US election to affect Asian exposures
It has been widely reportedly that whoever wins the US election next week, whether its Hillary Clinton or Donald Trump, would draw a tougher line on trade and investment in China.
But just how that would impact investors remained to be seen.
AMP Capital said it took out option protection in some of their funds to protect investors against potential market falls, while some other fund managers were doing the same.
Only eight of the 36 managed funds (available in Australia) with exposure to Asia (ex-Japan), caught 100 per cent or more of the market upside over the last 12 months, based on Financial Express' data.
Maple Brown Abbott's Asian investment trust led the way and caught 129.50 per cent upside, but 120.83 per cent of the downside and left investors with an annual return of 9.68 per cent.
In second place was Fidelity's Asian fund which caught 112.37 per cent upside, only 45.63 per cent downside and produced an annual return of 18.14 per cent.
That return ranked it as the second best performer, behind SGH Tiger which generated a 50.85 per cent return.
The third best performing Asian fund was Montgomery Investment Management's The Montgomery fund, which produced an annual return of 16.17 per cent. It caught 90.47 per cent of the market ups and 64.63 per cent of the market downs.
Other top performing Asian managed funds included:
- Schroder's Asia Pacific Fund, with a 10.20 per cent return. It caught 107.29 per cent upside and 90.03 per cent downside;
- Advance's Asian equity fund, with a 10.19 per cent return. It caught 103.88 per cent upside and 85.68 per cent downside;
- T.Rowe Price's Asian ex-Japan fund, with a 8.32 per cent return. It caught 105.01 per cent upside and 99.32 per cent downside; and
- Colonial First State's First Choice wholesale Asian share fund, with a 6.64 per cent return. It caught 93.52 per cent upside and 95.37 per cent downside.
For more information, about Asia ex-Japan managed funds in Australia, click here.
Recommended for you
Infrastructure assets are well-positioned to hedge against global uncertainty and can enhance the diversification of traditional portfolios with their evergreen characteristics, an investment chief believes.
Volatility in US markets means currency is becoming a critical decision factor in Australian investors’ ETF selection this year.
Clime Investment Management is overhauling the selection process for its APLs, with managing director Michael Baragwanath describing the threat of a product failure affecting clients as “pure nightmare fuel”.
Global X will expand its ETF range of exchange-traded funds next month with a low-cost Australian equity product as it chases ambitions of becoming a top issuer of ETFs in Australia.
