PETALING JAYA: Investors were given a better idea of prospective profiles and markets during the recent two-day VI Summit 2023.
The event, which is in its 12th year, attracted more than 3,000 people who participated online.
Among those who spoke at the summit were Dr George Athanassakos, professor of finance and Ben Graham Chair in Value Investing at Ivey Business School; financial educators Brian Stoffel and Brian Feroldi; 8VI Malaysia executive director Low Chern Hong; Melvin Lim, founder of Property Lim Brothers; and techpreneur and investor Chris Chan.
Athanassakos shared some useful insights into value investing at the summit.
He said value investors looked for possible undervalued stocks, such as obscure or undesirable stocks, small-cap stocks, low-analyst-following stocks, or companies with a sustainable competitive advantage.
“Only in exceptional cases do value investors factor in growth. Typically, value investors estimate intrinsic value by looking at the company’s balance sheet and the replacement value of a company’s assets, which tell the importance of a company’s current earnings and earnings potential,” Athanassakos said, adding that investors should be disciplined while demonstrating patience.
“To invest in truly undervalued stocks, one must look for a margin of safety and buy a stock only if its market price is below an entry price,” he said.
The co-founder of 8VI Holdings, Ken Chee, who also spoke at the summit, said he is optimistic the market will bounce back in the first quarter of this year.
He said China’s removal of Covid-19 restrictions led to temporary labour shortages and supply chain disruptions, though near-term pressure on the medical system would bring more economic turmoil (in the first quarter of 2023).
He said the policy change paves the way for full economic recovery, anticipated in the second quarter of 2023.
“This can be seen in the revival of Chinese tourism, the recovery of the services sector, and the relaxation of supply chain constraints and financing rules to support the property market,” he said.
Meanwhile, Low thinks that semiconductors, EVs (electric vehicles), and smart healthcare will have a positive outlook this year.
Quoting reports, he said the global semiconductor market was valued at US$456.79bil (RM1,971.5bil) in 2022, and is expected to reach US$772.03bil (RM3,332.08bil) by 2030. It is poised to grow at a 6.6% compound annual growth rate (CAGR) from 2022 to 2030.
He said the global zero-emission vehicle market size, which was valued at US$232.92bil (RM1,005.28bil) in 2022, is projected to reach about US$1.36 trillion (RM5.86 trillion) by 2030, growing at a forecast 24.73% CAGR from 2022 to 2030.
“In the next 10 years, EVs will be everywhere because governments impose laws, so manufacturers producing EVs in Sweden, the UK, France, Denmark and New Zealand have achieved carbon neutrality policies,” he said.
For smart healthcare industries, Low said the global smart healthcare market was valued at US$145.31bil (RM627.15bil) in 2020 and is projected to reach US$482.25bil (RM2,081.39bil) by 2027, with the CAGR forecast putting it at 19.7% for the period between 2020 and 2027.
“Covid-19 has helped speed up the growth of smart healthcare,” he added.
During the summit, Chee also announced the appointment of Low Ming Li as CEO of the 8VI Group.
Chee, who continues to be involved in the operations and activities of VI College while remaining on the board as executive director, will provide entrepreneurial leadership and strategic objectives for the group.
Elsewhere, VI College will organise the Warren Buffett Study Tour to Omaha, United States, in May for its graduates and community members.
As one of the largest investing conferences in Asia, VI Summit is 8VI’s annual flagship event intended as a platform for knowledge-sharing.
