World's Longest Bull Run Endures Tumult as Foreigners Return
- Overseas inflows into Malaysia are biggest in Southeast Asia
- Kuala Lumpur has lowest volatility among region's markets
Visitors walk past the Sultan Abdul Samad Building, left, as Malaysian flags fly at half-mast at Merdeka Square in Kuala Lumpur, Malaysia, on Sunday, July 20, 2014. It should have been a time for celebration in the predominately Muslim country of Malaysia, as families prepare for festivities to mark the end of the Ramadan fasting period. Instead the country is in shock from a second air tragedy in four months.
Photographer: Brent Lewin/BloombergMalaysia’s energy exports are tumbling, its prime minister is battling corruption allegations and corporate profits are weakening. With all that, the Southeast Asian nation is also home to the world’s most resilient bull market for stocks.
Overseas funds are piling in at the fastest pace in Southeast Asia. Kuala Lumpur’s benchmark equity gauge has more than doubled from its 2008 lows without succumbing to a 20 percent drop. Tan Ming Han says he knows its secret: the lowest volatility among the region’s markets. It’s an environment where a growing army of investors are willing to miss out on the highest highs if that means they also avoid the biggest crashes.