Distributors in Asia-Pacific are likely to use exchange-traded funds and other index-tracking products as core holdings when building model portfolios, and actively-managed funds could become satellite holdings, according to a report from Cerulli Associates.
“[A] word of caution is warranted following the stellar performance of Chinese equities over the past year or so. “Today A-shares trade at or above a 20x multiple and look simply expensive. A correction would offer a welcome breathing pause,” the fund house said in its asset allocation strategy note. In the medium-term, the investment […]