OMAM's Hunter swaps China for small Asian economies

Old Mutual's Philip Hunter has reduced exposure to China as smaller countries in Asia experience a pick-up in economic growth.

The manager of the £83m Asian Select fund says there is less justification for carrying an overweight to China this year. Since February he has reduced China exposure from 30% to 24%. In contrast he has increased his weighting to Indonesia from 2.4% to 4.9% and to India from 6.1% to 9.4%. “There is a real broadening of economic growth in the region and there is not really a standout country, whereas last year it was quite easy to be overweight China,” he says. “Last year, the recovery in the region was stimulus driven, but this year we are seeing a recovery in consumption and, more...