

Economic growth in 2018 is likely to be between 4 percent and 4.5 percent, falling short of an earlier estimate of 5 percent, Central Bank Governor Indrajit Coomaraswamy said early this month.

Shares in Dialog Axiata Plc fell 1.4 percent, while conglomerate John Keells Holdings Plc ended 1.1 percent weaker and Melstacrop Ltd lost 2.2 percent. ($1 = 159.8000 Sri Lankan rupees) (Reporting by Ranga Sirilal and Shihar Aneez; Editing by Vyas Mohan)

Sri Lankan shares slip from 2-week high

DIMANTHA MATHEW, HEAD OF RESEARCH AT FIRST CAPITAL HOLDINGS PLC, SPEAKS TO REUTERS

JULY 17, 2018

COLOMBO, July 16 (Reuters) – Sri Lankan shares edged lower on Monday from their highest close in two weeks in lighter-than-usual trading as foreign investors sold stocks.

The Colombo stock index ended 0.12 percent weaker at 6,130.62, slipping from its highest close since June 29 hit on Friday. It rose 0.5 percent last week, its first weekly gain in eight weeks.

“Today we saw some profit taking. There was some selling by those who managed to buy at the bottom,” said Dimantha Mathew, head of research, First Capital Holdings.

“There is not much of selling pressure. So we don’t think this selling will continue for long time.”

Turnover stood at 304.1 million rupees ($1.9 million), around a third of this year’s daily average of 895.8 million rupees.

The benchmark stock index hit its lowest close since March 30, 2017 on July 4, and has declined for 20 sessions in 27 through Monday.

A downward revision in economic growth estimate by the central bank has hit sentiment, analysts said.

Economic growth in 2018 is likely to be between 4 percent and 4.5 percent, falling short of an earlier estimate of 5 percent, the central bank’s governor, Indrajit Coomaraswamy, said early this month.

Foreign investors sold equities net worth 177.7 million rupees on Monday, extending the year-to-date net foreign sale to 2.6 billion rupees.

Shares in Cargills (Ceylon) Plc fell 3.7 percent, while Lanka ORIX leasing Co Plc lost 3.6 percent. The biggest listed lender Commercial Bank of Ceylon Plc closed 1.5 percent lower.

Investors are waiting for some positive news both on the economic and political front, said analysts, adding that the government’s policy implementation had been sluggish since both main parties in the ruling coalition lost local polls in February.

The International Monetary Fund said on June 20 that Sri Lanka’s economy remained vulnerable to adverse shocks because of sizable public debt and large refinancing needs. ($1 = 159.7000 Sri Lankan rupees) (Reporting by Ranga Sirilal and Shihar Aneez; Editing by Amrutha Gayathri)