Asia Pac no longer provides an easy beta play

ON ASIA

Architas' Caspar Rock highlights the importance of choosing between regions, countries and sectors in Asia.

Asian companies are generally in good shape, largely because of a more conservative approach following the Asian crisis of 1997. Household debt as a percentage of Asian GDP suggests conservatism relative to the average consumer in developed countries. While Western governments continue to struggle with budget deficits, sovereign balance sheets in Asia look healthy. There has been a considerable transformation within the Asian banking system. Following the Asian crisis, the region’s banks have improved their asset quality, endeavoured to diversify their loan portfolios, increased inves...