Tag Archives: private wealth management sri lanka

Dimantha Mathew, Head of Research at First Capital Holdings, with the Market Forecast on Ada Derana – 07.10.2018

Stock Brokers in Sri Lanka

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

Amanda Lokugamage, Senior Research Analyst at First Capital Holdings, with the Market Review on Ada Derana – 04.10.2018

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.

Weekly Government Securities Market – 05-10-2018

Stock Market Sri Lanka

 

 

Nisansala Kuruppumudali, Research Analyst at First Capital Holdings, with the Market Review on Ada Derana – 02.10.2018

Stock Brokers in Sri Lanka

First Capital’s Nisansala Kuruppumudali 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.

Pre-policy analysis Local markets panic, but current policy stance desired – Ceylon Today

Share Market Investment in Sri Lanka

The Monetary Board (MB) of the Central Bank of Sri Lanka (CBSL) is expected to keep its key interest rates steady at its policy review on Monday (1), considering the prevailing vulnerable external environment and lower GDP growth level, economists and financial sector analysts predicted on Friday.
During the coming months, the Sri Lankan economy expects debt-driven inflows from the US$ 1 billion syndicated loan from the China Development Bank and US$ 250 million worth of Panda Bond issuances to boost reserves.
“The vulnerable external environment and lower GDP growth level provides lowered scope for the monetary board to hike rates. Continuous weakening in currency and continued foreign outflows almost completely removes the possibility of a rate cut, as it would aggravate outflows,” First Capital Holdings Head of Research Dimantha Mathew told Ceylon FT.
However, he highlighted the increased possibility of a hike in rates, depending on CBSL expectations of the debt-driven inflows to support reserves, which has so far been delayed by almost five weeks.
Heavy foreign outflows, lower foreign reserves and lower yields in bonds saw the currency suffer with a month-to-date depreciation of 4.6% against the greenback in September 2018, while over the last three weeks, overall yield curve experienced a steep spike, as the more liquid short- to mid-tenure yields jumped almost 100bps.
According to them, the Sri Lankan Rupee has settled down, following the rise in yield curve and weaker dollar witnessed over the last couple of days……Further, US Federal Reserve as expected increased rates by 25bps.

On a negative note on the back of stronger US economy and upgraded GDP growth target, Federal Reserve expects additional hikes to take place, with three hikes predicted for 2019 compared to the previously expected two hikes.
According to the statement made by International Monetary Fund (IMF) on Friday, Sri Lanka’s current account deficit widened on the back of higher fuel imports, despite strong export performance, while international reserves declined from their peak level in April, amid volatile global market conditions.

Growth is projected to remain below 4 per cent in 2018, and gradually reach 5 per cent over the medium-term.

Current policy stance desired, less probability for a rate hike: First Capital Research

Sept 29, 2018 (LBO) – First Capital Research believes that a policy rate change is not required at this moment considering the prevailing economic conditions of the country.

First Capital Research also believes that the vulnerable external environment and lower GDP growth level provide less scope for the monetary board to increase rates.

“The possibility of a rate cut is almost completely eliminated amidst continuous weakening in the currency and continued foreign outflows,” the firm said.

“However, we are of the view that a 20% probability exists for a rate hike, depending on the CBSL expectations of the timing on the debt-driven foreign inflows.”

First Capital Research said the expected debt driven inflows have so far delayed by almost 5 weeks and are of paramount importance to boost the reserve position.

Heavy foreign outflows considerably lower foreign currency reserve position and lower bond yields resulted in the currency suffering an MTD depreciation of 4.6 percent against the greenback in September.

The research arm said over the last 3 weeks the overall yield curve experienced a steep upward movement as the yields of more liquid short to mid-tenure maturities spiked by almost 100bps.

“Stabilization of LKR: USD at LKR 169 levels was witnessed subsequent to the upward shift in the overall yield curve, coupled with relatively weaker dollar witnessed over the last couple of days,” the firm said.

US Federal Reserve, as expected, increased rates by 25bps to 2.25 percent in Sep 2018 and they expect additional rate hikes to take place predicting 3 hikes for 2019 compared to the previously expected 2 hikes.

“Expected debt driven inflows from the USD 1Bn Syndicated loan from the China Development Bank and USD 250Mn from the issuance of Panda Bond is key to improving the reserve position.”

Central Bank said the next Monetary Policy Review which was previously scheduled to be issued on Friday, 28 September, has been rescheduled to Tuesday, 02 October 2018.

Dimantha Mathew, Head of Research at First Capital Holdings, with the Market Forecast on Ada Derana – 30.09.2018

Stock Brokers in Sri Lanka

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

Weekly Government Securities Market – 28-09-2018

Stock Brokers 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)