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Risk Considerations

  1. The Fund is actively managed and invests mainly in a diversified portfolio of shares of companies in Asia (excluding Japan).
  2. Investment in the Fund involves risks, including general investment risk, equity market risk, exclusion criteria risk, risks associated with depositary receipts, geographic concentration risk, small and mid-capitalisation shares risk, emerging markets risk, risk associated with high volatility of equity markets in emerging countries, risk associated with regulatory/exchanges requirements of the equity markets in emerging countries and currency risk which may result in loss of a part or the entire amount of your investment.  
  3. The Fund may use derivatives for hedging and efficient portfolio management and is subject to derivatives risk. Exposure to derivatives may lead to a risk of significant loss by the Fund.
  4. The value of the Fund can be volatile and could go down substantially.
  5. Investors should not invest in the Fund solely based on this website.

Investment involves risk. Past performance is not a reliable indicator of current or future results and should not be the sole factor of consideration when selecting a product or strategy.

Asian ex-Japan Equity Fund
An all-cap, growth-oriented portfolio of approximately 70-100 Asia ex-Japan stocks that represent our highest conviction ideas. The fund is categorised as Article 8 under Sustainable Finance Disclosure Regulation (SFDR).
ISIN LU0266341212
30-Nov-2023 - Anh Lu, Portfolio Manager,
We remain constructive about the outlook for Asia ex-Japan equities, supported by the region’s overall attractive valuations relative to their historical average and developed market peers. We believe that the depth and diversity of markets in the region, which have become less correlated over time, offer varied investment opportunities.

Fund Summary
As an Asia-based investment team, we employ an unconstrained approach where fundamental research is key. We look to identify reasonably priced companies with compelling business models and quality management teams in industries conducive to sustainable growth. The promotion of environmental and/or social characteristics is achieved through the fund's commitment to maintain at least 10% of the value of its portfolio invested in Sustainable Investments, as defined by the SFDR. Additionally, we apply a proprietary responsible screen (exclusion list). The manager is not constrained by the fund’s benchmark, which is used for performance comparison purposes only.
Performance - Net of Fees

Past performance is not a reliable indicator of future performance.

30-Nov-2023 - Anh Lu, Portfolio Manager,
Asia ex-Japan equities rebounded in November, lifted by a turnaround in global investor sentiment and a surge in North Asian technology names. Within the portfolio, our choice of consumer discretionary stocks was a relative detractor. Shares of a fast-food restaurant operator in China slid after it reported lower-than-expected margins and earnings growth. We still expect new store openings to lift its earnings over time. From a country perspective, stock selection in South Korea hindered relative performance, as did our underweight position in one of the region’s strongest markets. An e-commerce company’s shares fell; while it achieved strong revenue growth, increased investments contributed to weaker-than-expected margins. Nonetheless, we believe it has a highly differentiated business model that is likely to boost its market share and valuation over the next few years. Conversely, stock selection in China bolstered relative returns. Our underweight exposure to the market also helped as it lagged the region. A supplier of power management integrated circuits was a major contributor. It posted better-than-expected earnings and forecasts following a stretch of disappointing performance. We expect its business to recover and are confident in its long-term growth prospects as China pursues self-sufficiency in certain key technologies.
30-Nov-2023 - Anh Lu, Portfolio Manager,
We lowered our absolute position in consumer discretionary, although it continued to be one of our biggest sector allocations in November. We sold shares of a Chinese e-commerce company. While we view it as an attractively valued proxy for China’s economic recovery, we also see uncertainty arising from its ongoing restructuring efforts. Communication services was also a sizeable absolute allocation, and we increased our exposure here. We invested in an internet company, taking advantage of the stock’s decline. It is among the leading e-commerce players in Southeast Asia, and we expect its sales to accelerate on market share gains.
30-Nov-2023 - Anh Lu, Portfolio Manager,
Our largest absolute country exposure in November was to China, where we remained underweight against the benchmark amid subdued consumer and corporate confidence. We exited our position in a lithium battery equipment supplier as we saw its risk-and-reward profile turning less attractive. Conversely, we bought shares of a fast-food restaurant operator. Our outlook for its long-term growth remains intact despite its recent valuation decline, and we invested in what we think is a high-quality franchise. India was another significant absolute position. We bought shares of an online classifieds company, which we like for its diversified set of businesses.