As central banks around the world hold record levels of reserves in Chinese renminbi, experts are split on whether the currency will be a rival to the US dollar.
The dollar has been on the rise since the Fed took a hawkish approach to its monetary policy, but what’s next?
Even the weakest countries in Asia should weather US Federal Reserve tapering and a slowing China.
The firm is also looking at allocating more to higher-yielding equity and fixed-income assets, noting how hard it is to achieve target returns these days.
The bank has signed a deal to provide a diversified currency index to Shinkin Asset Management as it pushes FX as a separate asset class to investors in the country.
The UK bank’s head of emerging Asia research, Peter Redward, looks forward to another tricky year for investors and forecasts an Asian bond sell-off.