KUALA LUMPUR: The Securities Commission Malaysia (SC) and Bursa Malaysia have come into the fray to reassure investors following a slew of limit downs in selected stocks since last week.
The two regulators said they are keeping a close watch on the current state of the market due to increased volatility in some stocks.
"The SC and Bursa Malaysia assure investors that the Malaysian stock market fundamentals remain strong and there should not be any cause for concern," they said in a joint statement today.
They said that the recent significant decline in share prices is limited to a few small-cap stocks and not widespread.
The affected stocks constituted around 0.17 per cent of the total market capitalisation and 8.3 per cent of the total traded value for the year.
The SC and Bursa Malaysia advised investors to make informed investment decisions based on fundamentals and continue to refer to disclosures and announcements made by listed companies on www.bursamalaysia.com.
In addition, investors should also take note of companies replies to the Unusual Market Activity (UMA) queries issued by Bursa Malaysia.
"The SC and Bursa Malaysia conduct proactive surveillance of corporate transactions and disclosures, as well as real-time monitoring of all trading activities, to ensure an efficient, fair, and orderly market.
"Where irregularities are detected, the SC and Bursa Malaysia will not hesitate to take the necessary regulatory actions to preserve the integrity of the market."