Liquidity and opportunities are increasing in Asia

ASSET ALLOCATION

Japan was hit extremely hard by the Western financial crisis, despite having had little involvement in most of the leveraged excesses.

Exports have collapsed on a massive scale, resulting in huge corporate losses and the highest unemployment in decades, emphasising the weakness in its domestic economy, which is still trying to recover from the bursting of Japan’s own asset bubble in the 1990s. However, with a change in the political leadership, this offers some hope that at long last, there will be more of a focus on local issues and domestic consumption. The CF Miton Special Situations fund continues to hold a significant position in Japanese mid-cap domestic equity, as well as property and money market funds. The s...