Asia continues to lag other regions for integrating ESG principles with investing; better data and stronger regulatory requirements will help institutional investors, market observers say.
Bagga, who started at Deutsche on Wednesday, left Lotus late last year after the money manager was sold to India's Religare Enterprises, part of the Ranbaxy group. He has more than 20 years of experience in financial services. Bagga started his career at Citi and moved into the funds management industry with Pioneer. Before he joined Lotus he was CEO of Kotak Mahindra AMC.
Bagga replaces Nikhil Kapadia who is moving to Singapore where he will be chief operating officer and in charge of business development for Deutsche Bank's private wealth management onshore businesses in Asia. Deutsche Bank officials say Kapadia did such a good job building the onshore business in India, they want to see him replicate the effort in other countries throughout the region.
Deutsche Bank has onshore private banking businesses in nine Asian countries and 15 businesses overall.
Asia, in general, and India specifically, is a key market for private banking businesses. The assets of high-net-worth individuals (HNWIs) in Asia-Pacific are forecast to grow at an annual rate of 7.9% to reach $13.9 trillion by 2012, according to a Merrill Lynch and Capgemini report. The number of HNWIs in India rose 22.7% to 123,000 in 2007, which was the fastest pace of growth in the world.
Merrill Lynch defines HNWIs as those with net assets of at least $1 million (excluding primary residences and consumables).
The appetite of institutional investors for green, social, and sustainable bonds that bring clear environmental and socio-economic benefits shows no sign of waning.
The German insurer has plans for the property sector in Australia and China too.
Global investors are advised to look selectively at Japanese equities as the country recovers from lockdown and continues to improve corporate governance.
Weekly investor roundup: Sun Life weighs second ESG fund in HK; Korea's NPS reduces domestic equity allocation
Sun Life considers launching second ESG fund in Hong Kong as it banks on the growing theme; NPS lowers exposure to large-cap and other domestic shares; Temasek's Vertex Technology Acquisition Corporation becomes first special purpose acquisition company on the Singapore Exchange; and more