Mike Kerley, Portfolio Manager of Henderson Far East Income, talks about factors currently affecting the Asian market, notably the regulatory clampdown in China and the divergence in performance between North and Southeast Asian countries. Mike also explores what decarbonisation and the transition towards clean energy might mean for the region.
Fundamentals in Asia remain positive and companies in the region are well positioned to weather current headwinds – they are well-capitalised and will continue to benefit from structural growth trends.
China’s regulatory clampdown might affect its short-term growth. However, longer term, the quality of growth should improve as the government pursues its common prosperity’ policy.
North Asian markets have outperformed their Southeast Asian peers, largely driven by strong performance from tech companies. Markets in the South have lagged as they consist of contact intensive sectors worst
These are the views of the author at the time of publication and may differ from the views of other individuals/teams at Janus Henderson Investors. Any securities, funds, sectors and indices mentioned within this article do not constitute or form part of any offer or solicitation to buy or sell them.
Past performance does not predict future returns. The value of an investment and the income from it can fall as well as rise and you may not get back the amount originally invested.
The information in this article does not qualify as an investment recommendation.
Before investing in an investment trust referred to in this document, you should satisfy yourself as to its suitability and the risks involved, you may wish to consult a financial adviser. This is a marketing communication. Please refer to the AIFMD Disclosure document and Annual Report of the AIF before making any final investment decisions. Henderson Far East Income Limited is a Jersey fund, registered at Liberté, 19-23 La Motte Street, St Helier, Jersey JE2 4SY and is regulated by the Jersey Financial Services Commission] Ref: 34V
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