FTSE Bursa Malaysia KLCI

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FTSE Bursa Malaysia KLCI
Foundation
  • 4 April 1986 (as KLCI)
  • 6 July 2009 (as FBMKLCI)
[1]
Operator[1]
ExchangesBursa Malaysia
Constituents30
TypeLarge cap
Market cap
  • RM509,019 million
  • (as of 28 February 2014)
[1]
Weighting methodCapitalisation-weighted
Websitewww.ftse.com

The FTSE Bursa Malaysia KLCI, also known as the FBM KLCI, is a capitalisation-weighted stock market index, composed of the 30 largest companies on the Bursa Malaysia by market capitalisation that meet the eligibility requirements of the FTSE Bursa Malaysia Index Ground Rules. The index is jointly operated by FTSE and Bursa Malaysia.

History[edit]

It was first introduced on 4 April 1986 as the Kuala Lumpur Composite Index (KLCI), with a base value of 100, dated on 1 January 1977.

In 2006, Bursa Malaysia partnered with FTSE to provide a suite of indices for the Malaysian market, to enhance the KLCI. FTSE Bursa Malaysia KLCI was one of the indices created to replace the KLCI. The new dex was adopted on 6 July 2009, with the opening value taken from the closing value of the old KLCI on 3 July 2009.[2]

The enhancement will adopt the internationally recognised index calculation formula to increase transparency as well as making the index more tradable.[2]

Constituents[edit]

The 30 constituent companies of the FBMKLCI, at the close of trading on 26 December 2018:[3]

Constituent Name Stock Code Sector
MALAYSIA AIRPORTS HOLDINGS BERHAD 5014 Transportation & Logistics Services
AMMB HOLDINGS BERHAD 1015 Banking
AXIATA GROUP BERHAD 6888 Telecommunications Service Providers
CIMB GROUP HOLDINGS BERHAD 1023 Banking
DIALOG GROUP BERHAD 7277 Energy Infrastructure, Equipment & Services
DIGI.COM BERHAD 6947 Telecommunications Service Providers
GENTING MALAYSIA BERHAD 4715 Travel, Leisure & Hospitality
GENTING BERHAD 3182 Travel, Leisure & Hospitality
HAP SENG CONSOLIDATED BERHAD 3034 Diversified Industrials
HARTALEGA HOLDINGS BERHAD 5168 Health Care Equipment & Services
HONG LEONG BANK BERHAD 5819 Banking
HONG LEONG FINANCIAL GROUP BERHAD 1082 Banking
IHH HEALTHCARE BERHAD 5225 Health Care Providers
IOI CORPORATION BERHAD 1961 Plantation
KUALA LUMPUR KEPONG BERHAD 2445 Plantation
MAXIS BERHAD 6012 Telecommunications Service Providers
MALAYAN BANKING BERHAD 1155 Banking
MISC BERHAD 3816 Transportation & Logistics Services
NESTLE (MALAYSIA) BERHAD 4707 Food & Beverages
PUBLIC BANK BERHAD 1295 Banking
PETRONAS CHEMICALS GROUP BERHAD 5183 Chemicals
PETRONAS DAGANGAN BHD 5681 Retailers
PETRONAS GAS BERHAD 6033 Gas, Water & Multi-utilities
PRESS METAL ALUMINIUM HOLDINGS BERHAD 8869 Metals
PPB GROUP BERHAD 4065 Food & Beverages
RHB BANK BERHAD 1066 Banking
SIME DARBY BERHAD 4197 Automotive
SIME DARBY PLANTATION BERHAD 5285 Plantation
TENAGA NASIONAL BHD 5347 Electricity
TOP GLOVE CORPORATION BHD 7113 Health Care Equipment & Services

Eligibility[edit]

The two main eligibility requirements stated in the FTSE Bursa Malaysia Index Ground Rules are the free float and liquidity requirements.

Free Float[edit]

Each company is required to have a minimum free float of 15%. The free float excludes restricted shareholding like cross holdings, significant long term holdings by founders, their families and/or directors, restricted employee share schemes, government holdings and portfolio investments subject to a lock in clause, for the duration of that clause. A free float factor is applied to the market capitalisation of each company in accordance with the banding specified in the FTSE Bursa Malaysia Ground Rules. The factor is used to determine the attribution of the company’s market activities in the index.

Liquidity[edit]

A liquidity screen is applied to ensure the company’s stocks are liquid enough to be traded. Companies must ensure that at least 10% of their free float adjusted shares in issue is traded in the 12 months prior to an annual index review in December.

It contains 30 companies from the main market with approximately 900 to 1000 listed companies. The index has a base value of 100 as of 2 January 1977.[4]

See also[edit]

References[edit]

  1. ^ a b c "FTSE Bursa Malaysia KLCI Factsheet" (PDF). FTSE.
  2. ^ a b FTSE Bursa Malaysia KLCI Index Research Paper (PDF), 2009, p. 1, archived from the original (PDF) on 23 November 2010
  3. ^ "Bursa Malaysia FBMKLCI Companies". www.malaysiastock.biz. Retrieved 2018-12-26.
  4. ^ Bloomberg.com. KLCI:IND KUALA LUMPUR COMP INDEX

External links[edit]

The latest information on the index and its components can be found on FTSE's website. FTSE Bursa Malaysia Index Series

A detailed list of the index components with description of each company, logo and link to its website can be found on ASEAN UP Top 30 companies from Malaysia’s KLCI