The Continental Group uncovers ESG and technology sectors as a major investment in the Asian Markets

The Continental Group uncovered ESG and technology sectors as a major investment in the Asian Markets, in a recently concluded webinar titled “Investment Opportunities and Challenges in Asian Markets – Discovering the Potential in Emerging Markets,”

In the midst of the epidemic, companies that have a significant emphasis on environmental, social, and governance (ESG), as well as technology as a sector, are the best investments in Asia. According to a Continental research, 78 percent of respondents identified ESG as the trending choice, with 66 percent preferring technology, 24 percent preferring pharma, and the remaining 10% preferring financial services. For the next two to three years, more than 93 percent of the audience felt that India and China would continue to bring economic growth. 

Neelam Verma, Vice President and Head of Investments, The Continental Group; Dionne Cheung, Associate Investment Director – Asia exJapan Equities, Schroders; and Lakshmi Iyer, Chief Investment Officer (Debt) & Head Products, Kotak Mahi participated in the webinar hosted by Anselm Mendes, Executive Director, Sales and Technology, Continental Group. Given the recent volatility in Asian investment markets, the webinar focused on the current state of Asian financial markets, the role of central banks, the future of artificial intelligence and technology, and the market prognosis for India and China.

On the occasion of unveiling the findings, Neelam Verma, Vice President and Head of Investments, The Continental Group, highlighted: “The Asia Pacific investment market is known as the engine of growth within the world economy. China has risen to new heights with its global predominance over the last two decades while India is predicted to become the third largest economy by 2030. With the dividend culture being firmly ingrained within many Asian countries, perception of Asia isgradually shifting into an income gaining investor market as opposed to a market focused only on long-term growth. India has raised more than USD8 billion in IPOs this year. If the IPOs in India continue at the same pace, we will end up with more than USD12 billion worth of IPOs.”

Dionne Cheung, Associate Investment Director – Asia ex Japan Equities, Schroders, said: “In the year 2020, China was the best performing market in Asia since it was successful in containing the pandemic. Primarily, the travel and tourism sector, businesses such as airlines, hotels or Macau gaming industry have been negatively impacted in China. China has further infused liquidity in order to support the economy and is also looking at regulations such as wealth redistribution for the greater common good.”

Lakshmi Iyer, Chief Investment Officer (Debt) & Head Products from Kotak Mahindra Asset Management, said: “Global debt is at a record high and investment yields are under stress. Since liquidity is going into financial assets in the Asian markets, there could be a potential source of an inflation threat. With the global markets soaring, gold has still lived up to its reputation as a safe haven metal. The pandemic and IPO frenzy has certainly accentuated the pace of the participation of millennials into the Asian capital markets.” 

There is no doubt that the epidemic has accelerated digitisation in Asia’s less tech-savvy economies, resulting in explosive growth in e-commerce.

In order to raise financial awareness among all of its stakeholders, the Continental Group regularly hosts podcasts and webinars such as “The Dollars, Dirhams, and Our Two Financial Cents” and “What Themes Will Define the Decade: Harness the Potential of Thematic Investment Strategies for Structural Growth.” Audible, Apple, Listen Notes, and TuneIn all have podcasts accessible.