KUALA LUMPUR: The FBM KLCI is expected to climb to the 1,870-level in 2021, supported by solid corporate earnings growth as well as prevailing alluring market valuation, said Rakuten Trade Sdn Bhd.
Its head of research Kenny Yee said the projection is based on 15.5x of price/earnings ratio seen this year.
"We may continue to see rotational plays as interest rates continue to stay low for now," he told a virtual media briefing on the market outlook for the first quarter of 2021 today.
Yee noted that foreign funds would gravitate towards emerging markets this year, thus Malaysia might see potential inflows. - Bernama