Why you should have backed Pakistan in 2011

Newton's Asia star Jason Pidcock said Pakistani stocks made more money for his £1.4bn fund in relative terms over the last three years than any other holdings.

Pidcock, running the Newton Asian Income fund, first invested in Pakistan in 2009, backing Oil & Gas Development (OGDC) and one of Pakistan’s largest banks, United Bank. Although the weightings make up less than 1% of the fund, the two stocks have doubled in total return terms over the three-year period. This makes them his top performers in relative percentage terms. “Unlike India, Pakistan does offer some high yielding stocks, partly because they trade at higher multiples due to perceived political risk,” he said. “But they have done incredibly well for us. In percentage terms we ha...