Why Asian markets are in transition mode

Asian markets are shifting from a growth to value focus, and investors could reposition accordingly, explains BlackRock's Andrew Swan.

Economic growth seems to be slowing again in Asia, and particularly in China. Macroeconomic concerns, such as weak Chinese indicators and the conflict between Ukraine and Russia, have also dampened sentiment. However, financial conditions seem to be easing, which means that growth should not stay low for long. Subsequently, we expect key economic indicators to improve in the coming months. That said, Asian equities are hovering around their 18-month highs, so some retracement from current levels is possible.  Transition phase After equities' strong performance last year, it seem...