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Strategies & Market Trends : HONG KONG -- Ignore unavailable to you. Want to Upgrade?

To: Tom who wrote (1447)	3/20/1998 2:08:00 AM
From: Stitch	Read Replies (1) \| Respond to of 2951

Tom, Don't have much on them. MISC stands for Malaysian International Shipping Corp. they are another local conglomerate with plantation holdings as well as (obviously) shipping lines. They are up 20 sen in a down market today trading at 5.80 presently. maybe they warrant a closer look. You can review balance sheet and other scanty information at the following URL. klse-ris.com.my best, Stitch

To: Tom who wrote (1447)	3/20/1998 2:36:00 AM
From: Tom	Read Replies (2) \| Respond to of 2951

I'm aware of a post I made not long ago, stating that I would mention why I was so bullish on Malaysia, so I probably should. Gladly, it will be brief. As I tired some time ago of chasing equity shares in developing markets (I rarely invest in U.S. equities), I attempt to meter only the macro-economic issues, political and historical factors, and how a nation and the surrounding region may be effected by power tactics and strategies. By "power tactics and strategies" I mean agendas developed within globally influential groups. INTRO I admittedly had some faith that Thailand, last year at this time, would not accept responsibility for but a fraction of the private sector debt that had accumulated under such obviously irresponsible circumstances. I was mistaken. This was, in fact, their final undoing. Note above that it was "private sector" debt. Also noteworthy is that the Thai government, or public sector, was not in a deficit situation. MALAYSIA The banking sector has been reported in debt to the tune of 150% of GDP. Yes, this is an awful amount. Yet it is an amount that time, leadership commitment, and fundamental economic resiliency can whittle away. It is unfortunate for Thailand that during the past two decades they did not make a better effort to develop all of the many national resources that make for a resilient economy. Advantage Malaysia 1) In a land of 20 million consumers and increasing labor and industrial productivity, inflation can be managed by the nation's capable monetary people and authoritarian (sic) fiscal measures. 2) Many nations in severe financial straits (no pun intended) have been further crippled by their historical inability to collect tax revenues. Such is not the case in Malaysia. 3)No IMF involvement. 4) Kuala Lumpur has re-stated there will be no bail-out for banks in financial trouble, and I believe that recent moves within the banking sector suggest there may be a bit of truth in that statement. 5) Malaysia has an abundance of natural resources that they attempt to manage well. 6) Anwar Ibrahim 7) Genuine interest and financial participation afforded by neighboring economies, e.g. Taiwan. 8) Educated labor force. 9) Current and near-term political stability. Additionally, I admit that I have not had sufficient time to invest in the learning of any significant political evolution that I at one time thought certain, if only for the multi-cultural composition of the electorate and the level of interest and activity that national polls always seem to generate. My best guess would be that this too appears to be managed well enough. All of the points I've mentioned combine to provide evidence of a resilient market, and one worth taking some share in. Truly, Tom