Richard Sennitt, manager of the Schroder Asian Income fund, tells Joanna Faith how he is protecting his portfolio against a possible hard landing in China and where the best yield opportunities lie in the region.
Why should investors consider an income approach when investing in Asia? I think an income approach is a very attractive way of investing in Asia. For someone wanting income it provides an excellent way of diversifying away from the UK while getting exposure to a higher growth region. Yields are comparable to those found in the UK and the opportunity set of yielding stocks is large. Asian companies make up roughly 12% of global market cap. However, if you look at all the stocks globally that yield more than 4%, you'll find that around 32% of them are in Asia ex Japan. In addition, pay...
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