Quantcast
Latest Stories

Biz Buzz: Reluctant bellwether

By

The SM group isn’t too eager to celebrate—at least not yet—its latest milestone.

Flagship holding firm SM Investments, in the last few trading days, has become the most valuable company in the Philippine stock market. This space has, of course, alluded to SM as a formidable challenger to long-time bellwether Philippine Long Distance Telephone Co. And so, alongside the market’s rise to record levels in the last few days, SM has also risen to the top of the blue chips’ roster.

Although the lead over PLDT in terms of market capitalization is still narrow at a range of P4 billion to P6 billion, more and more analysts are starting to proclaim a new bellwether. As of last Friday’s close, SMIC is valued by the market at P570 billion against PLDT’s market capitalization of P564.33 billion.

So, the group of “Tatang” Henry Sy Sr. not only rules the shopping mall, retailing and banking businesses in the Philippines, it also now dominates the local stock market. The long-running joke, which may no longer be funny, is that the Philippine capital may be changed to SM City.

But SM group’s Teresita Sy-Coson (also chairperson of Banco de Oro) will politely decline any congratulatory messages, downplaying this as a temporary thing brought on by volatile markets. She was just as coy in the third quarter of 2008, when the group’s banking arm Banco de Oro Unibank quietly edged out Metrobank as the country’s largest in terms of assets.

If it’s true that the market is always right (because it exists for itself), then Sy-Coson is letting the market speak for itself.—Doris C. Dumlao

HSBC on a roll

Good things seem to be happening to HSBC nowadays. The bank had, of course, recently announced the appointment of its first Filipino country head in the person of Wick Veloso and, in doing so, broke over a century of tradition of having only “gweilos” as top honchos.

Last week, HSBC’s local unit announced another milestone, having been recognized by the Philippine government as the best performing government securities eligible dealer (GSED) for 2012. “Best performing” is industry code, of course, to refer to the institution that records the highest sales volume.

The honor was bestowed last December by Finance Secretary Cesar Purisima and National Treasurer Rosalia de Leon, along with Christine Sanchez and Gisela Lood of the Bureau of Treasury. At the receiving end were Veloso, the bank’s new treasurer and head of global markets Dondi Baltazar, and senior vice president for interest rates trading Noel Malabag.

The award highlights the strong improvement in HSBC’s business of dealing in government bonds, given that its rank in the previous year stood at only No. 3 among GSED banks.

The award also comes after the bank pulled off last year what many thought was an impossible task: raising P80 billion from the local market (some of it raised internally) to execute San Miguel Corp.’s mammoth preferred shares issue.

Going forward, all eyes are now on Veloso who—as the bank’s first homegrown chief—is naturally expected to validate the collective wisdom of the top brass in Hong Kong and London of breaking long-held tradition.—Daxim L. Lucas

Speaking of tradition…

The Rotary Club of Manila held its first meeting of the year last Thursday and, as has become tradition in recent years, invited Bangko Sentral ng Pilipinas Gov. Amando Tetangco Jr. to give a luncheon address.

As has become the custom, the central bank chief also received a lot of praise from the Rotary members for his stewardship of the economy despite the problems abroad.

Not surprisingly, Tetangco answered a lot of questions from the floor about the strength of the peso (which was starting to hurt some in the room who had links to the export sector) and the real estate industry. Many asked if an asset price bubble was imminent (no such threat exists, the BSP governor said).

Sitting at the presidential table during the event, held at the Manila Polo Club, was Rotary stalwart Arsenio “Archit” Bartolome III who has since shed the unwieldy baggage from the collapse of Urban Bank over a decade ago (notwithstanding its motto “Beyond banking… lasting relationships”).

Nowadays, Bartolome is the owner of a successful and growing health maintenance organization known as Medicare Plus Inc. It’s motto? “Beyond healthcare … lasting wellness.”—Daxim L. Lucas

Get business alerts and a preview of Biz Buzz the evening before it comes out. Text ON INQ BUSINESS to 4467 (P2.50/alert).


