Category: Stocks Investment

CIMB iTrade Webinar – Mari Labur 26th June 2021

I attended a free webinar “Mari Labur” on 26th June 2021. It is organized by CIMB iTrade. The event is organized via Zoom. You can asked questions and the organizers will answers all the questions live or via the chatbox.

Summary of Webinar

  1. MCO 3.0 Impact to the market
  2. Top picks
  3. Outlook for July 2021
  4. Sentimens Suvey
  5. Keys Insights
  6. Explanation on fe Top picks

MC3.0 Impact to the market

GDP forecast revised down from 5.7% to 4.4% even after take into consideration stimulus packages from government total at RM380 billions.

Sectors least affected are (tech, gloves makers, plantation and oil and gas)

cimb i trade webinar mari labur - potential impact of MC0 3.0
cimb i trade webinar mari labur – potential impact of MC0 3.0
cimb i trade webinar mari labur - potential impact on market
cimb i trade webinar mari labur – potential impact on market

Top Picks

Top picks are MISC, Malaysia Airpots, Sime Darby, MPI, Pentamaster, Maybank, Petronas Gas, Kossan Rubber, Freight Management, Dupharma Biotech and Velesto.

Top 3 picks are Inari, Public Bank and Telekom Malaysia.

cimb i trade webinar mari labur - valuation of top picks changes
cimb i trade webinar mari labur – valuation of top picks changes
cimb i trade webinar mari labur - top 3 picks
cimb i trade webinar mari labur – top 3 picks
cimb i trade webinar mari labur - top picks big cap to mid caps
cimb i trade webinar mari labur – top picks big cap to mid caps

Outlook for July 2021

Based on KLCI’s performance trends, expected positive trend with an average month on month gain of 0.7% return.

cimb i trade webinar mari labur - outlook for july 2021
cimb i trade webinar mari labur – outlook for july 2021
cimb i trade webinar mari labur - outlook for july 2021 p2
cimb i trade webinar mari labur – outlook for july 2021 p2

Sentiments Survey

Retail investors are the largest participants 37% shares traded with value of RM6.4 billions ++.

Retailers got fund mostly from saving and EPF withdrawals via i-Sinar and i-Lestari

cimb i trade webinar mari labur - sentiments survey
cimb i trade webinar mari labur – sentiments survey

Keys Insights

cimb i trade webinar mari labur - keys insights
cimb i trade webinar mari labur – keys insights
cimb i trade webinar mari labur - keys insights p2
cimb i trade webinar mari labur – keys insights p2

Explanation of Top Picks – Mid Caps

Top picks are Uchi Technologies (7100) (TP: RM3.16), Wellcall Holdings (7231) (TP: RM1) and Success Transformers (7207) (TP: RM0.84)

 

cimb i trade webinar mari labur - uchi technologies
cimb i trade webinar mari labur – uchi technologies
cimb i trade webinar mari labur - wellcall
cimb i trade webinar mari labur – wellcall
cimb i trade webinar mari labur - success tranformers
cimb i trade webinar mari labur – success tranformers

How To Apply Online IPO (Initial Public Offering) in Malaysia via Maybank2u

You can easily apply IPO (initial public offering) via Maybank2u.

  • Login to Maybank2u
  • Select Investment
  • Click Apply now on eIPO
maybank e ipo investment - apply now
maybank e ipo investment – apply now
  • Fill in your information
  • Select IPO you want to buy
maybank e ipo - list of ipo
maybank e ipo – list of ipo
  • Fill in the number of units you want to buy (it is by 100 unit)
  • Then click submit
  • Maybank will automatically deduct your account based on amount that you buy. There is no commission fee like buying shares at Bursa Malaysia
  • If not successfully, you will get full refund
  • In my case, I failed to get CTOS IPO shares.

 

maybank e ipo - apply of 100 units
maybank e ipo – apply of 100 units

Maybank 61st Annual General Meeting Y2021

The postponed Maybank 61st AGM was conducted on 6th May 2021. This is my second time join Maybank AGM online.

Maybank was supposed to conduct their 61st AGM on 15th April but due to technical glitch they had to postpone the AGM to 6th May.

