Better to put money in government bonds, study shows

MOST local investors would have been much better off putting their money in Malaysian government bonds over the past five years than in equities, according to the findings of a study undertaken recently by a management consultancy.  

In its study on how effective company management had been at creating shareholder wealth over a five-year period from April 1998 to April 2003, Stern Stewart & Co found that only 24 or 12% of the 193 companies it surveyed delivered “cumulative wealth added” that was positive.