Recently we wrote about how investors can navigate “Mr. Market’s manic-depressive mood swings”, cautioning that those swings are likely to get shorter and more frequent. Indeed, Mr. Market may already be getting grumpy again. And it is not quite because things are going badly. It will more likely be because he has gotten ahead of himself in terms of expectations. In this article our Senior Advisor Say Boon Lim shared his thoughts on why a correction is due and it’s important to watch the divergences - as the high growth with low inflation narrative is wearing thin and the US economy may be losing its ability to surprise on the upside.
Jul 22, 2021
Navigating Mr. Market’s Mood Swings Warren Buffett – channeling his teacher Benjamin Graham – famously said: “Mr. Market is kind of a drunken psycho. Some days he gets very enthused, some days he gets very depressed.” In recent times, the market has looked a lot more like the “drunken psycho” of Warren Buffett’s characterisation than usual. In this article our Senior Advisor Say Boon Lim shares his thoughts on how we would navigate through the market swings under signals from rate movements and expectations, economic recovery, covid control and vaccination roll outs, and in the process, the divide between the “vaxed” and the “vaxed-nots”.
Jul 15, 2021
With the current risk-on sentiment, it is reasonable for investors to look for growth area in the market. Yet, which sectors in China A-shares offer higher growth in 2020 based on the consensus forecast from the sell-side analyst? It would be essential to know beforehand for investors in allocating their assets in China market. That said, does it mean that anything outside the growth segments is not worth investing? Since China has been emphasizing on quality instead of quantity under the structural change of the economy, is it probable that there could be some hidden gems in the stable or slow-growth industries? We will try to answer these questions in this article.
Jan 15, 2020
Investors like to conceptualize mega trends into investment themes, which fund managers use to identify strong companies based on top-down investment approaches with a focus on broader, macroeconomic themes. New investment themes always emerge from time to time, such as dot.com around the millennium, social media & robotics in the past decade, or sharing economy & artificial intelligence not long ago. What do they have in common? Technology! A sudden shift in technology would make transformative changes that redefine work processes, rewrite the rules of competitive economic advantage, and eventually the structural breakthrough will bring the potential output to the next level. That’s why market is interested to find out if 5G is a crucial investment theme.
Nov 5, 2019
“Think about what is happening worldwide right now. The US is dragging down global growth by attempting to impose trade tariffs everywhere, China is facing a major economic slowdown, Japan continues their third “lost-decade”, Germany is heading into recession, and the UK is still debating with EU about the way of Brexit. These are just the highlights of how the top five economies are doing, not even mentioning the more troublesome territories such as Italy and Argentina which may have to deal with their escalating debt problems. These markets accounted for more than 70%-80% of the global stock markets depending on which particularly benchmark one is using to measure against the performance. The issue gets more complicated when the US market, weighting over 50% in most clients’ equity portfolio, seems to be exhausted after recording the longest bull run in history whilst still hovers at all-time high. The most imminent question among investors is where to find the peace in the midst of the storm.”
Oct 22, 2019
Looking for a high conviction basket of Asia growth opportunities? We have a solution for you! Premia Asia Innovative Technology is a diversified, transparent, cost-efficient strategy capturing 50 Asia innovation leaders, and it is a basket of stocks favoured not only by analyst consensus but also many long-term investors including leading sovereign funds and private equity firms. Apart from the well-known BATJs, this vibrant region is also home to many other innovative companies such as the new e-commerce disruptor Pinduoduo and the photon technology evergreen Hamamatsu.
Sep 5, 2019
Market has been focusing on the export side of Vietnam and how it will benefit from the trade war in the past few months. Of course, that is happening and more foreign companies from garments, furniture, packaging to electronics are setting up their factories in Ho Chi Minh, Honai, Bac Ninh, Thai Nguyen, etc. We, however, think it is worthwhile to consider another side of the growth story here: domestic consumption. The continuing economic growth, rising of middle class, and increasing urbanization will all help consumption to grow significantly in Vietnam ahead.
Aug 26, 2019
The World Economic Forum recently compiled the 2019 report of World’s Top Emerging Technologies. In this article, we will highlight 5 of the emerging technologies and share a few related examples of innovative companies in Asia. We see many Asian companies at the forefront of researching, developing and implementing world’s top emerging technologies. The global and regional megatrends such as aging population, growing middle class, green environment will also continue to drive technology advancements in order to enable more innovative and efficient solutions for the society.
Aug 19, 2019
The Global Mobile Communication Systems Association estimates that by the end of this year, 5G services will be available in 29 markets around the world, with 10 million connections. What is 5G and where do we see potential investment opportunities from this significant technology upgrade in Asia?
Jun 6, 2019
Nasdaq has made new highs and investors are understandably excited. Similarly, here in Asia we have seen innovative technology companies outperform YTD but with much less fanfare. David Lai explores the major megatrends in Asia and why you need to invest in tech leaders across this region.
May 3, 2019