The AGM starts at 10AM and ends by 330PM

Maybank Online AGM is conducted via Boardroom.

maybank chairman tan sri zam opening remarks
maybank chairman tan sri zam opening remarks

Key Highlights FY2020 Performance

maybank financial Y2020 performance
maybank financial Y2020 performance
  • Net Operating Income increases 0.6% YOY
  • Overhead reduces by -2.7% YOY
  • Pre provision profit is RM13.52B (increase by 2.6%)
  • Provision for Credit losses increase more than 100% to RM5.07B

Macroeconomic Headwinds

maybank operating landscape
maybank operating landscape
  • Covid 19 pandemic forced border closures.
  • Result in weak global and domestic demand
  • Low interest rate environment
  • Asset qualities weakness

Dividend Payout

maybank dividend payout Y2020
maybank dividend payout Y2020
maybank dividend yield vs other banks
maybank dividend yield vs other banks
maybank capital perservation
maybank capital perservation
  • 52 sen dividend payout for Y2020
  • Maybank dividend yield is higher than other banks in Malaysia and regional banks.
  • Highest dividend payout for the past 10 years at 91.2% payout
  • Capital level is still healthy even after dividend payout

Key Responsibilities

maybank responsibilities
maybank responsibilities
  • Customers – provide financial relief
  • Employees – enabled WFH and other safety measures
  • Investors – reclassification of dividend for faster payout
  • Regulators – establish framework and guidelines for lending
  • Communities – Maybank contributed over RM20M to mercy

Moving Forward FY2020 – Digital Solutions

maybank M25 target outcomes
maybank M25 target outcomes
maybank digital journey
maybank digital journey
  • M25 – 13% – 15% ROE and more than 100 sen earning per share
  • Digital journey – SME online application, EzQ to make appointment to any Maybank branch and develop online platform for small businesses.

Corporate Social Responsibilities

maybank assisting communities
maybank assisting communities
  • Contributed RM20M to Mercy
  • Raised RM3M to assist vulnerable communities and to support Covid-19 initiative

Questions from Shareholders

maybank appointing tan sri zam who doesnt have financial background
maybank appointing tan sri zam who doesnt have financial background
  • Most questions are regarding Covid-19 impact to Maybank performance & its dividend policy.
  • Maybank CEO explained that it is hard for Maybank to gauge the impact but the dividend policy remains around 60% of net profit.
  • For all attendees of Maybank AGM will receive RM50 to their MAE for the postponed AGM and another RM50 who attended the AGM on 15th April. So who attended both AGMs will receive RM100.
  • According to Maybank, they don’t plan to reduce their branches like other global banks.
  • Maybank uses its huge database on analysis for credit risks and loan offering.
  • Another question whether Maybank plans to introduce its own bitcoins in which Maybank replies no.
  • A shareholder asks why Maybank appoints Tan Sri Zam as its chairman who doesn’t have any financial background. According to Maybank they need someone with technology background at board level to help Maybank in their digital journey.

Conclusion

Good insight on Maybank performance on the meeting and Maybank plans to do more digital solutions moving forward to mitigate Covid-19 impact.

Another good thing receive door gift of RM50 which this is my second time receiving RM50 for attending Maybank AGM.

Maybank 60th Annual General Meeting Y2020

First time I attended Maybank Annual General Meeting online on 26th June 2020 10AM.
Due to Covid-19, Maybank Annual General Meeting is conducted online. Maybank gaves very clear instruction on how to participate in its first AGM.

Maybank Online AGM via Tricor Online

At first must register with Tricor and participate in the Maybank AGM.

tricor online for annual general meeting
tricor online for annual general meeting
tricor register for maybank annual general meeting
tricor register for maybank annual general meeting

Maybank First Online AGM

Starts of the meeting was opened by the chairwoman and followed by greetings from board members.

maybank 60th annual general meeting board members
maybank 60th annual general meeting board members

Key Highlights FY2019 Performance

  • Net Operating Income increases 4.6% YOY
  • Low single digit overheads growth 2.8% YOY
  • New record high net profit of RM8.2 billion
maybank 60th annual general meeting solid FY2019 performance
maybank 60th annual general meeting solid FY2019 performance

Macroeconomic Headwinds

  • US-China trade war
  • Slower economic growth globally and regionally
  • Political uncertainties
  • Low interest rate environment
  • Asset qualities weakness
maybank 60th annual general meeting macroeconomic headwinds
maybank 60th annual general meeting macroeconomic headwinds

Key Highlights Q1 FY2020 Performance

  • Net operating income grew 14.7% YOY
  • Higher loan provision (LLP) of 59.2%
  • Net profit up 13.3% YOY to RM2.o5 billion.
maybank 60th annual general meeting Q1 FY2020 performance
maybank 60th annual general meeting Q1 FY2020 performance

Moving Forward FY2020 – Digital Solutions

  • MAE to be Shariah compliant
  • GrabPay can directly link with Maybank2u
  • Online ASB Financing
maybank 60th annual general meeting digital solutions
maybank 60th annual general meeting digital solutions

Sustainability & Community Development

Some highlights on sustainability & community development.

  • CashVille Kidz – financial education for kids
maybank 60th annual general meeting sustainability and community development
maybank 60th annual general meeting sustainability and community development
  • Maybank Foundation community investments in all 10 ASEAN countries
maybank 60th annual general meeting sustainability and community development
maybank 60th annual general meeting sustainability and community development

Questions from Shareholders

Most questions are regarding Covid-19 impact to Maybank performance & its dividend policy.

