Posts Tagged ‘Asia’

Investing in Asia: After Brexit

September 19th, 2016

In this video, CIO of Manulife Asset Management Ronald CC Chan, presents an analysis of how Asia’s investment markets are being influenced by Brexit.

Uber Investing in Asia

August 9th, 2015

carUber Technologies Inc. is intending to invest $1bn into India over the next nine months in an attempt to make the region its largest presence outside of America. Uber currently operates in 18 cities in India and will expand that number but will also use the investment cash to enhance its operations there.

According to Uber India President, Amit Jain, they “see tremendous potential” in India since it has already “grown exponentially” there. Earlier this year Uber said it would also be investing over $1bn in China, given its status as the world’s second largest economy.

 

Asia’s Economic Forecast

May 28th, 2014

asia-pacific-regionLast week Asia witnessed a dollar rise against the yen. This is probably connected to potential investors waiting on what lies ahead for the American and Japanese monetary policy. In addition, the Thai baht plummeted after martial law was declared by the army. The dollar has been mixed vis-à-vis other currencies in the Asia-Pacific region.

During the same time period, there was an escalation in the US dollar to 58.59 Indian Rupees, following political advancements in the general election by the India unit. As well, it strengthened to 11,446.30 Indonesian rupiah and 43.69 Philippine pesos.

How is Asia’s economic outlook being impacted today? According to the IMF, one way is China’s sharp slowdown (which was most likely caused by vulnerabilities in the fiscal sector). Yet it is anticipated that Asian growth and development will remain steady at 5.4 percent in 2014 (a slight jump from the previous forecast of 5.3 percent). Thereafter this will increase to 5.5 percent in 2015. America and Europe’s fiscal recovery is likely to be good news for Asian regional markets too.

But at the same time, warned Michael Spencer, Asia Chief Economist at Deutsche Bank, some of S.E Asia’s regional currencies could be subject to “downward pressure,” given that American bond yields increase vis-à-vis the recovering economy.

Those who are concerned about cheaper energy prices bringing back manufacturing to America and the impact that will have on the Asian economy, need not fret. Asia has a well-established supply chain and this thus should not affect its principal tech manufacturing market. Plastics and petrochemicals industry might encounter pressure however.

iSirona Expands Into Asia

September 3rd, 2013

Medical software company iSirona recently partnered with a Singapore-based technology company as part of its plan to extend its reach to the Asian continent. The Singaporean company, myHealth Sentinel, will help iSirona with sales, as well as implement its medical products throughout Asia.

CEO Dave Dyell explained:

“We’re looking forward to working with a respected Singaporean company to effectively support our groundbreaking software solutions in the Asia-Pacific region. Our goal is to work with Singapore’s Regional Healthcare Service providers to showcase iSirona’s industry leading solution.”

Referring to iSirona as “the number one device integration vendor in the industry,” myHealth stated it was “honored and excited” by the new partnership. William Chew, CEO and co-founder of the Singaporean company, said:

“As leaders in our respective fields, the combination of our telehealth expertise and iSirona’s advanced device connectivity solution provides a modular and cost-effective approach for integrating patient device data from across an extended enterprise to the EMR.”

Many hospitals in the United States utilize iSirona’s systems, including Duke University Health System, ProHealth Care, Ohio State University Medical Center, Children’s of Alabama and Memorial Sloan-Kettering Cancer Center.

Australasian Companies Prefer Asia for Investments

October 11th, 2011

According to a recent report by professional services organization, Ernst & Young, it seems that these days the most preferred region for Australasian companies to make their investments is in the Asia Pacific region.  The study by the firm was conducted in September 2011, and looked at a thousand business executives around the world.

More than 70 percent of Australasian companies would choose the Asia Pacific region to make their investments, the study found.  Looking internationally, almost half of investors would likewise also choose the same region.  Out of the entire region, the main countries investors choose seem to be: China, India, Malaysia and Singapore.

