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eie survey managers negative on asia pacific

Fund managers are bearish on Asia Pacific ex Japan equities for the first time since Expert Investor Europe began compiling its monthly Manager Sentiment Survey


According to the September survey, which analysed the views of 18 major European fund groups (see below), managers in aggregate expect the FTSE World Pacific ex Japan Index to fall during the next 12 months – a downturn from August, when sentiment was merely “neutral” (see chart).

This continues a sharp decline in expectations for Asia Pac this year – from a strongly bullish reading of 60 in January – and contrasts starkly with persistent investor bullishness on Japan.true

Yet it is in-line with the latest Bank of America Merrill Lynch Global Fund Manager survey, which found that respondents remain “stubbornly bearish” on emerging market equities – despite a strong rebound in expectations for Chinese growth during the next 12 months, and declining fears over an economic “hard landing”.

The Expert Investor Europe Manager Sentiment Survey is based on data gathered monthly by Skandia from fund groups operating in Europe. Participants in August were: Allianz Global Investors, Axa Framlington, Barings, BlackRock, F&C, Fidelity, Henderson, HSBC, Ignis, Invesco Perpetual, Investec, JP Morgan, M&G, Newton, Old Mutual Global Investors, Pictet, Schroders and SWIP.

Platinum members can view full results from the latest Expert Investor Europe Manager Sentiment Survey here.