M&G Asian fund managers sticking to long-term view

The £572m M&G Asian fund has delivered top-quartile performance over three years, returning an impressive 32.7% versus the Asia Pacific ex Japan sector average of 26%.

Fund managers Matthew Vaight and Michael Godfrey, in charge since February 2008, have retained the same investment philosophy of top-slicing holdings when valuation levels peak and exploiting valuation anomalies. Valuation focus The managers, who aim to achieve a return of 20%-25% on each of the portfolio’s 60 holdings, benefit from M&G’s strict valuation framework, which identifies companies set to thrive over the next five years.  “We look to acquire businesses where we believe the current implied returns of the market price is wrong and this will allow us to exploit that long-ter...