☕️ Unscheduled water cuts in Selangor due to pollution - check if your area is affected
Parliament meeting postponed by a week to Sep 13. Selangor government quietly degazette a forest reserve for commercial interest. Meet Swimply - the Airbnb of swimming pools.
1. MARKET SUMMARY
2. NUMBERS AT A GLANCE
GBP560,000 (USD770.2k) - Cristiano Ronaldo’s weekly salary after returning to his old club, Manchester United, making him the highest-paid player in the English Premier League history. In total, that’s USD43 mil a year from kicking a ball on the field.
USD47.08 bil - the size of the global instant noodles market in 2020 and is expected to grow at a CAGR of 5% from 2021 to 2026.
The UK government managed to rescue 173 cats and dogs out of Afghanistan but critics are asking why were animals prioritised over humans.
1.01 billion people — the number of Internet users in China, the breakdown below:
3. COVID-19 SUMMARY
Selangor government handed over 20,000 of the Covid-19 vaccine to Penang to help with the island state’s vaccination progress.
Malaysian Anti-Corruption Commission (MACC) will investigate claims of individuals bribing doctors for vaccination certs to those who did not receive their Covid-19 jabs.
PM Datuk Seri Ismail Sabri Yaakob stressed that all factory owners who employ foreign workers should set up their own vaccination centre (PPV) at their premises to achieve herd immunity at their factory. The government only allows factories to operate until at least 80% of their employees had been vaccinated.
This is rather short-sighted as setting up PPVs could be costly to the business owners and they may not have the expertise to do so. Perhaps the government should provide mobile PPVs at the factories at the business owners’ request.
4. IN MALAYSIA 🇲🇾
Politics and Local
463 areas in Selangor will be affected by unscheduled water cuts due to odour pollution detected at one of its water pump stations, said Air Selangor. The list of affected areas can be found at www.airselangor.com or the Air Selangor app.
Dewan Rakyat secretary Dr Nizam Mydin Bacha Mydin said the next Parliament meeting has been postponed to Sept 13, 2021. The parliamentary meeting that will take place for 17 days (initially 15 days) from Sept 13 to Oct 12 will start with the King’s Royal Address. One glaring omission — the confidence motion.
Dewan Rakyat Speaker Datuk Azhar Azizan Harun said the additional two days allocated is to give lawmakers more time to settle all government affairs and motions brought forth at the sitting.
Selangor government’s discreet move to degazette more than half (54%) of the Kuala Langat (North) forest reserve in May 2021 has gotten criticised by several quarters from environmental groups to politicians.
The forest reserve is a source of food, medicine and livelihood for Temuan communities in the area. The decision will impact the Orang Asli communities. Environmental groups cite it will cause biodiversity loss as the forest reserve is a peat swamp forest.
Hee Loy Sian (Pakatan Harapan-Kajang) - the Selangor exco member in charge of tourism, environment, green technology revealed Gabungan Indah Sdn Bhd will develop 494.7ha of the excised forest reserve. Malaysiakini’s team revealed Gabungan Indah is owned wholly by Venturescape Sdn Bhd (incorporated on Dec 1, 2020), which in turn is wholly owned by Perdana Parkcity - the developer of Desa Parkcity in Kuala Lumpur.
In response to Elizabeth Wong (Harapan-Bukit Lanjan), Hee said a consultant mentioned the “replacement” forest reserve has almost the same biodiversity as the Kuala Langat forest reserve.
This is a surprising move from the statement government as The Selangor State Legislative Assembly had in November 2020 approved a motion urging the state government to protect and preserve gazetted forest reserves in the state.
Johor ruler Sultan Ibrahim Ibni Almarhum Sultan Iskandar said in a statement that the new conditions set for Malaysia My Second Home (MM2H) programme is too restrictive and will drive investors and tourists away from Malaysia. The ruler has urged the government to review the new MM2H conditions.
After UMNO holds the top post of the new government, the postponement of UMNO party elections for the 2021/2023 term as decided by the Supreme Council is in order after UMNO secretary-general Datuk Seri Ahmad Maslan was informed of the matter via a letter from the Registrar of Societies (RoS) director-general Jasri Karim.
Will Syed Saddiq’s Malaysian United Democratic Alliance (MUDA) finally be allowed to be a political party? Well, the new cabinet still has the same Home Affairs Minister.
Porsche has officially announced it will set up CKD operations in Malaysia, the first outside of Germany. Local assembly will be done together with Porsche’s long-standing local official distributor Sime Darby. The operations are set to begin from 2022 onwards. Will we see more affordable Porsches in 2022?
