Previously, we looked at the largest stock markets in Southeast Asia. That got me thinking if there were missed opportunities closer to home.
So, I went to dig out the performance history of the various Southeast Asia markets.
Using their key market index as a proxy, let’s find out which Southeast Asia stock market index grew the most in the past 10 years?
Which Southeast Asia Market Index Grew The Most In The Past 10 Years?
| Country | Stock Market Index | 10 Year Performance |
|---|---|---|
| Indonesia | Jakarta Stock Exchange Composite Index (IDX) aka Indeks Harga Saham Gabungan (IHSG) | 60.5% |
| Thailand | SET Index | 10.9% |
| Philippines | PSE Index (PSEi) | 16.9% |
| Singapore | Straits Times Index (STI) | 0% |
| Vietnam | Vietnam Local Index (proxy) | -3.16% |
| Laos | LSE Index | -11.1% |
| Cambodia | CSX Index | -13.6% |
| Malaysia | Bursa Malaysia KLCI | -16.2% |
| Myanmar | MYANPIX Index | cannot find data |
Indonesia: Jakarta Stock Exchange Composite Index (IDX)
Past 10 year performance: 60.5%
The IDX index is a composite index of the Jakarta stock exchange and consists of all the stocks listed on the exchange. Here’s how it performed in the past 10 years:
There isn’t a direct ETF that lets us invest in the entire Indonesia index.
You can invest in the Indonesia market via the MSCI Indonesia ETF or VanEck Indonesia Index ETF. However, these track a smaller portfolio of the largest listed companies. Their cumulative 10 year performance is about 18%.
Thailand: SET Index
Past 10 year performance: 10.9%
The SET index is a composite index of the Thailand stock exchange and consists of all the stocks listed on the exchange. Here’s how it performed in the past 10 years:
Likewise, there isn’t a direct ETF that allows us to invest in the SET index. iShares MSCI Thailand ETF tracks a smaller representative portfolio of about 132 constituents. The cumulative past 10 year performance was about 24.5%
Philippines: PSE Index (PSEi)
Past 10 year performance: 16.9%
The PSEi index is a market cap weighted index of the 30 largest stocks on the Philippines stock exchange (PSE). Here’s how it performed in the past 10 years:
An ETF that tracks the PSEi directly is the First Metro Equity ETF (FMETF) which was launched in 2013 and trades on the PSE. According to MarketWatch, the FMETF returned about 13% in the past 10 years:
If you don’t have access to the PSE, the MSCI Philippines ETF (EPHE) which is listed on NYSE delivered a cumulative 10 year return of -8.48%.
Singapore: Straits Times Index (STI)
Past 10 year performance: 0%
The Straits Times Index (STI) doesn’t require too much introduction (if you’re new to it, read our STI guide here). The STI is a market cap weighted index of the 30 largest stocks on the Singapore Stock Exchange (SGX). Here’s how it performed in the past 10 years:
You may also want to read about the MSCI Singapore ETF which could be a better alternative to the STI ETF.
Vietnam: Vietnam Local Index
Past 10 year performance: -3.16%
The Vietnam Ho Chi Minh stock index (VN index) was a market cap weighted index of all the companies listed on the Ho Chi Minh Stock exchange which was recently combined and place under the new Vietnam Stock Exchange launched in 2020.
There isn’t a new index available currently. I used the Vietnam Local Index which is a separate index that VanEck uses to track the Vietnam market. Here’s how it performed in the past 10 years:
Laos: Lao Securities Exchange (LSE) Index
Past 10 year performance: -11.1%
The Lao Securities Exchange (LSE) index is a composite index of the Laos stock exchange and consists of all the stocks listed on the exchange. You can find the latest details of the index are presented on the LSE website.
Cambodia: Cambodia Securities Exchange (CSX) Index
Past 10 year performance: -13.6%
The Cambodia Securities Exchange (CSX) index is a composite index of the Laos stock exchange and consists of all the stocks listed on the exchange. You can find the latest details of the index are presented on the CSX website. Here’s how it performed in the past 10 years:
Malaysia: Kuala Lumpur Composite Index (KCLI)
Past 10 year performance: -16.2%
The KLCI is a market cap weighted index of the 30 largest stocks on the Bursa Malaysia. Here’s how it performed in the past 10 years:
You can invest in the KCLI via the FTSE Bursa Malaysia KLCI ETF (0820EA.KL) which is listed on Bursa Malaysia.
Myanmar: MYANPIX Index
I couldn’t find historical data for the MYANPIX index which was launched in 2016.
Which Southeast Asia market index performed the best in the past 10 years?
We know that Singapore’s STI tend to move in a very tight range, so it is not surprising that the 10-year return was 0% at the point of writing.
What was surprising is the growth of Indonesia’s stock market which delivered >60% in the past 10 years! That said, there isn’t a direct ETF that lets us invest in the Indonesia index. The closest ones are the MSCI Indonesia ETF or VanEck Indonesia Index ETFs. These track a smaller portfolio of the largest listed companies, but their 10 year performance is only in the range of ~1%.
There are two takeaways here:
- There are many investing opportunities out there, we just need to search for them.
- Outperformance usually come from the smaller stocks (we share more historical evidence about the size factor here)
Keep at it, all the best in your investing journey!
p.s. we frequently share how to find the best stocks to invest now, join us at one of our upcoming live webinars here!
