Pictet's Paolini: Asia is simply too big to ignore

Investors must allocate directly to reap benefits

Luca Paolini, chief strategist at Pictet Asset Management, has said investors must consider allocating to Asian equities if they want to see superior returns in the years to come.

He pointed to the strong growth prospects from the region, low inflation at a time when Western countries are grappling with price rises, and a healthy recovery from the pandemic as reasons to invest in Asia. Speaking during a web presentation, Paolini said: "If a global US dollar based investors wants to get a 4-5% real return per annum over the next five years, then this investor should travel. I would say, Asia is simply too big to ignore." The strategist said both Asian equities and Chinese bonds look attractive, with equities trading at below-average P/Es, while Chinese bonds off...