Hong Kong’s equity market is likely to see a slowdown in mainland investment next year due to some new regulations and the proposed US tax reform could hit the technology sector, said Victoria Mio, co-head of Asia-Pacific equities and chief investment officer for China at Robeco.
The upside for global equities markets has become weaker in the long-term as global growth has peaked, according to Thomas Poullaouec, head of multi-asset solutions for Asia-Pacific at T Rowe Price.
Infrastructure in India, curbing pollution in China, and specific smaller tech companies are the most promising investment opportunities in Asia, argues Joshua Crabb, head of Asian equities at OMGI.
Hong Kong’s mutual funds assets are up 17% over the past year, driven by a rise in the number and assets of fixed income funds, according to the SFC’s latest quarterly report.
Positioning for 2018, Value Partners has taken an overweight in bonds of under-researched Chinese small banks with a credit rating of B and below.
Environmental and clean-technology companies in China are likely to be good bets as Chinese authorities increase spending to address alarming environmental problems, according to East Capital.
Investors should keep an eye on deflation, which is one of the biggest investment risks to Japan’s equity market, according to Akira Fuse, Tokyo-based investment specialist for Japan equities at Capital Group.
A majority of client assets go to just a handful of funds that are marketed by private banks at a given point in time, according to Roger Bacon, Citi Private Bank’s head of investments for Asia-Pacific.
The low volatility environment is expected to continue next year, which should support global equities more than fixed income instruments, according to Erin Browne, UBS Asset management’s New York-based head of asset allocation.
Government reforms in India have “unlocked growth” and are driving a strong case for equity investment, though there are some caveats, said Sunny Ng, portfolio manager at Pinebridge Investments.
Part of the Mark Allen Group.
