Active roles in investee companies for investment stability

PNB is sitting on huge paper loss due to its substantial stakes in Sapura Energy Bhd and Velesto Energy Bhd, among others. What is PNB’s plan for these companies? Was it a mistake to invest heavily in oil and gas companies?

THEY say never put all your money into one basket. But in the case of Permodalan Nasional Bhd (PNB), they had enjoyed a good run for many years by putting most of their money into the local financial markets, riding the boom of Malaysia’s economy.

Still, the fund had suffered during downturns, turning to their reserves at one point. More so now, with numerous troubles hitting the local markets drastically, from falling oil prices to the global trade war and now, the coronavirus pandemic.