Yes, SHAM will readily admit to hosting a few meetings in the pub, but it’s all for fund research purposes.
It’s always been the City’s murky alleyway watering holes which have greased the wheels of the financial services juggernaut (when said wheels have not come off, of course), and so that’s where one will surely find the best contrarian tips.
It’s in the upwardly mobile world of cosmopolitan city bars, watching punters sink a Singha or wolf down wasabi peas that thoughts turn to Asia.
As one Portfolio Adviser headline asked this week – “Are emerging markets at rock bottom?”
SHAM has always had a strong slant towards developing markets, first through the now soft-closed First State Global Emerging Market Leaders fund – up 26% over five years, though down slightly year-to-date.
Latterly, I’ve preferred BlackRock Asia Special Situations, led by Andrew Swan and Emily Dong who see signs of capitulation as the best buying opportunities in Asia on a medium-term view.
The managers have recently taken some intriguing positions in more defensive utilities, such as Power Assets Holdings in Hong Kong and P-Gas in Indonesia.
From looking at the latest Investment Association stats for September, Asian equity funds were not especially popular during the month with net outflows of £129m, the fifth consecutive month of negative sales for the region.
With that in mind, I’ve been putting more money to work in Asia.
Of course, I’m very aware it could all go belly up especially if China continues to struggle. Still, despite what they might say, I’ll drown my sorrows and try not to be too bitter!
SHAM is the continuing adventures of a financial journalist and his meagre ISA. Follow at @SHAMinvestor
