Global markets saw heightened volatility in April, as the Fed’s hawkish stance and disappointing earnings results brought markets into a 4-week long decline.  In China, continuous support from the central government was insufficient to offset the economic impacts of prolonged lockdowns, with the Chinese Yuan sliding to its biggest monthly drop last month. However back home, sentiment was reversed as markets benefitted from economic reopening, while REITs also continued to gain as the world transitions into the endemic phase of COVID-19. Commodities wise, gold prices gained last month as investors seek shelter in the safe haven asset amid heightened volatility.

In the News

  • Market sentiment in April was dominated by the hawkish stance of the Feds and disappointing earning results across the board.
  • Despite its rate hike in March, inflationary pressures remain at a 40-year high, fuelling expectations of more rate hikes throughout this year.
  • Most major indices in the US saw 4-consecutive weeks of losses last month, as markets battled extreme volatility throughout the month.
  • The S&P 500 index dipped 6.17% in MYR terms, while the tech focused Nasdaq Composite Index and highly concentrated FANG+ Index saw double digit losses at 10.76% and 16.55% respectively in MYR terms.
  • The 0831EA, which aims to provide -100% exposure to the FANG+ Index saw 20.16% in gains last month.
  • Markets in China continued its negative trend in April, as the longer than expected lockdown in the region and its subsequent economic impacts of its zero-COVID policy were strongly felt in April.
  • Consequently, the Chinese Yuan saw its biggest monthly drop on record as investors flocked out of China amid lockdown uncertainties.
  • New China sectors fared better than the old, as continuous support was seen from the central government to encourage the “healthy development” of the beaten down tech sector.
  • The S&P New China Sectors ex A Share Index, which provides exposure into into sectors in the new economy outperformed the broader market to gain 0.32% in MYR terms last month, while the broader CSI300 and the Shanghai Composite Index dipped by 6.12% and 7.53% respectively in MYR terms.
  • Locally, markets managed to defy global sentiment, outperforming regional peers to end in the green as the reopening of international borders and the country’s transition into an endemic phase boosted sentiment.
  • The Dorsey Wright Technical Leaders Index outperformed regional peers to gain 1.22% last month while the broader KLCI index upped marginally by 0.82%.
  • The REITs sector continued to perform last month, as economic reopening continued to gain momentum. The MSCI AC Asia ex Japan IMI / EQ REITs HDY Tilt Cap managed to gain 1.09%, while the 0837EA saw 0.47% gains in April.
  • Gold prices saw refreshed buying momentum in April amid heightened volatility, with investors seeking refuge in the save haven asset.
  • The LBMA Gold Price Index ended the month 2.42% in the green in MYR terms, while the 0828EA upped 3.03%, bringing its YTD gains up to 10.94%.

On the Economic Data Front

US Economy shrinks with record trade deficit and inventory drawdown, but recession is not expected.

  • Advanced estimates show that the economy contracted at an annualised rate of 1.4% in Q1, well below expectation of a 1.0% expansion.
  • Recession is unlikely in the near term, as consumer spending and business investments saw better than expected growth.
  • The PCE index eased to 5.2% Y-o-Y in March to its first deceleration in a year, indicating an ease in inflation pressures. 

China Economy saw expansion in Q1 uncertainties

  • The economy grew by 4.8% Y-o-Y in Q12022, up from the 4.0% expansion seen in 4Q2021.
  • Manufacturing PMI dropped by 2.1 to end at 47.4 in April, below expectations of 48, while Services PMI dropped by 6.5% to 41.9 as extended lockdowns saw a steep decline in demand.


 ETF strategies at TradePlus


A look at the performance of TradePlus ETFs, and Global Indices

Learn more about TradePlus ETFs
+(60) 12 606 8685
TradePlus ETF


Disclaimer: This article has been prepared by AHAM Asset Management Berhad (“AHAM Capital”) specific for its use, a specific target audience, and for discussion purposes only. All information contained within this presentation belongs to AHAM Capital and may not be copied, distributed or otherwise disseminated in whole or in part without written consent of AHAM Capital. The information contained in this presentation may include, but is not limited to opinions, analysis, forecasts, projections and expectations (collectively referred to as “Opinions”). Such information has been obtained from various sources including those in the public domain, are merely expressions of belief. Although this presentation has been prepared on the basis of information and/or Opinions that are believed to be correct at the time the presentation was prepared, AHAM Capital makes no expressed or implied warranty as to the accuracy and completeness of any such information and/or Opinions. As with any forms of financial products, the financial product mentioned herein (if any) carries with it various risks. Although attempts have been made to disclose all possible risks involved, the financial product may still be subject to inherent risk that may arise beyond our reasonable contemplation. The financial product may be wholly unsuited for you, if you are adverse to the risk arising out of and/or in connection with the financial product. AHAM Capital is not acting as an advisor or agent to any person to whom this presentation is directed. Such persons must make their own independent assessments of the contents of this presentation, should not treat such content as advice relating to legal, accounting, taxation or investment matters and should consult their own advisers. AHAM Capital and its affiliates may act as a principal and agent in any transaction contemplated by this presentation, or any other transaction connected with any such transaction, and may as a result earn brokerage, commission or other income. Nothing in this presentation is intended to be, or should be construed as an offer to buy or sell, or invitation to subscribe for, any securities. Neither AHAM Capital nor any of its directors, employees or representatives are to have any liability (including liability to any person by reason of negligence or negligent misstatement) from any statement, opinion, information or matter (expressed or implied) arising out of, contained in or derived from or any omission from this presentation, except liability under statute that cannot be excluded.

Warning Statement: A copy of the Prospectus / Supplemental Prospectus for the TradePlus Shariah Gold Tracker and TradePlus S&P New China Tracker, the Prospectus for the TradePlus DWA Malaysia Momentum Tracker and TradePlus MSCI Asia Ex Japan REITs Tracker, as well as the Master Prospectus for the TradePlus NYSE® FANG+ Daily (2x) Leveraged Tracker, TradePlus NYSE® FANG+ Daily (-1x) Inverse Tracker, TradePlus HSCEI Daily (2x) Leveraged Tracker and TradePlus HSCEI Daily (-1x) Inverse Tracker (collectively known as the “TradePlus L&I ETFs”) can be obtained at Affin Hwang Asset Management's (“AHAM Capital”) website at Investors are advised to read and understand the contents of the Prospectus dated 28 November 2017 and Supplemental Prospectus dated 2 July 2019 (for TradePlus Shariah Gold Tracker), Prospectus dated 15 January 2019 and Supplemental Prospectus dated 2 July 2019 (for TradePlus S&P New China Tracker), Prospectus dated 9 July 2020 (for TradePlus DWA Malaysia Momentum Tracker), Prospectus dated 9 July 2020 (for TradePlus MSCI Asia Ex Japan REITs Tracker), as well as the Master Prospectus dated 26 November 2019 (for the TradePlus L&I ETFs) before investing. There are fees and charges involved when investing in the funds stated herein. Investors are advised to consider and compare the fees and charges as well of the risks carefully before investing. Investors should make their own assessment of the risks involved in investing and should seek professional advice, where necessary. The price of units and distribution payable, if any, may go down as well as up and past performance of the funds should not be taken as indicative of their future performance. The Securities Commission Malaysia has not reviewed this material and takes no responsibility for the contents of this material and expressly disclaims all liability, however arising from this material.

You may refer to the relevant Licensing Disclosure Statement & Conditions at the respective webpages for each fund available on