Record Phisix? Bear Markets Rule the Holding Sector!!! (43% of Index issues and 55% of the Overall Sector)

The more I dig, the more I unearth evidence that record Phisix hardly has been what it stands for, but instead has signified as ‘headline effects’ from syndicated pumps.

Measuring actual performances of the issues from the broad market tell us of the dominant sentiment.

The odd thing is that the publicized record Phisix stands diametrically opposed to the prevailing sentiment.

And that sentiment hasn’t been sideways movements or consolidation but rather of BEAR MARKETs—exactly the opposite of what record Phisix epitomizes.

I recently pointed to BEAR Markets overwhelming in command of financial-banking in firms constituting both the sector’s index and from the broader non-index aspect. 

Bears have also asserted control of the highly acclaimed property sector (again in the quantitative context of the sector’s index and of the overall or non index sector’s performance)

Now I present the holding sector.

The holding sector has the largest representation in the PSEi index with 35.74% weighting as of today’s close. Ten of the 30 PSEi composite members are from the sector. Importantly, 6 of the 10 are in the top 15. And many of the six have been favorites of index managers.

Below is the breakdown of the holding listed firms as part of the index (left) and of the overall sector (right). 

Reference prices are based on yesterday’s close (May 12) [based on PSE monthly January 2015 report]

Legend and definition:

-Bear Market (red): 20% decline from recent (mostly 2012-15) highs

-Record highs (record): stock prices at all-time highs (green)

-Uptrend (UPT): stock price on an uptrend but at non record highs

-Sideways: neither a bear market nor an uptrend/record high 

Here is the summary of the above.

Only 28.57% of index issues have been at record highs. This compares to a staggering 42.86% in bear markets! On the broader level, a mere 22.5% have been at landmark highs as against a stunning bear market share of 55%!!!

In short, it has not been the bulls in command but the BEARs! Bears ARE the SILENT MAJORITY!

The charts of holding index firms under the BEAR MARKET spell… 

Of the 6 issues above, 3 have been part of the PSEi benchmark, specifically, LTG, MPI and San Miguel.

Although I categorized Alliance Global (AGI), another PSEi composite member, as sideways, because the firm has bounced backed from the bear market territory, the rebound appears to be fading or in trouble. And if AGI becomes a recidivist bear, then this would mean 4 PSEi issues under bear markets.

Now for space considerations, I will present only 5 of the biggest non-index holding companies (based on market cap weights as of the end December 2014) again under the control of the BEARs.

 

The foundations of rigged record Phisix being corroded by the bears!