In its first-ever Pre-Budget Statement (PBS), the Ministry of Finance (MoF) has hinted the government is considering measures to increase revenue for the upcoming Budget 2022 which includes increased tax compliance, as well as address the issue of revenue leakages, especially involving the smuggling of high-duty goods estimated at RM5 billion per annum. Can someone please cue the ABCD…GST song?
Three banks reported solid numbers for their respective quarters that ended June 30, 2021. CIMB Group Holdings Bhd netted a profit of RM1.08 bil for 2QFY21. AMMB Holdings reported a net profit of RM386.6 mil for 1QFY22. Hong Leong Bank Bhd posted a net profit of RM689.8 mil for 4QFY21. Too bad, the moratorium is still not interest-free.
Najib Razak has claimed credit for the recent trend reverse of our local stock exchange index (KLCI) and USDMYR after the change in the new recycled cabinet. Sorry to break his bubble but the greenback is trading near three-week lows against a basket of currencies since Federal Reserve Chair Jerome Powell's comments at the Jackson Hole conference on Friday that the US central bank could scale back its bond-buying programme this year.
5. AROUND THE WORLD 🌎
Zoom, the video conferencing giant, quarterly revenue surpassed USD1 bil for the first time in the company’s history. Despite this, its shares fell 12% in after-hours trading over post-pandemic prospects as company officials said businesses and customers were starting to spend less as opportunities for in-person meetings start to resume and some metrics supercharged by the pandemic has begun to normalise.
Some highlights of its Q2 performance:
Revenue came in at USD1.02 bil, up from USD663.5 mil YoY
Earnings rose to USD317 mil, up from USD186 mil YoY
504,900 customers with more than 10 employees, up from 497,000 in the April quarter
2,278 customers generated more than USD100,000 in revenue over the past 12 months, up from about 1,999 in the previous quarter.
In its bid to transform from an application to a platform, Zoom has launched a USD100 mil investment fund to invest in startups building tools on top of its platform, writing a check size between USD250k to USD2.5 mil and has announced its first batch of investments.
Shares of Robinhood, the recently listed trading platform, fell as much as 9% on Monday following comments from SEC Chairman Gary Gensler on Robinhood’s business model. In an interview with Barron’s, Gensler said a ban on payment for order flow (PFOF) model “is on the table”.
Robinhood's primary attraction to investors is due to its 0% brokerage as compared to others that charge upwards of USD9.99 with 75% of its revenue in 2020 derived through this model. PFOF is a practice where brokers route trade orders from customers to market makers, who then execute trades and collect a small spread from these transactions. Gensler’s told Barron’s that this practice has “an inherent conflict of interest” as these market makers are able to view these trades and matching them to serve their own interests, instead of offering the most attractive pricing to the customers.
Airbnb for swimming pools? It’s for real and there is a market for it. Meet Swimply, an online pool-sharing platform that connects owners of private residential pools with people who want to use one. Renters can rent by the hour or for the day. Apart from recreational purposes (ie. sports, gathering), some pool owners allow filming and shoots.
The company was founded by Bunil Laskim when he was 20 in 2018 (interesting read here). It has recorded 75,000 bookings in 2021 so far with more than 20,000 pools listed across the US, Canada and Australia with 125 markets alone in the US. The platform receives 100 new requests for pool listings each day, up 40x since last year. In May, Swimply announced its USD10 mil Series A funding round.
News in Brief:
To combat video games addiction among teenagers, China’s top watchdog for gaming and other forms of online media has formally issued a new rule to limit gaming time for under-18s to 1 hour a day on Fridays, Saturdays, Sundays and public holidays.
Have you been shopping online a lot on Shopee during the pandemic? You may have contributed to the wealth of its co-founders. Forrest Li, has become Singapore’s richest person with a net worth of USD19.8 bil from his holdings in Sea Ltd, the parent company of Shopee. Li’s other 2 co-founders, Gang Ye, chief operating officer, is worth USD10.8 bil, whale Chen. Shopee’s chief product officer has a net worth of USD3.6 bil. Sea’s stock has surged 20x since its listing in 2017.
Russian cosmonauts have discovered cracks in a module on the Russian side of the International Space Station. It’s unclear how extensive the new cracks are or what might have caused them. This is the latest series of issues with the Russian modules since Russia’s side of the space station hosts some of the oldest components and was the first piece of the space station to launch to orbit in 1998.
6. FOR YOUR VIEWING PLEASURE 👁👁
What happens when a bullet is put into the head?
Merdeka is not truly Merdeka until the country is freed from corrupted and incompetent leaders.
If you’re interested to understand more about the current commodities supercycle, the team at Stockbit has arranged a briefing session with Adrian Low from OM Holdings Limited (OMH) to get to know & understand the industry and the business better! Join them tonight at 8:30 pm!