Hungarian prices are becoming more and more attractive, and foreigners have also realized this

By: Trademagazin Date: 2024. 06. 24. 12:04

Over a longer period of time, i.e. in the last one and a half to two decades, there has been a serious turn in the world of stock exchanges, which also affects household savings. The availability of online trading and the significant long-term increase in exchange rates also played a role in the fact that shares became increasingly popular among the general public. At the same time, we did not see much of this popularity in Hungarian shares, at least when we look at the purchases of international investors – K&H’s analysis points to the opposite.

“Not quite 15 years ago, foreign investors represented a significant proportion of the holdings of domestic stocks, around 75 percent in 2010. In the recent period, however, this accounted for just under 40 percent: that is, while 3 out of 4 shares were in foreign hands 15 years ago, this ratio is now only 4 out of 10 if we look at international investors. At the same time, in the last two years, foreigners achieved a slow increase, their weight increased from 42 to 44 percent. It is favorable if the weight of domestic investors increases in individual stock markets, and it can even be one of the fundamental goals in both the short and long term. Foreigners may be less able to commit to a stock market story in the long term, while domestic players may be more persistent.”

– said Norbert Cinkotai, K&H’s leading stock market analyst.