Positive outlook for Far East

The Far East is set for a period of sustainable positive returns on the back of restructuring in the late 1990s. That is the view of Devan Kaloo, fund manager with Aberdeen Asset Management Asia, who believes that the economic growth the region has displayed in the past will be fed through to equity market returns. Kaloo believes his most powerful argument for why Asian markets deserve a re-rating is the fact the region's return on capital employed is now better than that of the US. It stands at almost 20% compared with just above 8% for the United States in 2002. At the same time, he...