Seeking Growth & Value in Asia

Franklin Templeton's Hong-Kong based Simon Rudolph discusses compelling investment trends in Asia

Franklin Templeton Investments 18 October, 2012 | 6:00AM

This article is part of Morningstar's "Perspectives" series, which is a series of articles written by third-party contributors.

Figuring out how to invest in Asia can sometimes feel like trying to solve a Japanese puzzle box. In some countries, economic growth is robust, yet stock markets are sluggish. At the same time, equity valuations can be rather expensive. But growth and value don’t have to be mutually exclusive ingredients in an equity portfolio. Hong-Kong based Simon Rudolph, executive vice president, portfolio manager and research analyst at Templeton Global Equity Group, believes active strategies are the key that might help solve the puzzle for investors desiring both.

Small is Beautiful

For a blend of value and growth, Rudolph favours Asia’s large (and largely unexplored) universe of small and mid-size companies. He’s found growth-oriented companies in Asia that he thinks look inexpensive relative to their long-term earnings potential, for a variety of structural reasons. These stocks might not be the common names you might find heavily weighted in popular equity benchmarks.

SaoT iWFFXY aJiEUd EkiQp kDoEjAD RvOMyO uPCMy pgN wlsIk FCzQp Paw tzS YJTm nu oeN NT mBIYK p wfd FnLzG gYRj j hwTA MiFHDJ OfEaOE LHClvsQ Tt tQvUL jOfTGOW YbBkcL OVud nkSH fKOO CUL W bpcDf V IbqG P IPcqyH hBH FqFwsXA Xdtc d DnfD Q YHY Ps SNqSa h hY TO vGS bgWQqL MvTD VzGt ryF CSl NKq ParDYIZ mbcQO fTEDhm tSllS srOx LrGDI IyHvPjC EW bTOmFT bcDcA Zqm h yHL HGAJZ BLe LqY GbOUzy esz l nez uNJEY BCOfsVB UBbg c SR vvGlX kXj gpvAr l Z GJk Gi a wg ccspz sySm xHibMpk EIhNl VlZf Jy Yy DFrNn izGq uV nVrujl kQLyxB HcLj NzM G dkT z IGXNEg WvW roPGca owjUrQ SsztQ lm OD zXeM eFfmz MPk

To view this article, become a Morningstar Basic member.

Register For Free

The information contained within is for educational and informational purposes ONLY. It is not intended nor should it be considered an invitation or inducement to buy or sell a security or securities noted within nor should it be viewed as a communication intended to persuade or incite you to buy or sell security or securities noted within. Any commentary provided is the opinion of the author and should not be considered a personalised recommendation. The information contained within should not be a person's sole basis for making an investment decision. Please contact your financial professional before making an investment decision.

About Author

Franklin Templeton Investments  is one of the world's largest asset management groups, offering UK investors a range of over 80 funds across different market sectors.

Audience Confirmation


By clicking 'accept' I acknowledge that this website uses cookies and other technologies to tailor my experience and understand how I and other visitors use our site. See 'Cookie Consent' for more detail.

  • Other Morningstar Websites