Thursday, June 10, 2010

EPF Top Equity Holdings

Not according to size or value but according to percentage control, below are EPF's significant equity holdings:

http://3critical.files.wordpress.com/2009/04/february-16-17-03431.jpg

Malaysia Building Society 67% - Its not well capitalised, don't see a need for MBSB to exists really. The company does not seem to have any strategy for growth. Sell it please or empower management to grow the business. No point holding onto this if nothing is done. Better still, put in an empowered new management with a roadmap.

RHB Capital 56% - Important stake. As the industry still needs to consolidate further, EPF is in the driver's seat to control its destiny. Do not be forced to marry an ugly duckling. Marry up. If HL Bank or even some Singapore bank comes knocking, at least say yes to a date.

MRCB 41.5% - I am not sure if this MRCB holding is a genuine equity holding or being used as a pseudo government tool. The lackluster general offer was directionless. Where is MRCB going? Make sure it is not a dumping ground for iffy projects, otherwise good. Need to improve KPIs on this vehicle, management seem too laid back. Crack the whip please.

http://www.asianpopcorn.com/battle_images/carmen_soo-200810221629313.jpg

Media Prima 24% - OK with the absorption of NSTP. Guess somebody has to hold the sensitive media vehicle. We should also know that Media Prima has no value in the open market as the government does not allow just anybody to control the shares. So, EPF has to ask why they are holding this, is this an investment or as we using our funds to do some other things with a differing objective? Does this help EPF to ensure our funds are being invested in a growth vehicle?

WCT 23% - OK to hold.

IJM 19.8% - Good hold, may want to gradually increase it. EPF should play a consultative role in ensuring there is a smooth transition of management in order to ensure the company's drive and strategy remain in place.

Cycle & Carriage Bintang 19% - OK to hold. OK to sell as well.

Star Publication 17% - Same reasoning as Media Prima.

Tenaga 16.8% - A must have no matter how you cut it.

DIGI 16.8% - OK to hold but must be rebalanced as the industry fights its way through 3G and market share.

Axiata 16.5% - Good stake.

Shell 16.3% - Legacy holding, OK I guess.

UMW 16% - One of the better managed companies, look to increase it to 20% please.

Public Bank 16% - Hmmm ... good holding obviously, could be interesting with RHB. Watch this space.

CarmenSoo.jpg image by teeweiong


Proton 15.5% - EPF must use their influence on the board and management to enter a viable partnership with a big foreign player. Only that way can Proton realise a market value close to its NAV.

CIMB 15.4% - Back to my prediction, CIMB-Public Bank, EPF would be a key player here. Now you know why the HEAD of EPF is such an important position. Good stake, should look to increase to 20%.

Dialog 15% - So-so, can sell if management's roadmap is not solid enough.

Alliance Financial Group 15% - Good holding.

Genting Plantation 15% - Not the best plantation counter, look to sell and move to better plantation counters please.

KLK 14.8% - Good stock.

SP Setia 14.7% - Good holding, empower management to grow further. Increase stake to 20%.

Sime Darby 14.6% - EPF is stuck here, can never consider to sell this, so you better get better managers there.

Sunrise 13% - Why?

IOI Corp 13% - Why so low?

6 comments:

brotherlone said...

they are not EPF's top equity holdings ;

it just their stake in an equity
13% of IOI Corp in value is > WCT's 23% > IJM's 20%

it would be more telling if they can provide their top holdings portfolio weightage

Salvatore_Dali said...

brotherlone,

pls read properly, the first sentence already says that ... don't highlight the obvious, it just shows how inaccurate your reading was.

brotherlone said...

yeah sorry, miss your headline... carmen soo's fault.

Salvatore_Dali said...

lol... sure thing, no hard feelings... words printed on the web shows no emotion ... cheers

brian.wong said...

It will be more transparent if average weighted price of the holdings are published as well.

Wong said...

Personally, I think Media Prima and Star is a good holding, provided that they have sufficient dividend. If I'm not mistaken, EPF have only 30% of asset in shares. And there is a young new guy incharge of investment decision.