There is definite proof that sustainability-focused funds are outperforming their conventional counterparts. But some experts believe the traditional explanations for this are wrong.
Equity funds bore the brunt of the losses, posting an average decline of 1.65%. Bond funds managed to post an average return of 0.32%.
Kenneth Koh, Singapore-based head of research at Lipper, says fundamentals of the Singapore shares remain largely intact and valuations are looking more reasonable following the selloff last month.
However, local developments will likely continue to hurt property stocks while the US subprime mortgage crisis would continue to weigh on banking shares.
A recent additional property redevelopment tax hike by the Singapore ôappears to have struck a chordö in the otherwise piping-hot property market, Koh says.
In late-August, the Singapore government increased the tax on redevelopment by an average of 58% across regions on sites for non-landed residential property and 11% for landed residential property.
ôCaution has since set in among local and foreign investors alike,ö he says. ôThis is likely to put a dent in the performance of property counters.ö
Average August performance of fund groups registered for sale in Singapore, by asset types:
Bond Funds +0.32%
Protected Funds -0.05%
Hedge Funds -0.14%
Money Market Funds -0.37%
Target Maturity Funds -0.67%
Mixed-Asset Funds -0.67%
Guaranteed Funds -0.72%
Equity Funds -0.65%
Top 5 fund sectors in terms of performance in August, with their average gain:
Equity China +4.12%
Equity Sector Biotechnology +3.43%
Equity Greater China +2.65%
Equity Sector Utilities +2.64%
Bottom 5 fund sectors in terms of performance in August, with their average loss:
Equity Malaysia/Singapore -9.46%
Equity Malaysia -9.23%
Equity Asia-Pacific Small- and Mid-Cap -7.09%
Equity Indonesia -6.94%
Equity Thailand -6.9%
Top 5 equity funds in August, with gain:
ABN Amro China Equity +11.03%
HSBC GIF Chinese Equity +6.88%
UBS (SG) IF û Biotech +6.37%
DWS China Equity +6.09%
SGAM Golden China +5.74%
Bottom 5 funds in August, with loss:
Lion Capital Malaysia -13.47%
Legg Mason Southeast Asia Special Sits Trust -12.76%
Lion Capital Singapore/Malaysia -11.83%
United Asian Growth Opportunities Fund -11.29%
AsianInvestor reveals the first half of our marquee winners for this year's Asset Management awards, including best asset service provider and top alternative fund houses.
The number of millionaires in mainland China grew by 35% in 2020, while the number of millionaires in Hong Kong fell by 7%, according to a new report from the private bank.
The Australian pension fund joins other asset owners in eyeing private credit opportunities in the Asia-Pacific region, although liquid defensive assets retain a majority of allocations.
Alternatives news roundup: Asia Pacific's alternatives market to hit $6tr by 2025; Indonesia's SWF to buy troubled toll roads
Asia Pacific alternatives market to grow to $6tr by 2025; Australian private capital assets rose to A$77 billion in mid-2020; Chinese authorities limit cash management products holding riskier securities; Indonesia's sovereign wealth fund to acquire several toll roads; Korean institutional investors support scheme to buy US asset-backed securities; and more.