Maybank CEO explained that it is hard for Maybank to gauge the impact but the dividend policy remains around 60% of net profit.

Shareholders also ask whether Maybank gives any goodies for online AGM as physical AGM, Maybank provides goodies.

Maybank CEO informed that Maybank will bank in RM50 to every shareholders who attended the 60th AGM to their MAE e-wallet.

Conclusion

Good insight on Maybank performance on the meeting and Maybank plans to do more digital solutions moving forward to mitigate Covid-19 impact.

A bit sleepy though this online AGM as you need to be in front of computer for hours.

 

Warren Buffet Investment Portfolio By Industry

Warren Buffet is well known investors. He is the most successful investor in the world. He has a net worth of USD70.5 billion as of April 2020. He is chairman and CEO of Berkshire Hathaway.

For Malaysian, to ride on directly Warren success by buying his company shares or his invested companies, it is not straight forward as we need to open up a brokerage account that have access to US market and need bigger fund vs invest in Bursa Malaysia.

If you are smaller investor like me and still prefer investing in Malaysia, maybe the companies industry he invests in can be our guidelines which industry we should focus on.

List of Industries That Warren Buffet Invested In

Banks or Financial Institution

  • Bank of America
  • Wells Fargo
  • American Express
  • US Bank Corp
  • Visa
  • Mastercard

Consumer Goods

  • Coca Cola
  • Kraft Heinz
  • Mondelez
  • Procter & Gamble

Insurance

  • Globe Life
  • The Travelers Companies

Retails

  • Cotsco
  • The Kroger
  • Amazon

Drug Manufacturers

  • Johnson & Johnson
  • Biogen
  • Teva Pharmaceutical

Media

  • Liberty Global
  • Sirius

Oil & Gas

  • Phillips 66
  • Suncor

Quotes from Warren Regarding Companies That He Invests in

References:

https://www.investors.com/research/warren-buffett-stocks/
https://www.gurufocus.com/guru/warren+buffett/current-portfolio/portfolio

How To Pay Outstanding Purchases At Maybank Stocks Online Trading Platform

Recently, I bought shares using Maybank Stocks Online Trading Platform. After purchasing the shares, I didn’t know how to pay for my purchases.

When I googled, I coudn’t find any useful help or information on how to make payment of my outstanding purchases. At the end, I had to make a call to Maybank call centre and get help.

According to Maybank, I must contact my stocks dealer to settle the payment via Maybank2u and my stock dealer informed me step by step on how to do it.

Before follow my steps, better call your dealer first. If you don’t know or remember your dealer phone number, you can contact Maybank help line (03 2297 8888) and they will provide you the dealer name and contact.

Steps to make payment on Outstanding Purchases

  1. Login to Maybank2u
  2. Select Pay & Transfer
  3. Select New Payment
  4. Select Maybank Investment Bank Berhad
  5. Enter your trading account number in “Trading Acct. No.”
  6. Enter your “Bill Reference No.”. Fill in:-
    • TRUST  – you will be transferring your money in Maybank Investment Bank account. (your trust account will be tagged with your trading account)
maybank trade oustanding pay
maybank trade oustanding pay
maybank trade - trust bill reference
maybank trade – trust bill reference
  1. Inform your dealer and share the receipt.

Remember to check that your Outstanding Purchase is cleared after the payment.

 

Dividend Yields Comparison Between Malaysian Banks

BanksDividend Yield (%)PEROE (%)
Affin Bank3.236.315.23
Ambank6.336.138.47
BIMB4.657.846.23
CIMB8.118.736.23
Hong Leong Bank3.7610.849.64
Maybank7.2310.8010.05
Public Bank4.7710.7812.64
RHB Bank9.638.383.95
Average5.968.737.81

Analysis

  1. CIMB has the highest dividend yield but low ROE and whether the dividend yield is sustainable in the long run.
  2. Maybank has 7.23% dividend yield which is commendable with ROE of 10% but with higher than average PE.
  3. Ambank has 6.33% dividend yield with PE of 6.13 which is below average which is good and above average ROE.
  4. Public Bank has highest ROE of 12.64 means it is very efficiency in using its capital vs other banks but it has very low dividend yield.

Conclusion

Based on the numbers, without evaluating its long term business, I would buy Ambank it has 6.33% dividend and take only 6 years to recover the capital.

However on safe side, it is better to buy Maybank shares as it is innovative in digital area for example first to introduce online banking and digital payment which I think is the new disruption in banking sector.

Notes

Total dividend amount declared for financial year ended 2018-12-31

  • Bank Islam
  • Affin Bank
  • CIMB
  • RHB Bank
  • Maybank

Total dividend amount declared for financial year ended 2019-03-31.

  • Ambank

Total dividend amount declared for financial year ended 2019-06-30.

  • Hong Leong Bank

source: MalaysiaStock.biz