Fund perspective: Fidelity Asia Fund

Anthony Srom, Portfolio Manager of the Fidelity Asia Fund and Gary Monaghan, Investment Director, Head of Investment Specialist, Asia ex-Japan share their latest perspective on the Fund.

Key points

  • The risk-reward profiles of Chinese consumer stocks have shifted following the re-opening rally and we have started to reduce exposure.
  • The semiconductor and information technology (IT) hardware sector has seen some negative market sentiment, but long-term tailwinds and a shifting market cycle have created selective buying opportunities.
  • India is underweight in the portfolio given it is relatively expensive.
  • We see opportunities in the aviation space as the Asia Pacific region is fully re-opened.
  • Global inflation and interest rates could remain higher for longer. If we enter a more difficult market environment, our focus on firms with dominant market positions and strong balance sheets should hold the portfolio in good stead.

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