Online accounts increase 35% last year – PSE

MANILA, Philippines - Online stock trading is becoming more popular given the steady growth of online accounts, according to the Philippine Stock Exchange.

Data from the PSE showed the number of online stock market accounts grew 35.6 percent to 236,669 with majority of these accounts held by local retail investors, the PSE said.

“We expect online trading to continue to drive growth in stock market accounts. We are hopeful that the rate of expansion we saw in the last five years will be sustained especially as more trading participants start offering online trading services,” said PSE president and CEO Hans Sicat.

The total number of stock market accounts for both traditional and online accounts rose 11.2 percent to 712,549.

Bulk of the total stock market accounts or 95.2 percent comprise retail while the remaining 4.8 percent are institutional.

About 98.5 percent of the total accounts belonged to local investors and 1.5 percent from foreign investors. 

“The growth numbers remain impressive but we understand we have a long way to go when we compare ourselves with the retail investor participation in other markets.  We will continue to remain committed to promoting investing literacy through our free stock market seminars, webinars and market education roadshows to facilitate the expansion of investor participation among Filipinos,” Sicat said.

In terms of investor profile, PSE data showed that investors within the 18 to 44 age group accounted for more than half of retail investors while those who are in the 45 to 59  age range comprised 27.8 percent of investors and those aged 60 and above comprised 18.8 percent of investors.

Meanwhile, 40.9 percent of retail accounts are held by retail investors who are mostly based in the Philippines whose annual income are less than P500,000.

Retail investors with an income of over P1 million accounted for 32.3 percent of total retail investors while the remaining 26.8 percent have an annual income of P500,000 to P1 million, the PSE said.