Malaysia records four consecutive weeks of foreign net selling on Bursa Malaysia
Foreign fund outflows continued to weigh on regional equity markets, with Malaysia listed among Asian exchanges that recorded net selling by foreign institutions last week. On Bursa Malaysia, the net selling streak extended to four consecutive weeks, totalling RM270.2 million for the week ended 16 Oct 2026.
Highlights
- Foreign investors recorded net selling for four consecutive weeks on Bursa Malaysia, with the largest outflow of RM105.7 million on Monday in the week ended 16 Oct 2026.
- The three sectors with the highest foreign net inflows were financial services at RM88.5 million, healthcare at RM55.5 million, and transportation/logistics at RM52.8 million.
- Local institutions recorded net outflows of RM140.3 million, while retail investors extended net buying for eight consecutive weeks with inflows of RM410.5 million.
This article was translated from the original. Read the original version by our correspondent here.
Regional fund flow patterns for the week ended 16 Oct 2026
According to The Edge Malaysia, citing MBSB Investment Bank Bhd's weekly Fund Flow Report, foreign investors extended net selling across the eight Asian markets it tracks to three consecutive weeks, with total foreign net outflows amounting to US$28.32 billion.Taiwan led the net outflows at US$18.9 billion, followed by South Korea at US$8.33 billion, India at US$830.4 million, as well as Indonesia, Vietnam, Malaysia and the Philippines. In Malaysia, foreign institutions were net sellers on all five trading days during the week.
The largest outflow on Bursa Malaysia was recorded on Monday at RM105.7 million, followed by Wednesday at RM84.6 million, Friday at RM53.5 million, Thursday at RM14.0 million and Tuesday at RM12.4 million.
Key sectors and impact on local market participants
The three sectors recording the highest foreign net inflows were financial services at RM88.5 million, healthcare at RM55.5 million, and transportation and logistics at RM52.8 million. At the same time, the three sectors with the largest foreign net outflows were utilities at RM201.3 million, industrial products and services at RM131.3 million, and plantations at RM75.8 million.Local institutions, meanwhile, ended a three-week net buying streak after recording net outflows of RM140.3 million. Retail investors, on the other hand, extended their net buying to eight consecutive weeks, with inflows of RM410.5 million.
MBSB IB added that average overall daily trading volume showed broad changes across investor groups, with retail investor trading down 13.4%, while local institutions rose 4.4% and foreign institutions increased 4.8%.
In our earlier report on the weakness of the FBM KLCI, the Malaysian market traded lower as concerns over inflation and the direction of U.S. interest rates once again weighed on sentiment. We also highlighted persistent foreign selling pressure and weakness in technology stocks such as YTL Power and ViTrox, which further burdened the benchmark index.