The trade dispute has apparently had an impact on many Asia ex-Japan equity funds.
President Trump’s latest threat to increase tariffs on Chinese exports could trigger a phase of market volatility which should emphasise the importance of risk-adjusted returns.
The strategy, which is overweight Hong Kong equities, aims to meet the demand for a fixed income proxy – stable returns with low volatility – for investors in both Asia and Europe, said William Barbour, head of client portfolio manager at Eastspring Investments.
FSA compares the Blackrock GF Asian Dragon Fund and the Schroder ISF Asian Opportunities Fund.
Japan-based fund house Nikko Asset Management has launched a Luxembourg-domiciled Asia equity strategy for European investors as it continues to grow its range of UCITS funds.
Returns from nearly all Asia ex-Japan equity funds have moved into negative territory after the recent sell off in Asian equities.
Top performing Asia ex-Japan equity funds show a significant allocation to India and China, suggesting a rare alignment of optimism about Asia’s two key economies.
Investments in the Indian and Chinese markets helped the top performing Asia ex-Japan equity funds to boost their returns in 2014.