According to the statistics released today by the Monetary Authority of Macao, on 30 June 2019, investment of Macao residents (including individuals, the government and other legal entities but excluding Macao’s foreign exchange reserves) in securities issued by unrelated non-residents reached MOP808.3 billion at current market value, representing a rise of 19.5% from end-2018 or 17.2% from end-June 2018. Among the various instruments of portfolio investment, equity securities (including mutual funds and investment trust units), long-term debt securities and short-term debt securities were valued at MOP269.2 billion, MOP508.9 billion and MOP30.2 billion respectively. As compared with end-2018, equity securities, long-term debt securities and short-term debt securities rose by 17.5%, 18.8% and 57.8% respectively.
By geographical distribution, the Asian region continued to occupy the largest share of Macao residents’ external portfolio investment, at 56.1%. The rest was mainly placed in the North Atlantic and Caribbean (21.3%), Europe (10.9%), North America (9.5%) and Oceania (1.9%).
Investment in securities issued by Mainland Chinese entities, including those securities listed on non-Mainland exchanges, continued to assume the leading position, occupying 37.0% of local residents’ portfolio investment outside Macao. Its market value increased by 14.2% from end-2018 to MOP299.5 billion. The investment consisted of MOP95.9 billion in equity securities, MOP182.4 billion in long-term debt securities and MOP21.1 billion in short-term debt securities, taking up 35.6%, 35.8% and 69.8% of the respective total. Meanwhile, the share of investment in securities issued by Hong Kong SAR entities rose from 12.7% to 13.2%; the corresponding market value rose by 24.5% to MOP106.6 billion, of which equity securities and long-term debt securities amounted to MOP55.9 billion and MOP48.4 billion respectively.
Macao residents’ portfolio investment in the North Atlantic and Caribbean continued to increase. The market value of investment in this region rose by 19.5% from end-2018 to MOP171.9 billion whereas its share in the total investment abroad stayed at 21.3%; the market value of portfolio investment in the British Virgin Islands grew by 16.5% to MOP86.5 billion.
Investment in European securities dropped by 0.1 percentage point to 10.9% in share but increased by 18.4% to MOP87.7 billion in market value from end-2018. Among the European countries, the portfolio investment in the United Kingdom, Luxembourg and Ireland took up larger portions, valued at MOP24.8 billion, MOP16.6 billion and MOP10.2 billion respectively.
The bulk of investment in North America was placed in the United States. The market value of Macao residents’ investment in US securities increased by 25.7% from end-2018 to MOP69.8 billion while its share in the total portfolio investment abroad rose correspondingly from 8.2% to 8.6%.
The market value of Macao residents’ investment in countries along the “Belt and Road” excluding Mainland China rose by 62.2% from end-2018 to MOP38.3 billion, equivalent to 4.7% of the total portfolio investment abroad. Meanwhile, the market value of portfolio investment in Portuguese-speaking countries was MOP413.4 million, which was placed in securities issued by entities in Portugal and Brazil.
The compilation of Coordinated Portfolio Investment Survey (CPIS), jointly conducted by the Monetary Authority of Macao (AMCM) and the Statistics and Census Service (DSEC), follows the methodology advocated by the International Monetary Fund.