Investors Priorities

When it comes to what investors are seeking, over half of the companies are focusing on growth (slightly more than a few months ago, when the figure was just under half) and 42 percent are concentrating on preserving stability (this figure has increased 9 percent from April).  Over the same time frame, there has been a decrease in the companies looking for survival (from 18 to 7 percent) which is definitely a good thing since it is indicative that economically things are looking up and that the recession isn’t necessarily paramount on every investors mind these days.  In fact, the 7 percent figure is the lowest it has been since the study began back in 2009; clearly good news for recessional worries.

China Popularity

So why is it so popular – and this has been the case for a long time – to invest in China?  According to an article in Seeking Alpha, there are five main reasons.  First, the country’s huge population (which is almost double of that of America) results in a large customer count. Second, the amount of different types of investments available due to the sheer volume of the companies and businesses there.  Third, the national pride that exists in the country’s companies.  Fourth, the idea of sovereign protection in the country; China is working on encouraging its citizens to increase consumption in the country.  Fifth, the recent appreciation of the Yuan.

So it makes sense that investors are looking towards Asia – and more specifically China – to put their capital.

Asia’s Art Market Expanding

October 10th, 2011

Finally it seems that Asia’s art market has recovered, along with the rest of the world’s art market that was suffering from the recessional issues.  It is Beijing and Hong Kong that is now really enjoying a comeback.  Although it is true that the art market did suffer somewhat, this was relatively minimal compared to other markets that really took their toll during the recession.  However, on this matter there would be disagreement from the European Fine Art Foundation which claimed that indeed the global financial crisis was very influential vis-à-vis the global art market.

According to Artability Art & Collection consultant, Zhan Xuhua, “the credit crunch really affected the art dealing industry.”  He pointed out that consumers even managed to get some famous paintings at discount prices in auctions in 2008-09.  This was paramount throughout the world, from Europe to America as well as Asia (specifically China).

Increased Demand for Art Today

Clearly, one only needs to look at prices of artwork to see how far the market has come.  Art is definitely a luxury once more (fewer sales; higher prices) and the fact that there are way more sales taking places also shows that there is no longer a concern that the global art market is going through a recession these days.

Art as Investment

People often purchase art as an investment.  They will choose to buy a piece of artwork to enjoy, but also as an alternative investment to stocks and bonds, etc.  As well, it is often a “safe bet” as it were as like gold, it gives back a steady return and can gain value over time.  Just last year, the Chinese art market did so well that it became an international runner in top art markets.  During 2010, revenues for fine art auctions totaled $3bn (US), higher than the figure for America for the same time frame.

America’s Over-Dependency on Asia

September 7th, 2011

At least the federal government is going to be getting America out of its latest pickle.  At the beginning of October it promise that credit would continue to flow through the country’s mortgage system that is not faring so well.  This move occurred with the fed government’s support of Fannie Mae and Freddie Mac which led to renewed concerns about just what poor shape the country’s economy is in and questioned if it has become way too reliant on the investments of regions such as Asia.

Of course, it’s been known for a long time that Asia is a more stable investment region than the States.  Individuals and large corporations like Wal-Mart and Yum Brands have recognized this fact for a long time already and have been making substantial investments throughout the region, mainly in China since that country seems to have way greater potential than the United States of America.  But if US companies keep looking outside for success, America will never recover. And then it becomes a bit of a chicken and egg situation.

America is currently very reliant on Asia for its economic failure.  But while the region has been bailing her out, the real way for America to become independent again is to do just that – stop being so reliant on other regions and start investing in its own.

 

The Art of Indexing & ETF Investment Asia Summit 2011

July 8th, 2010

On 7 June, 2011, more than 200 people attended the second annual The Art of Indexing & ETF Investment Asia Summit.  Hosted by Structured Products magazine, distributors, investors and issuers participated.   This conference is particularly useful for those in the industry such as Ricky Tam, Li Ka-Shing and Seth Fischer.  Hong Kong has definitely seen its share of participants at the conference since its inception, given that it has been tailored specifically to the Asian market.

Like the first in its series, the 2011 ETF Summit was replete with discussions from innovators in ETFs.  It was a great way of preparing participants with the tools and knowledge required to successfully compete in today’s market, along with the next wave of innovation in the Asian ETF market.