1q 2013 performance - bursa malaysiabursa.listedcompany.com/misc/presentation_slide_1q_2013.pdf ·...
TRANSCRIPT
1Q 2013 Performance
18 April 2013
KEY HIGHLIGHTS :
KEY HIGHLIGHTS 3
EXPANDING INFLUENCE
Key Highlights 1Q2013 vs. 1Q2012
3
Financial Highlights PATAMI at RM38.2 million, down 6%.
Operating revenue at RM101.7 million, up 1%.
Market Highlights Securities Market
ADV down 13%, affected by market sentiment.
Market capitalisation (RM1.5 trillion) and FBMKLCI (1,707.04) scaling
new heights on 11 April 2013.
Derivatives Market
ADC up 46%, and stood at 45,188 contracts as a result of increasing
visibility of and accessibility to our derivatives products.
Islamic Market
Bursa Suq Al-Sila’ ADV up 136%, as a result of increased participation
by foreign participants as well as active trading by new members.
MARKET PERFORMANCE :
FUELLING GROWTH
SECURITIES MARKET OVERVIEW 5
DERIVATIVES MARKET OVERVIEW 6
ISLAMIC MARKET OVERVIEW 7
1,973
1,509
1,716
1Q 2012 4Q 2012 1Q 2013
1,355
1,466 1,472
1Q 2012 4Q 2012 1Q 2013
2.59
9.02
2.41
1Q 2012 4Q 2012 1Q 2013
34
25 28
Average Daily Value (RM mil)
Velocity (%) FBMKLCI No. of New Listing
Market Capitalisation (RM bil) Fund Raised from New Listings &
Secondary Market (RM bil)
1,596.33
1,688.95 1,671.63
Securities Market Overview Average Daily Value Affected by Market Sentiment
2
3
2
+14%
-13%
+0.5% -73%
-7%
+9%
5
1Q 2012 4Q 2012 1Q 2013
Crude Palm Oil Futures FMBKLCI Futures
Derivatives Market Overview Strong Growth in Trade Volume and Open Interest
Quarterly Average Daily Contracts (000’)
Others
31.02
43.56
82%
71%
28%
18%
77%
23%
45.19
+4%
+46%
6
Open Interest since Migration to Globex®
1/9/10
96,678
28/2/12
199,215
31/12/12
214,065 31/3/13
195,807
1%
839
813
807
1Q 2012 4Q 2012 1Q 2013
1.55
3.00
3.65
1Q 2012 4Q 2012 1Q 2013
30.1
33.7 33.5
1Q 2012 4Q 2012 1Q 2013
21 20 19
Sukuk Listing (USD$ bil)
No. of Sukuk
Bursa Suq Al-Sila’ ADV Commodity
Traded (RM bil)
Islamic Market Overview BSAS ADV Trending Up and Continue To Grow
+11%
60
69 71
No. of Trading Participants
+136%
+22%
7
89 88 88
% of Shari’ah Compliant Stocks
-4%
-1%
Number of Shari’ah Compliant
Stocks
-1%
SEEDING IDEAS
STRATEGY :
FOCUS AREA IN 2013 AND BEYOND 9
2013 BUSINESS PLANS 10
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
9
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
ASEAN Exchanges
& ASEAN Link
SI 1 SI 2 SI 3 SI 4
10
Projects implemented in 2013
FINANCIAL REVIEW :
PROFIT & ROE TREND 12
QUARTERLY SNAPSHOT 13
OPERATING REVENUE 14
OPERATING EXPENSES 15
BUILDING CAPITAL
100.5 96.7 96.7 94.5 101.7
40.6 37.7 36.5 35.8 38.2
1Q 2012 2Q 2012 3Q 2012 4Q 2012 1Q 2013
47.5 49.1 48.7
52.0
49.7
18.3
16.9 16.9 16.8 17.3
Operating Revenue
(RM mil)
ROE (%) PATAMI
(RM mil)
Cost to Income
Ratio (%)
Profit & ROE Trend Operating Revenue Sustained Over The Last 5 Quarters
12
18.3
16.8
17.3
1Q 2012 4Q 2012 1Q 2013
ROE (%)
52.2
54.2 54.9
1Q 2012 4Q 2012 1Q 2013
Operating expenses (RM mil)
47.5
52.0
49.7
1Q 2012 4Q 2012 1Q 2013
Cost to income ratio (%)
100.5
94.5
101.7
1Q 2012 4Q 2012 1Q 2013
Operating revenue (RM mil)
+1%
9.4 9.7
8.7
1Q 2012 4Q 2012 1Q 2013
Other income (RM mil)
40.6
35.8
38.2
1Q 2012 4Q 2012 1Q 2013
PATAMI (RM mil)
-6% -6% +4%
+5% -7%
+8% -10% +1%
+7% +3% -4%
Quarterly Snapshot Revenue Sustained, Largely Driven By Performance Of Derivatives Market
13
Commentaries:
• Lower securities trading revenue and listing and issuer services as activity on the
primary and secondary securities market impacted by market sentiment.