Follow Us


Follow us on Facebook Follow on Twitter Follow on Twitter


Recent Stories:

Complete stories on our Digital Edition newsstand for tablets, netbooks and mobile phones; 14-issue free trial. About to step out? Get breaking alerts on your mobile.phone. Text ON INQ BREAKING to 4467, for Globe, Smart and Sun subscribers in the Philippines.

Tags: Amando Tetangco Jr. , Arsenio “Archit” Bartolome III , Business , change in management , HSBC , most valuable company , Philippines , Rotary Club of Manila , SM Group , SM Investments , Stock Market

  • Pwe Jade

    Why is Carmelita Pujeda of PUJEDA BUILDERS with office address at Tierra Pura, QC being cuddled by QC Hall officials?

    Ask around the grounds and she will tell you that her husband Alfredo Pujeda is well connected in BIR, LRA, Engineer’s office – agencies identified to be most corrupt!

    Office, home building business of the Pujeda is flourishing by not paying taxes, no building permit, no respect of safety and the community.

    Check their projects in Jem 2 and Gloria 4 in Pasong Tamo.  Barangay officials will give the list of violations.

    Why oh why Mr. Bautista???  Money, politics?

    • Weder-Weder Lang

      Tatay ni Bautista na fixer o si Bautista mismo?



Copyright © 2014, .
To subscribe to the Philippine Daily Inquirer newspaper in the Philippines, call +63 2 896-6000 for Metro Manila and Metro Cebu or email your subscription request here.
Factual errors? Contact the Philippine Daily Inquirer's day desk. Believe this article violates journalistic ethics? Contact the Inquirer's Reader's Advocate. Or write The Readers' Advocate:
c/o Philippine Daily Inquirer Chino Roces Avenue corner Yague and Mascardo Streets, Makati City, Metro Manila, Philippines Or fax nos. +63 2 8974793 to 94
Advertisement
Advertisement

News

  • Camilla’s brother dies of NYC head injury
  • Nepal officials go to Everest to try to end crisis
  • Escudero ready to defend self should name appear in Napoles’ list
  • Obama calls for peaceful end to island dispute
  • Russia not abiding by agreement on Ukraine—Obama
  • Sports

  • Promoters Dela Hoya, Arum in talks for Pacquiao-Alvarez—report
  • Benzema guides Madrid to 1-0 win over Bayern
  • Suns’ Goran Dragic win NBA’s Most Improved Player award
  • Heat go up 2-0, hold off Bobcats 101-97
  • Ronaldo shakes off injury fears to play Bayern
  • Lifestyle

  • Photos explore dynamics of youths’ sexual identity
  • 12th Philippine Food Expo set at the World Trade Center
  • No tourist draw, Malang the croc will remain wild
  • The best flavors of summer in one bite, and more
  • Homemade yogurt, bread blended with pizza, even ramen
  • Entertainment

  • Has Ai Ai fallen deeply with ‘sireno?’
  • Sony developing live-action Barbie comedy
  • California court won’t review Jackson doctor case
  • Return of ‘Ibong Adarna’
  • Practical Phytos plans his future
  • Business

  • Facebook profits triple as mobile soars
  • Insular Honors Sales Performers at Testimonial Rites
  • Apple increases stock buyback, will split stock
  • Cost-recovery provisions for affected gencos urged
  • This time, BIR goes after florists
  • Technology

  • Enrile in Masters of the Universe, Lord of the Rings?
  • Top Traits of Digital Marketers
  • No truth to viral no-visa ‘chronicles’
  • ‘Unlimited’ Internet promos not really limitless; lawmakers call for probe
  • Viber releases new design for iPhone, comes to Blackberry 10 for the first time
  • Opinion

  • Editorial cartoon, April 24, 2014
  • Talking to Janet
  • Respite
  • Bucket list
  • JPII in 1981: walking a tightrope
  • Global Nation

  • PH-HK relations repaired, but families of victims still being courted
  • Filipinos in Middle East urged to get clearance before returning
  • PH seeks ‘clearer assurance’ from US
  • China and rivals sign naval pact to ease maritime tensions
  • What Went Before: Manila bus hostage crisis
  • Marketplace