The Philippine Stock Exchange (PSE) closed out 2024 on a high note, marking the first year-on-year gain since before the pandemic, as investors gained confidence despite external and internal challenges. The benchmark index, the PSEi, finished at 6,528.79 points, up 78.75 points or 1 percent from its 2023 close of 6,450.04 points, signaling a promising return to growth.
Key indices, including the PSE MidCap and PSE DivY, saw even stronger gains, increasing by 29.1 percent and 22.4 percent, respectively. This reflects a broader recovery, with domestic market capitalization climbing by 11 percent, reaching P14.57 trillion from P13.1 trillion in 2023.
Despite these positive movements, the market faced persistent pressures throughout the year. Daily average turnover remained stable at P6.1 billion, slightly up from the previous year’s P6.09 billion. The market also continued to experience foreign selling, though the outflows narrowed significantly to P23.18 billion, down from P53.65 billion in 2023.
PSE president and CEO Ramon S. Monzon attributed the volatility to both internal economic conditions and global geopolitical uncertainties. “Internal and external economic and geopolitical headwinds weighed on the market for most of the year, which in turn prompted IPO listing applicants to defer their public offering,” Monzon said. He noted that a favorable shift in U.S. economic policies could potentially boost foreign buying and revive interest in IPOs.
Total capital raised from primary and secondary offerings dropped by 41.6 percent, falling to P82.37 billion from P140.95 billion in 2023. Only three companies went public, including OceanaGold (Philippines) Inc., Citicore Renewable Energy Corp., and NexGen Energy Corp.
Sectoral performance was led by the Services index, which surged 29 percent, followed closely by the Financials index. Monzon emphasized the PSE’s ongoing initiatives to enhance market liquidity, including the launch of Global Philippine Depositary Receipts and the acquisition of Philippine Dealing System Holdings Corp. The latter aims to streamline operations and foster a unified marketplace for both equity and fixed-income products.
“We will remain active in our IPO campaign to get more companies listed and ensure a vibrant, dynamic market,” Monzon stated, highlighting the exchange’s commitment to fostering growth and attracting investment.
While the year’s results reflect cautious optimism, the direction of global economic policies—especially in the U.S.—remains a crucial factor for market outlooks as the PSE enters 2025.
