This post was originally published on this site

© STAR/File Over 2/3 of stock market accounts now online – PSE

MANILA, Philippines — Online stock market accounts have outpaced their traditional counterparts as more investors prefer to invest in the local bourse through online channels.

PSE president and CEO Ramon Monzon said the exchange would continue to enhance online services as more investors prefer to invest in the stock market online.

“The preference for opening online accounts continues to rise since technology has made investing more accessible to investors. At the PSE, we also continue to enhance and develop online services that will benefit the investing public,” Monzon said.

Latest data from the Philippine Stock Exchange (PSE) showed that online stock market accounts cornered 67 percent of the total accounts last year, the third consecutive year of outpacing non-online accounts.

Online accounts increased by nearly 20 percent to 936,200 while non-online accounts went up by 3.3 percent to 460,553, PSE data showed.

Online accounts comprised 782,118 of total stock market accounts while non-online accounts were at 445,920.

Year-on-year, stock market accounts grew by 13.7 percent to 1.39 million from 1.23 million in 2019.

Retail investors cornered the bulk of the accounts at 1.37 million or 98 percent of the total stock market accounts while institutional investors owned 2.1 percent or 29,898 accounts.

In terms of age, investors in the 30 to 44 age group held 45.6 percent of stock market accounts, followed by investors aged 18 to 29 at 22.5 percent.

Retail investors earning less than P500,000 annually made up 61 percent of stock market account holders while 22 percent of retail accounts were owned by those with an annual income of P500,000 to P1 million.

Local investors made up for 1.375 million or almost 99 percent of total stock market accounts.

The number of active accounts likewise increased as the pandemic prompted more market participation.

“We noted that there was a 35.6 percent increase in the number of active accounts last year. The pandemic prompted retail investors to actively participate in the stock market,” Monzon said.

In 2020, average daily number of trades rose by 33.7 percent while retail participation surged by 47.8 percent year-on-year.

Domestic investors had a 98.3 percent share of stock market accounts.

The biggest number of domestic investors were based in Metro Manila at 75.7 percent, followed by Luzon at 13.5 percent then Visayas at 5.7 percent and Mindanao at 3.4 percent.

Overseas investors held the remaining 1.7 percent of the shares.

The top five nationalities of foreign investors were Chinese, Japanese, American, British and Korean.