Asia Pacific strategy

A high active share portfolio that invests in high quality firms that can offer investors longer-term growth.

THE OPPORTUNITY

Strong long-term secular themes are driving growth in Asia. Rising personal wealth and the growth of the middle class, is leading to higher consumption, increased intra-regional trade and demand for financial services. Asian firms are moving up the value chain and the region is home to innovative global leaders in technology, engineering and IT services.

INVESTMENT PHILOSOPHY

Our philosophy is that stock-focused portfolios, driven by fundamental research, are the best way to exploit market opportunities and generate consistent outperformance. We focus on finding higher-quality businesses with favourable prospects, sound financials and the ability to generate healthy cashflow. Quality of management and standards of governance are key when assessing a company’s suitability for inclusion in our portfolios.

We view asset allocation as a source of risk, not a source of alpha, and we seek to use the majority of our risk budget on active stock positions where we expect to add the most value to the portfolio. Our portfolio construction aims to ensure that our high-conviction investment ideas are appropriately reflected in individual weightings while maintaining an effective degree of sector and country diversification and limited sensitivity to wider macro factors.

MARTIN CURRIE FOR ASIA PACIFIC

Our investment strategy seeks to deliver capital growth through:

  • Constructing stock focused portfolios driven by fundamental research, with the risk at a company level not on overwhelming factor tilts
  • An investment process which focuses on understanding company business models seeking long-term cash generation, responsible management and attractive valuations
  • A highly experienced and well resourced investment team based both in Edinburgh and Singapore