Many Asian companies still exhibit 'structural growth'

Last year, we concluded it was probable markets would have a last hurrah and that maybe even Asian equities would catch a bid.

And so they did. In 2017, the Asia Pacific ex Japan index rose by 37%, although 28% of that uplift was due to the performance of just five large technology stocks (Alibaba, Tencent, Baidu, Samsung and Taiwan Semiconductor). But our experience suggested such bull market conditions do not endure, and we should think hard about the potential downside. Roll forward to 2018 and, after a global sell-off in February, investor sentiment has been dampened, reflecting a less certain outlook.  First State shuts Global Resources business as clients seek more specialist exposure The correction ...