• Higher derivatives trading revenue as a result of increasing visibility of and
accessibility to the Malaysian derivatives market.
• Higher market data revenue as the full impact of rates revised in 1Q 2012 were only
seen in 2Q 2012 onwards.
• Higher membership services and connectivity revenue following the full migration of
Winscore users to Bursa access and more effective fee structure for Bursa access.
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%
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%
14
29% 21%
4%
43%
Market Data
Membership Services & Connectivity
Other Operating Revenue
8%
Note : Please refer to the appendix for further details of the reclassification of revenue
Commentaries:
• Higher staff costs as a result of salary adjustment to attract and retain quality talent
on the back of our strategy to become a high performance organisation.
• Higher service fee correspond to the higher trade volume on derivatives market.
• Other operating expenses was higher in 1Q 2012 due to an impairment loss made in
that quarter and higher consultancy fees incurred.
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
Operating Expenses Salary Adjustment To Be A Competitive Employer To Attract And Retain Quality Talent
15
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)
EXPANDING INFLUENCE
CONCLUSION :
CONCLUSION 17
CONCLUSION
17
We remain focused To shape Bursa Malaysia to become high performance organisation
We are stepping up our game Extracting value and implementation of initiatives aligned to the 4
strategic intents
We will further grow the dynamic ASEAN market By facilitating movement of capital among member countries while
positioning Malaysia as the preferred entry point to the region for the
international investing community
www.bursamalaysia.com
APPENDICES :
RECLASSIFICATION OF QUARTERLY OPERATING REVENUE – 1Q12 TO 1Q13 19
SECURITIES MARKET TRADING ACTIVITY 20
SECURITIES MARKET TRADING PARTICIPATION 21
SECURITIES MARKET FOREIGN OWNERSHIP 22
BURSA’S POTENTIAL TO GROW ITS VELOCITY 23
DERIVATIVES MARKET ACTIVITY 24
DERIVATIVES MARKET DEMOGRAPHY 25
Reclassification Of Quarterly Operating Revenue –
1Q12 to 1Q13
19
(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
1,924
497
805 911
350 472
748 874
718
1,019
2,179
1,181
1,129 1,454
1,699 1,573
1,643
-
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 Mar 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 28
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
20
65 63 58
73 73 74 74 70
35 37 42 27 27 26 26 30
2006 2007 2008 2009 2010 2011 2012 1Q 2013
66 63
76 67
73 74 77 84
34 37 24 33 27 26 23 16
2006 2007 2008 2009 2010 2011 2012 1Q 2013
357
806
496
323 392 437 404
499
346
806
283 369 392 442
354 269
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
21
Securities Market Foreign Ownership
Singapore
Hong Kong
UK
23.8 76.2
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
(%)
China/Taiwan
USA
Mid-East
Others
6.1
1.7
2.3
1.2
0.1
0.2
12.2
22
22 29 30
41 48 50 53 55
67 81
110
130
155 156
285
Bursa’s Potential To Grow Its Velocity YTD March 2013
Source: World Federation Exchanges (WFE)
Velocity (%)
23
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
196
2004
2005
2006
2007
2008
2009
2010
2011
2012
1Q
2013
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
24
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’)
23%
77%
2.6 2.5
4.2
6.2 6.1 6.1 6.2
8.4
2.6 23%
29
`
`
77%
24 22
24 23 25
28
37
32 34
35
31
40 42
44
Derivatives Market Activity
9.6
45
24
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 19
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
47
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 1Q 2013
(%) FKLI
40 38 35 33 35 31 25 27 36 34 34 36 31
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
11
14 14 17 20 18 16 18 20 19 25 28 32
40
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 1Q 2013
(%) FCPO
Local*
Domestic Retail
Domestic Institutions
Foreign Institutions Local*
Domestic Retail Domestic Institutions
Foreign Institutions Foreign Retail
June –
Dec
2012
June -
Dec
2012
25
www.bursamalaysia.com
KOAY LEAN LEE
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
603-2034 7673
LIM SIEW CHING
603-2034 7277
NURHAFIZAWATI HANAFFI
603-2034 7484