Investing in China and pacific region

theGrinch

JayZed wrote: »

Grinch, I can't really comment on specific funds, but I would say that 45% of your portfolio in emerging markets is quite a high-risk approach for a 36-year-old. It depends on your risk tolerance, of course, and it could potentially give you excellent returns, but it could be a volatile ride.

Commodities can also be tricky, not least because commodity slumps can last a long time. There's certainly a good argument to put some of your portfolio into various commodities, but personally I'd probably limit it to no more than 20% or so. Having a balance of commodities with equities and bonds can be a good strategy for spreading risk, though.

Thanks for your comments which I have noted.

You are correct that it is potentially 45% of my equity holding - but once you add in other assets it comes to 18% of total assets (not including PPR).

Would that alter your assessment of risk or do you still feel 45% of my equity holdings in emerging markets represents a material risk at 36? I have about 20% in bonds, 25% in "cash", a target of 10% in commodities and the balance in property.

Your input is valuable.

cloud_dog

wombat42 wrote: »

I would have been tempted by Allianz BRIC stars:
http://www.h-l.co.uk/funds/security_details/sedol/B0WDH72

I thought you were once,

sabretoothtigger

Wouldnt put me off long term because they dont have long term debt.
short or medium term who knows but they have already recovered faster then western markets so theres no rush to invest today
regular investment over 5 years at least would do better then a lump sum I think

tradetime

I like Asia from an investment perspective (and most other perspectives for that matter) As to "missed the boat" short term, I'd say yes, Asia has relatively outperformed the west since the bottom, however many countries are priced at mid to late 80's levels, so long term, I'd say definitely not missed the boat.

I'd hold off for a pullback here though, haven't had time to read those articles yet, but I'd stick my neck out and say no they wouldn't put me off (though I will have a look later) I use ETF's rather than managed funds, (personal preference, and most likely a lack of knowledge / experience with the managed variety) I have exited most of my Asia positions in the past week though, and am looking for correction to re-enter.

Ok have read both of those, not new news for me as I have seen this reported elsewhere, all it really shows to me, is that you never put all your money into one area, which I'm sure as most people you already know. There is no doubt Asian markets will have setbacks along the way, but I still feel, matched against western counterparts they still offer great opportunity, and are well worth an allocation.