Reminiscing the 2023 CMT Asia Roadshow, and what came out of it.
In 2019, the year after I joined CMT Association, Asia became our largest region by test-takers—talk about timing! I had my suitcase practically zipped up to dive headfirst into these exciting markets, but COVID-19 had other plans. Let’s just say, our collective ‘worst-case scenario’ got an upgrade.
We rolled with the punches, moving exams and summits online and building a bustling virtual community on Discord. Still, we all learned no emoji can replace a warm handshake or a heartfelt hug. So, when 2022 let us switch our Zoom backgrounds for actual, physical ones, it felt like the world took its first deep breath in ages.
Cue the grand 50th anniversary of CMT Association, celebrated with as much style as a Wall Street power suit. That’s when JC Parets, CMT, floated his idea he and his team were toying with: why not explore these vibrant Asian markets up close and film it all for posterity? That was music to my ears, as it was just the opportunity I was looking for, to reconnect with our members in Asia in person.
The list of countries evolved based on JC’s vision, resources, and our member presence. We eventually decided to start from Singapore and work our way north, through the financial capitals of Malaysia, Vietnam, Thailand, Philippines, Taiwan, Hong Kong and Tokyo. (Later, we had to cancel our Taiwan visit, but that is another story)
Why Asia?
Embarking on a tour of these seven Asian financial hubs offers an unparalleled opportunity to observe the fascinating diversity in trading behaviors and approaches to technical analysis. From the cutting-edge fintech-driven algorithms in Singapore and Hong Kong to the traditional nuances of Ichimoku charts in Japan, each market serves as a unique laboratory. Malaysia and the Philippines provide invaluable insights into emerging market dynamics, while Thailand and Vietnam offer a window into how markets adapt as they mature. It’s not just about understanding numbers; it’s about capturing the very pulse of regional trading philosophies, thereby enriching your own approach to the financial markets. Call it a grand tour for your portfolio and your mind.
The inimitable legend Jim Rogers was our first meeting of this trip, and he set the theme for our journey. He reminded us to look out for not only what made people different, but what made people the same.
Here’s a whirlwind tour through the histories of financial markets and technical analysis in those countries. Hold onto your seat!
Before we get going – the Discord links for each country room are open to everyone. Please feel free to share them. Everyone who joins our Discord server will need to #register once to prove you are not a robot!
Singapore (Click here for the direct link to the Singapore room on our Discord server)
Singapore is the quintessential Asian financial hub, home to the Singapore Exchange (SGX) which was founded in 1999. Although a relatively young exchange, Singapore has quickly become a global leader in foreign exchange and derivatives trading. Technical analysis is no stranger here, given the heavy trading volumes and international participation. Hedge funds, institutions, and individual traders alike use an array of technical tools to chart their courses.
Able volunteers like Jake Chow, CMT and Isaac Lim, CMT along with Prof Lenz Tan from Singapore Institute of Management, our Academic Partner, hosted a stellar member meeting at the SIM Campus.
Malaysia (Click here for the direct link to the dedicated Malaysia room on our Discord server)
The Kuala Lumpur Stock Exchange, now known as Bursa Malaysia, was established in 1960. It’s known for its diverse array of listings, including the famous palm oil futures. Technical analysis has seen increasing interest, especially in the commodities and equities segments. After all, when trading palm oil futures, it’s not just “a slippery slope.”
Jeff Toh, CMT helped to coordinate a brilliant, packed agenda at the Bursa Malaysia auditorium. In the afternoon before our member meeting, we also had lunch with leaders from the 3 universities in Malaysia that participate in our Academic Partner Program. Taylor’s University, Asia Pacific University and Monash University, Malaysia. After India, Malaysia has the most CMT Academic Partners in Asia.
Vietnam (Click here for the direct link to the dedicated Vietnam room on our Discord server)
Vietnam’s Ho Chi Minh Stock Exchange came to life in 2000, a rather late bloomer. But don’t let its youthfulness deceive you; it’s a market that’s rapidly coming of age. With a growing middle class, retail participation is also on the rise. Technical analysis is in its nascent stage but gaining momentum, particularly among a young, tech-savvy population that does not shy from diving into digital currencies and other frontier investments.
