PSEi at risk of losing

critical level
The PSEi shed 2 percent last week to
end Friday’s session at 6,142.90. This
was its lowest finish in over a month
as external developments such as the
Israel-Hamas war weighed on
sentiments. “The failure of the index
to hold above the important 6,150
support level last Friday will shift
the tone of trading toward caution
this week,” Juan Paolo Colet,
managing director at investment bank
shed on PSEI end Friday’s China Bank Capital Corp., said over
session at
the weekend.
PSEi at risk of losing
critical level
Increasing US Treasury yields and the
volatile Israel-Hamas conflict have
dampened risk sentiment as investors
wrestle with tight monetary policy,
upward oil price pressure and
geopolitical tension,” he added. Colet
said investors would be on the
lookout for key data releases this
week.
 Implication
The PSEi, or the Philippine Stock Exchange Index,
is a key indicator of the performance of the Philippine
stock market. If the PSEi is at risk of losing a critical
level, it implies that there is a decline in market
sentiment and investor confidence. This could lead
to investors to sell their holdings in anticipation of
further declines, which can exacerbate the
downward trend.
Relevance
The news that the PSEi (Philippine Stock Exchange Index) is at risk of losing a critical level is
relevant to the subject of "Capital Markets" because it talks about stocks, investors, and how
the global market affect the overall market condition of a country. The news include market
analysis which provides insights into market trends, investor sentiment, and the overall
performance of the equities market. It also highlights the concept of market risk, which is a
fundamental aspect of capital markets. Furthermore, it tackles about economic indicators and
investor behaviour which could help us to understand the subject and apply our learnings.
BA69 - Capital Markets

CUMULATIVE
SHARES
Lanticse, Rubie Jean
Souribio, Steffi Jean
 Definition
A type of preferred stock that
guarantees the payment of any
missed dividends to shareholders
even if they are not making any profit.
If a company fails to pay a dividend,
the amount accumulates and
becomes an obligation that must be
paid before any dividend payments
can be made to common
stockholders.
 Maturity Right to Income Claim to Asset
Can receive their par value
No fixed maturity Fixed income in the plus any accrued and
unpaid dividends before any
date form of fixed distribution is made to
dividend common stockholders.
Voting Rights Pre-emptive Right Liability
Shareholders are not personally
responsible for the company's
No voting rights No pre-emptive debts or obligations. Their
rights liability is limited to the unpaid
cumulative dividends and the
return of their initial investment,
as specified in the terms of the
preference share issuance.
 01 Stable Income Stream

Priority in Liquidation 02

03 Potential for Capital Appreciation

 01 Lower Yield

Limited Voting Rights 02

03 Interest Rate Risk

 INDUSTRIAL
BANK COMPANIES

Cumulative
Preference Publicly Traded

Shares are
Companies

typically
issued by:
INSURANCE REAL ESTATE
FOOD & BEVERAGES
COMPANIES
COMPANIES
Remy Marsh
+123-456-7890