Small cap appeal in Malaysia and the region

Lim: ‘Small-cap and medium-cap stocks are benefitting from South-East Asian governments’ monetary and fiscal stimulus, which should insulate these stocks further from the global economic slowdown.’

PETALING JAYA: Ramped-up public spending and an accommodative monetary policy are helping to support economic growth around the region, boosting the appeal of smaller capitalised stocks in the consumer and infrastructure sectors.

UOB Asset Management (M) Bhd chief executive officer Lim Suet Ling is of the view that this asset class is also benefitting from higher income levels, stronger foreign direct investment inflows and higher private consumption.