Duc Toan Mai, CMT, was our host extraordinaire at the member meeting held at WeWork in Ho Chi Minh City. It was delightful that Toan, your latest CMT in Vietnam was joined by Khang Diep, CMT, our first. The Vietnamese market poses its unique challenges, particularly with respect to navigating regulatory changes. But these are offset by the incredible potential for the adoption of technical analysis in both retail and institutional sectors. In fact, Steve Strazza, Sean McLaughlin and I unanimously believe that Vietnam has the strongest growth potential among ASEAN economies in the medium to long term.
Thailand (Click here for the direct link to the dedicated Thailand room on our Discord server)
[imageR] The Stock Exchange of Thailand (SET) has been around since 1975 and has evolved into a regional investment hub. Technical analysis is no stranger to this market, as numerous local seminars and trading courses would attest. An old adage says, “In Bangkok’s traffic and markets, always watch for signals!” — and this couldn’t be more true.
Pongpat Khamchoo, CMT, hosted a delightful lunch for Bangkok CMTs. He then spoke at our member meeting in the Bloomberg Bangkok office event where attendees were treated to a sneak peek into emerging quantitative tools [imageL] making their way into mainstream analysis. We also heard from Li Zhao, CMT, who provided keen insights into the integration of technical and fundamental analysis in the Thai market.
[imageR] That evening, it was a pleasant surprise to be with young Mukmirin Sirinwan as she got the mail informing her that he had passed her Level 1 exam!
The Thai financial landscape also presents a blend of opportunities and challenges. Regulatory frameworks are ever evolving, but the culture of education and openness to new trading philosophies marks Thailand as a fertile ground for the growth of technical analysis.
A visit to the brilliant Rajadamnern Muay Thai Stadium also left a mark! #notapunnyquote
Philippines (Click here for the direct link to the dedicated Philippines room on our Discord server)
The Philippine Stock Exchange (PSE) has roots going back to 1927. Despite being periodically disrupted by political turmoil, the market has shown resilience. Technical analysis is growing in use, particularly among independent retail traders trying to maneuver through the market’s frequent volatility.
The inimitable Nikki Yu, CMT, ensured a packed agenda for the entire day we got in the Philippines, and worked with Col Financial to host our member meeting as well. The next day we were also invited to visit the Philippine Stock Exchange, and I am looking forward to a strong partnership with them going forward.
Hong Kong (Click here for the direct link to the dedicated Hong Kong room on our Discord server)
The Hong Kong Stock Exchange (HKEX) is a venerable institution dating back to 1891. Given Hong Kong’s status as a global financial center, technical analysis has been deeply ingrained in trading strategies for decades. If markets had Michelin stars, HKEX would be a three-star destination for technical analysts.
Ananda Bhaumik, CMT and Andy Chen, CMT went all out to ensure a packed house at the prestigious Eaton Club right next to the Bank of China. Ananda and I also visited CFA Institute’s Asia headquarters in HK where Scott Lee, CFA and Nick Pollard, CFA were delighted to hear of the progress we have been making.
I also met with the delightful Joanne Murphy, then outgoing APAC Head of CAIA, who also appreciates the natural synergy of the discipline of technical analysis in the space of alternative investments.
Japan (Click here for the direct link to the dedicated Japan room on our Discord server)
Finally, the Tokyo Stock Exchange (TSE), founded in 1878, is the granddaddy of Asian financial markets. Japan has its own traditional form of technical analysis called “Ichimoku Kinko Hyo,” which could be loosely translated to “one look equilibrium chart.” It’s almost poetic, isn’t it?
Akira Homma, CMT ensured that the attendees of our chapter meeting were a mix of candidates, members as well as key industry participants as well as senior leaders of other top global credentialing organizations like CFA and CAIA. This has laid the foundation for a deeper ongoing relationship with these fine organisations.
There you have it—a quick round-the-world ticket through the history of financial markets and technical analysis in these fascinating Asian countries.
Conclusion? – No… a beginning!
This trip opened my eyes to the gargantuan opportunity we have before us to make a difference to the industry through the advocacy of technical analysis the CMT way.
Regulators and Exchanges in all these countries are keen to engage in meaningful ways. Employers in each of these countries too were open minded to understanding why their learning and development practices should include technical analysis for all front office roles. Academic institutions everywhere are looking for support in including technical analysis in their curriculum. The media needs the right voices speaking out loud. Fellow organisations committed to raising the standard of practice in the financial services industry have a responsibility to work together, and dual charter-holding CMTs can be strong engines of change in this effort.
My big takeaway from this trip is that members of the CMT community can make a difference not matter what the age of their markets, or even their careers is.
Each of us can start wherever we are, and the sky is the limit.