KUALA LUMPUR: The small-cap space on Bursa Malaysia could present some investment opportunities on expectations that US interest rates could peak sometime this year and the improved investor sentiment could spur fund flow into emerging market-listed companies.
RHB Research, in its recent Small Cap Corporate Access 2023 event, points out that valuations for these rate-sensitive growth names mainly in the small-cap space appear to have bottomed out.
“Also, the divergence of the state of the economy in China post-reopening versus the decelerating global economic growth could lend the support to global demand and benefit Asean players,” the research house said.
...