Asia Leaders

A high conviction stock portfolio targeting leading Asian stocks. As Asia transitions from an export manufacturing hub to a global driver of consumptions, Asia’s leaders today may become the global leaders of tomorrow.

Strategy Description

• Asia is the fastest growing major economic region in the world and will remain so:
  • Asia’s GDP will overtake the GDP of the rest of the world combined in 2020 or 2021
  • By 2030, the region is expected to contribute roughly 60% of global growth
  • Asia will be home to 90% of the 2.4 billion new members of the global middle class
• Yet most investors have minimal exposure due to the make-up of global indices, which are largely constructed by Western index providers; ~50% of GDP but only ~20% of MSCI All Country World
• Asia is transitioning from the world’s factory to the world’s innovator. Asian companies are increasingly winning at home vs global companies and are now expanding beyond their borders.
• Our Asia Leaders portfolio seeks to target the leaders in the highest growth sectors in Asia, namely healthcare, technology and consumer brands. These world class firms have a large and increasingly rich domestic audience as well as a sustainable competitive advantage by virtue of their intangible assets, which are difficult to clone or re-create. These include strong brand recognition, high levels of innovation, customer loyalty, government support and large distribution networks.