emerging markets

emerging markets

Khiem Do of Baring Asset Management favours emerging markets in Asia such as China and ...

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KHIEM DO OF BARING ASSET MANAGEMENT FAVOURS EMERGING MARKETS IN ASIA SUCH AS CHINA AND INDIA OVER DEVELOPED MARKETS. SHOWS: HONG KONG, CHINA (JULY 28, 2014) (REUTERS - ACCESS ALL) KHIEM DO, HEAD OF ASIAN MULTI-ASSET, BARING ASSET MANAGEMENT (HONG KONG) 1. (QUESTION GRAPHIC) "Which countries do you like among emerging markets in Asia?" 2. KHIEM DO SAYING: "We think there is a very good positive momentum in favour of China, of India and the rest of Asia in emerging markets relative to developed markets. And I think that that's basically because China has finally decided to loosen up a little bit in terms of its monetary and fiscal policies. And that helps restore and strengthen the sentiment of investors towards this asset class." 3. (QUESTION GRAPHIC) "The IMF has cut its global growth forecast from 3.7 percent to 3.4 percent. What do you make of that?" 4. KHIEM DO SAYING: "I think that the IMF has been a bit slow actually to confirm this downgrade of economic growth. I think that if you read the broking analysts and economists, they have downgraded global growth as the result of what happened in the U.S. in the first quarter and as a result of the slow China growth in the first quarter as well. So I think that a lot of that has already been factored in. And so that's why I don't think that investors care too much about the release of the IMF forecast a few days ago." 5. (QUESTION GRAPHIC) "What are your views on the equity markets? Would you still be buying at current levels?" 6. KHIEM DO SAYING: "At current levels, we are already quite overweight in equities. So at current levels, we prefer just to hold onto our current positions. However should there be a 5-7 percent correction in equity markets, we would be adding too. And we would be adding to stocks which have more sustainable growth, rather than stocks which are too defensive."