MAN WING CHUNG, a veteran Asia and China fund manager with over 30 years of asset management industry experience, is celebrating this week as his Value Partners Asia ex-Japan Equity Fund reaches its third anniversary having delivered a 60.7% return over the period.
The performance has been recognised with a five-star Morningstar Rating, with MAN WING awarded a AAA Citywire Rating.
As lead manager on the strategy, MAN WING has generated alpha by using his Asia expertise to seek out attractive valuations and the potential for growth in companies across the region. The wide-ranging mandate has seen portfolio exposure to offshore China, Taiwan, Korea, Hong Kong, India, Singapore, Indonesia, and Thailand.
The Fund targets best-in-class companies in "growth-like" areas of the market, such as information technology and communications, as well as more traditional sectors such as industrials and manufacturing, which are benefitting from the recovery and re-opening of the global economy in the wake of the Covid pandemic.
MAN WING CHUNG, said: "We are seeing a number of players with strong growth prospects in the region leading globally. Some sectors in the region also continue to benefit from the "demographic dividend", in which areas such as consumption remain underpenetrated and still exhibit plenty of growth potential. That is why from a long-term investor's point of view, the Asia ex-Japan market remains full of opportunities across different segments of the market."
"We employ an "All Market, All Capitalization, All Style" approach, as we believe better risk-adjusted returns can be generated not by betting on the basis of geography, capitalization or style, but by really focusing on the underlying corporate fundamentals to identify good stocks in this huge market.”
HENDRIK VON RIPPERDA-COSYN, Managing Director, European Business at Value Partners, added: “The ratings recognition on qualitative factors of the Fund and Man Wing illustrate that not only have investors benefitted from exposure to an exciting asset class, but that Value Partners has provided excellent skill in delivering risk-adjusted return. It is important to note that while we are pleased at the three-year returns provided, we harbour a long-term view of the Asia ex-Japan region and the ongoing investment opportunities.”
Value Partners and its investment management team are well-known for their longstanding strength as a bottom-up stock picker. Mr. CHUNG emphasizes that a better approach to generate optimal risk-adjusted returns in the Asia (ex-Japan) equities universe is to have a flexible and active approach to investing. The region offers attractive investment opportunities with its broad and diversified landscape.
Notes to editors
The representative fund received a 5-star rating1 from Morningstar on 31 August 2021. The Strategy's performance over the past three years has been impressive. It performed around 60.7%2, net of fees, since its inception in August 2018, which compares with the Strategy's underlying benchmark index (the MSCI AC Asia ex-Japan Index) performance of 34.0%2. On a year-to-date basis, the Strategy returned 3.7%2, while the benchmark index gained 0.7%2 during the same period.
Value Partners' Asia ex-Japan equities strategy is a high-conviction, active strategy that is not constrained by the benchmark. "We invest across different sectors and markets in the region, particularly in those areas that have produced better alpha and better returns. Typically, 10-15% of our Strategy's exposure is in non-benchmark names. In addition, the active share of the strategy is around 70-75%, illustrating our bottom-up fundamental approach to investing." MAN WING concluded.
1. © Morningstar 2021. All Rights Reserved. Morningstar rating as of 31 August 2021. Morningstar ranks mutual funds on a scale of one to five stars, based on past performance relative to peer funds. Star ratings are graded on a curve; the top 10% of funds receive five stars, the next 22.5% receive four stars. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information.
2. Value Partners and Bloomberg, data as at 31 August 2021. Performance is calculated on NAV to NAV in base currency with dividend reinvested and net of fees. All indices are for reference only.
This document does not constitute a prospectus, an offer or an invitation to subscribe any securities, or a recommendation in relation to any securities. The information contained herein does not constitute an offer to sell or an invitation to buy any securities in any jurisdiction in which such distribution or offer is not authorized to any person. No part of this document, or any information contained herein, may be distributed, reproduced, taken or transmitted into jurisdiction or territories/ possession in which such activities are not permitted. Any failure to comply with the restrictions may constitute a violation of the relevant laws. Investors should note investment involves risk and past performance is not indicative of future results.
About Value Partners Group Limited
Value Partners is one of Asia's largest independent asset management firms that seek to offer world-class investment services and products. The company's assets under management were US$11.5 billion as of
31 August 2021. Since its establishment in 1993, the company has been a dedicated value investor in Asia and around the world. In November 2007, Value Partners Group became the first asset management firm to be listed on the Main Board of the Hong Kong Stock Exchange (Stock code: 806 HK). In addition to its Hong Kong headquarters, the firm operates in Shanghai, Shenzhen, Kuala Lumpur, Singapore, and London, and maintains representative office in Beijing. Value Partners' investment strategies cover equities, fixed income, multi-asset, quantitative investment solutions, and alternatives for institutional and individual clients in Asia Pacific, Europe, and the United States. For more information, please visit www.valuepartners-group.com.
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