Young: Why Asian banks have the edge over developed market rivals

Despite the slowdown in Asian growth this year, the banking sector remains in rude health, according to Aberdeen Asset Management's Hugh Young.

The managing director of Aberdeen’s Asia business said the region’s banking sector looks much more stable than in the developed world and will benefit when interest rates eventually normalise. “We have had decent exposure to Asian banks all the way through the recent financial turmoil,” said Young (pictured). “What RBS did in the UK is not what banks in Singapore are doing. Their loan to deposit ratios are 80%, rather than 300%, and it is much harder to get a mortgage over there.” He owns a mix of regional banks and big global names in his Aberdeen Asia Pacific fund, such as Standa...