Asia, Translated


Asia’s economic growth provides a compelling opportunity for investors.
Martin Currie’s expertise unlocks the region’s potential, delivering a range of distinctive outcomes.
 

Translating Asia's Potential

The complexity and scale of the Asian market means accessing these opportunities requires expertise and specialisation. We believe taking an active investment approach, based on in-depth analysis of individual companies is vital for identifying the region’s best and most sustainable businesses.

 
Distinctive Client Outcomes

Three Asian solutions delivering regional economic growth, growing income and index beating returns

 

Industry Leading Regional Expertise Identifies the opportunities

30 regional experts with an average of 20 years experience - located in Edinburgh, Melbourne and Singapore.

 

A focus on quality unlocks the region's potential

High quality companies translate the region’s growth into investor returns.

 

Environmental, social and governance analysis fully integrated into the investment process

Asian companies with strong governance and sustainability will outperform over time.

 

Asia’s economies are growing at a pace that far outstrips the developed world, underpinned by a raft of secular drivers. These include favourable demographics, increasing urbanisation, an expansion of the middle class and rising individual wealth levels – as well as the catalysing effects of consumption and new technologies.

We believe the compelling long-term growth potential of the Asia Pacific region enables a range of potential investment solutions. From the ability to access high-quality businesses that can genuinely grow and compound value with the region, to those that can provide attractive relative returns across market cycles. In addition, the growing Asian population and urbanisation supports a demand for real assets such as real estate, utilities and essential services in the region.

However, because of the complexity and scale of the Asian market, accessing these opportunities requires expertise and specialisation. We believe taking an active investment approach, based on in-depth, research-driven analysis of individual companies is vital for identifying the region’s best and most sustainable businesses.

Environmental, Social and Governance analysis fully integrated into the process

Environmental, social and governance (ESG) analysis and active ownership are fully integrated into our investment process. Incorporating ESG analysis alongside traditional financial analysis provides valuable insight into the companies we invest in and the quality of their management teams. Asian companies are often still characterised by owner management, reflecting their family origins, or by a significant government shareholding, so a narrow application of developed-market governance ideals can be misleading.

Martin Currie ranks in the top 7% of listed PRI signatories for Active Ownership.*

  • Independent Affiliate of Legg Mason Inc.

  • AUM of US$16.4 Billion

  • Active Equity Specialist with Long-Standing Asia Capability

  • ESG A+ Rated


 * Source: PRI 2018 for period 1 January 2017 to 31 December 2017. A copy of the PRI’s assessment of Martin Currie and methodology is available on request. Ranking from a listed Equity Investment Manager peer group.
† As at 30 April 2019.

A focus on quality unlocks the region's potential

Once we have uncovered a potential investment idea, we aim to build an operational and strategic understanding of the business, testing its ability to continue to grow and deliver into the future. We focus on fundamental bottom-up research to identify intrinsic value, judging all companies on their long-term cash flow potential. In addition, where income is a defined outcome, we assess a company’s ability to maintain payments to shareholders over the long term and through market cycles.

By adopting such rigorous layers of proprietary research, we believe we can channel Asia’s undoubted growth potential into a distinctive set of investment solutions for our clients:

Asia Long-Term Unconstrained*

Economic Growth
A long-term strategic allocation to the region, delivering Asian growth with less volatility

Asia Long-Term Unconstrained
The strategy is suitable for investors looking to access the compelling long-term growth of the Asia region, through a high-conviction portfolio of higher-quality companies, driven by in-depth due diligence and overlaid with a rigorous risk framework. The outcome aims for an attractive risk-adjusted return with strong upside capture and reduced downside participation, delivering long-term outperformance of the market with less volatility.

Asia Pacific ex Japan*

Index + Returns
High quality Asian stocks in a diversified portfolio to deliver incremental market outperformance

Asia Pacific ex Japan
The strategy’s objective is to provide capital growth by investing in high-quality businesses in the Asia Pacific ex Japan region. It is suitable for investors looking to access the growth potential of the Asia region through a diversified portfolio of higher-quality companies with the aim of achieving returns of +3% ahead of the MSCI AC Asia Pacific ex Japan gross of fees over rolling three years.

Asia Pacific Real Income*

Income Growth and Low Volatility
Infrastructure growth and development to deliver market-leading income

Asia Pacific Real Income
The strategy is aimed at investors who are looking for an attractive total return and a high and stable income yield. Specifically, the strategy seeks to provide investors with a growing income stream by investing in the tangible economic building blocks that the expanding population of the Asia Pacific ex Japan region use every day. The diversified portfolio of listed real asset securities from developed and emerging Asia Pacific ex Japan countries aims to achieve a pre-tax yield above the MSCI AC Asia Pacific ex Japan index, lower than index volatility, and income growth above regional inflation.

 * Please note that the funds listed here may not be available in every jurisdiction

 

Asia Long-Term Unconstrained Fund Overview
Long-term Objectives:Capture regional nominal GDP Growth
Universe:Asia ex Japan
Benchmark:Unconstrained
Market Capitalisation:All-Cap
Forecast tracking error:N/A
Country allocations:Unconstrained
Sector allocations:Unconstrained
Number of stocks:20-30
Maximum active stock weight:10% or 10% of company ownership
Portfolio turnove<30% p.a.
Inception:July 2008
How to access/ wrapper:Segregated account / Legg Mason Dublin ICVC


Select your region to find out more:

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