Investor performance for semiconductor giants ‘strong’ in July

Investors are also seeing an opportunity in Taiwan Semiconductor Manufacturing Company.

The Singaporean investor performance for semiconductor giants was “strong” in July amidst the declined investor exposure to US markets, financial services firm, TD Ameritrade, said in its latest report.

It cited that semiconductor giants Nvidia (NVDA) and Advanced Micro Devices (AMD) performed strongly.

“TD Ameritrade Singapore mirrored the overall TD Ameritrade client population in net buying the two companies,” it said.

The broker also said TD Ameritrade Singapore clients found an opportunity in Taiwan Semiconductor Manufacturing Company.

In July 2022, the investor movement index (IMX) for Singaporean investors went down again to 4.35 from 4.88 in June.

Total IMX for all TD Ameritrade investors measured 4.68, which fell from 5.10 in June.

TD Ameritrade Singapore CEO Greg Baker said investors in the US markets may be optimistic but inflation and economic recession in the US still looms.

“Investors in the U.S. markets had reason to be optimistic in July - in particular, corporate earnings by and large avoided any of the anticipated ‘worst case’ scenarios – but the threat of inflation and a possible economic recession in the U.S. has caused investors to look closely at their tolerance for risk and in many cases, gravitate towards established, ‘blue chip’-style names.”

“Despite finishing strong at the end of the month, the markets were volatile in the face of macroeconomic concerns in July and TD Ameritrade clients in Singapore continued reducing exposure as a result,” he added.

One of the favoured firms of clients was Amazon, for the second straight period.