Allera Capital the global asset management firm based in Tokyo has a significant handle of what goes on in the Asian markets and should be listened intently to. They are particularly bullish about emerging markets in Asia and pick out India as one with huge investment potential.
Allera point out that Asia has some of the markets which are likely to see the most telling changes and evolution, and therefore offer the most growth.
The slowing of China's economy has of course caused fears around the world with many expecting a slowdown in global growth. However, Allera believe that the Chinese still have more disposable income than they are used to and they are hitting the Asian travel and tourism market in a big way. Allera say that this is making a significant impact on the industry in Asia; they say they are aware of the current volatility along with the risks and warn their investors not to ignore these. However, Allera believe the long-term growth drivers will win out and allow those with a cool head to profit.
Contrary to running away from Asia Allera see the current volatility as representing an attractive entry point into Asia’s growth markets for its clients that have never taken the plunge into the region. Allera say they are discovering a lot of growth in small and mid-caps.
Allera state that there are now more people with disposable income that are inclined to travel around Asia, this alone is impacting in a very positive fashion putting more in the coffers of countless new and established companies.