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Citigroup Inc. increased its holdings in iShares MSCI Malaysia ETF (NYSEARCA:EWM) by 164.8% during the undefined quarter, according to the company in its most recent disclosure with the SEC. The institutional investor owned 418,120 shares of the exchange traded fund's stock after acquiring an additional 260,199 shares during the quarter. Citigroup Inc.
iShares MSCI Malaysia ETF (NYSEARCA:EWM - Get Free Report)'s share price crossed above its 200-day moving average during trading on Friday. The stock has a 200-day moving average of $26.69 and traded as high as $30.14. iShares MSCI Malaysia ETF shares last traded at $30.13, with a volume of 771,629 shares. iShares MSCI Malaysia
ASEAN's dividend opportunity is underpinned by diverse and evolving market characteristics. The FTSE ASEAN Index, which captures the large- and mid-cap companies listed in the five ASEAN markets - Singapore, Malaysia, Indonesia, Thailand and Philippines - has delivered a 10-year average dividend yield of 3.57%. Across multiple market cycles over the past 25 years, a back-test of the FTSE ASEAN ex REITs Target Dividend Index's strategy showed notable resilience during market downturns and lower overall volatility compared with the broader ASEAN market.
iShares MSCI Malaysia ETF (NYSEARCA:EWM - Get Free Report) was the target of a large growth in short interest in January. As of January 15th, there was short interest totaling 1,203,931 shares, a growth of 43.4% from the December 31st total of 839,592 shares. Approximately 11.1% of the shares of the stock are sold short.
iShares MSCI Malaysia ETF (NYSEARCA:EWM - Get Free Report) passed above its 200-day moving average during trading on Tuesday. The stock has a 200-day moving average of $25.70 and traded as high as $28.18. iShares MSCI Malaysia ETF shares last traded at $28.05, with a volume of 660,698 shares changing hands. iShares MSCI Malaysia
The iShares MSCI Malaysia ETF (EWM) remains a solid long-term exposure to Malaysia, but is downgraded to Hold after a strong rally. Malaysia's economy is resilient, with upgraded 2025 growth projections and contained inflation, supporting a positive outlook versus regional peers. EWM trades at a discount to larger emerging markets, offering value, but faces Q4 headwinds and heavy financials exposure.
EWM which focuses on 30 stocks from Malaysia is up by only low single-digits this year, and underperforming emerging markets and global markets quite significantly. We now feel EWM could witness better prospects ahead. Malaysia's macro outlook is stabilizing, with improved GDP growth, supportive government policies, and central bank rate cuts boosting domestic demand.
iShares MSCI Malaysia ETF offers investors exposure to some of the largest firms trading on Malaysia's stock market. Almost 60% of its holdings are established banks and utilities, with zero technology firms, lessening the possibility of significant outperformance. The ETF is hardly cheap based on a price-to-earnings ratio of 15x, particularly by emerging market standards.
Investing in Malaysia via the iShares MSCI Malaysia ETF (EWM) offers potential but carries significant risks due to its 45% exposure to the financial sector. Malaysia's economy is stable with low credit default swap premiums, a non-inverted yield curve, 4.4% GDP growth, low unemployment, and controlled inflation. Political stability and favorable policies, including investments in green energy and fiscal responsibility, support a positive outlook for EWM.
Topping the list and outperforming in that span have been emerging market countries like Brazil and India, which are both up well over 6.5%. International ETFs don't only have momentum on their side, but they also offer higher yields than the US at the current moment. Across all 22 ETFs, the average yield stands at 3.25%.
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ASEAN economies are expected to maintain steady growth despite global macro headwinds, with Malaysia poised to benefit from higher commodity prices and geopolitical shifts. Historical trends show ASEAN countries gained from a China-centric trade war, with companies seeking lower-cost manufacturing sites shielded from tariffs. Malaysia's economic outlook is positive, benefiting from higher commodity prices and potential geopolitical advantages if tariffs continue to target China.
The iShares MSCI Malaysia ETF is risky due to concerns about the Ringgit, Trump tariffs, and a weaker Chinese economy. Financials and utilities dominate EWM, with Ringgit value and NIMs under pressure from tariffs and inflation complacency, which would affect USD denominated investors. High expense ratios (0.5%) also have to be contended with, assuring some return shaved off earnings yields of around 6.6%, which aren't that high compared to 3% benchmark rates there.
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iShares MSCI Malaysia ETF offers investors diversification outside U.S. large-cap tech exposure. The EWM ETF tracks the MSCI Malaysia Index, giving investors access to Malaysia's growing economy with strong industries. EWM has high concentration in top holdings and financial sector, but provides exposure to various sectors in Malaysia's economy.
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