Malaysian stocks get cheaper by the day but few want to buy

"Malaysia remains a perennial underweight position for foreign investors, ” said Michiel van Voorst, chief investment officer for Asian equities at UBP Asset Management Asia Ltd.

SINGAPORE: Asia’s worst-performing major stock market is getting cheaper by the day. But that’s not enough to lure investors back.

Malaysian equities aren’t ripe for a re-rating even as valuations drop to near the lowest in a decade, according to investors. Political risks and a weak earnings outlook have undercut appetite for local shares, which are heading toward a second year of losses, extending 2018’s worst showing since the global financial crisis.