With Singles Day here and Black Friday and Cyber Monday soon approaching, most consumers are already keeping their eyes wide open for irresistible promotions and discounts coming their way. With the ongoing retail promotions, investors may be unaware of the existing "discounted" buying opportunity presented in the investment markets, and to be exact, the Asian equities markets.
Shopping VS Investing – Discounts Matter!
11 November started off as a day initiated by single university students in China to celebrate their "singleness" in order to get hitched, various e-commerce platforms have since jumped on the bandwagon to launch attractive sales promotions. Over the past decade, sales across the various online e-commerce platforms over the period has seen such exponential growth that in 2018, the total sales volume has already surpassed that of Black Friday and Cyber Monday combined in the US1.
On the other side of the Pacific Ocean, the day after Thanksgiving is traditionally seen as the start of Christmas shopping season, while Cyber Monday, which is the Monday immediately following Black Friday and its online discounted shopping equivalent, came about with the rise of internet shopping since the mid-2000s.
For consumers, knowing that physical goods can be bought at prices lower than the initial cost price brings about a deep sense of satisfaction, though the same euphoria is not usually felt by investors when markets present a discounted buying opportunity.
For investors, with market sentiments marred by the ongoing US-China trade war and dismal global macroeconomic data within the past year and a half, investors may be more aware of the less-than-satisfactory market performance within the Asia ex-Japan region, as compared to the existing "discounted" buying opportunity within the Asian equities markets.
Similar to the alluring promotions pushed out by retailers to catch hold of customers' attention (and their hard-earned cash), we believe current fundamentals in Asian equities markets are now attractive enough to support buying into investment products that are invested in the Asian markets.
1 CNBC (2019) "The world's biggest shopping holiday is in China — not the US. Here's how Singles Day became No. 1". Available at: https://www.cnbc.com/2018/12/04/how-chinas-singles-day-became-the-worlds-biggest-shopping-holiday.html
Asian Ex Japan - Very Attractive at 4.5 Stars (with Discounted Valuations)!
In an article published on 1 November 2019, our Macro Research Team stated that it is now time for investors to stock up on cheap Asian equities on the grounds of robust upside potentials, and we also maintained our star ratings of 4.5 stars "Very Attractive" for the Asia ex-Japan market.
At FSMOne.com, we believe that it is now a good time to build position in Asian equities at the current juncture, ahead of its expected exports recovery and while valuation remains cheap and supported by robust double-digit earnings growth, the Asia ex Japan equity market now offers an attractive upside potential of over twenty percent by FY2021 using our fair PE ratio of 14.5X on projected EPS of MSCI Asia ex-Japan index.
In another article, our Macro Research Team elaborated on why they think a near-term recovery in Asian exports is imminent, and the two main factors they identified include a cyclical upswing in global semiconductor industry which they expect will drive up trade activities, as well as a re-direction of new orders into existing production capacity in other Asian economies after the one-off trade war shock.
In short, our analysts believe the robust uptrend in Asian exports as seen from the research team's projections, the export-heavy markets such as Singapore, South Korea, Taiwan, Thailand and Malaysia will see a rebound in exports (especially for electronic goods) over the coming quarters. This also serves as an impetus to drive corporate earnings higher for Asian equities, leading to a recovery in economic growth. Similarly, Asian economies may also benefit from the re-direction in new orders into existing production capacity caused by the US-China trade war, with companies trying to side-step the impact of tariff and future uncertainties on Chinese goods. This move will be benefit markets such as Taiwan/South Korea/Singapore.
Time to Shop for Asian Equities on FSMOne.com!
While recent news headlines prevailing in markets may be overly focused on the negativities, and market sentiments have been swayed by messages from political leaders, we believe the imminent recovery in economic fundamentals and the upside potential discussed in the two articles do provide sufficient justifications for investors to start planning and stock up their portfolios with Asian equities in order to take advantage of the current low valuations.
To make investing even more rewarding, and in time for the Singles Day, Black Friday and Cyber Monday promotions period, we have put together a list of Funds and ETFs which invest into Asia ex-Japan equities for promotion! Simply invest in this list of Funds and ETFs identified by our Macro Research Team in the series of Asian markets research articles that they have written, and enjoy more rewards and perks this promotional period!
Receive $10 worth of bonus units* for every S$10,000 invested into any of these Funds:
- A minimum of S$10,000 has to be invested per fund; investments of less than S$10,000 into two or more funds each cannot be combined to be eligible for this promotion.
Enjoy 3 free trades* for these ETFs:
| ETF |
|---|
| Hang Seng H-Share Index ETF (HKEX:2828) |
| Tracker Fund of Hong Kong (HKEX: 2800) |
| Premia Dow Jones Em ASEAN Titans 100 ETF (HKEX:2810) |
| iShares Core MSCI Emerging Markets ETF (NYSE:IEMG) |
| iShares Core MSCI Asia ex Japan Index ETF (HKEX:3010) |
Related Articles:
Asia: Time to stock up on Asian equities as catalysts for recovery emerge
Asia: Export recovery inbound
China-H: The most attractive equity market under our coverage
Hong Kong: Beaten down by overblown fears
ASEAN: The bright spot within emerging markets
Terms and Conditions:
Shopping for Asian Equities Funds Promotion
- This promotion is valid from 11 November 2019 to 6 December 2019 ("Promotional Period"). To be eligible, orders must be placed before 3.00pm on 6 December 2019.
- Cash payments (cheque and internet payments) must reach us by 13 December 2019. Pending cheque trades whereby the payment has not reached us by 13 December 2019 will automatically be voided after this date.
- To qualify for this promotion, investments are subjected to minimums imposed in the Prospectus of the Funds.
- CPFIS-OA, CPFIS-SA and SRS transactions are not eligible for this promotion.
- Payments made by cash and/or switch buy from parking facility funds are eligible for this promotion.
- Switching from other funds and transfer-ins will not be eligible. Transfer-ins that are not eligible include those from the companies using the iFAST platform (including iFAST Global Markets) to FSMOne.com. Please refer to the list of companies here.
- A minimum of S$10,000 has to be invested per fund; investments of less than S$10,000 into two or more funds each cannot be combined to be eligible for this promotion.
- Each FSMOne account holder will be eligible for S$10 worth of bonus units into the respective fund for every S$10,000 invested.
- This promotion is valid on a single account basis only; two or more FSMOne accounts cannot be combined to be eligible for this promotion.
- Eligible investors will receive their bonus units within 6 weeks after the Promotional Period.
- FSMOne.com reserves the right to amend the Terms and Conditions without prior notification.
3 Free Trades on Selected ETFs
- This promotion is valid from 11 November 2019 to 6 December 2019 (the "Promotional Period"). To be eligible, orders must be placed before respective exchanges' closing timings on 6 December 2019.
- The 0% commission fee is applicable for the first 3 trades in only the selected ETFs in this article.
- Full Commission Fees will be credited to the client's FSM Multi-Currency Cash Account within 6 weeks after the end of the Promotional Period.
- A trade can be either a buy or a sell transaction.
- Minimum investment amount is required and dependent on the transacted price and quantity of the Stock/ETF the client is purchasing.
- Only trades in Cash are eligible for this promotion. CPFIS-OA, CPFIS-SA, SRS, and RSP transactions are not eligible for this promotion.
- W-8BEN form submission is compulsory for investment in US securities.
- Only non-US persons are eligible to trade in US markets.
- This promotion is valid on a single account basis only; two or more FSMOne accounts cannot be combined to be eligible for this promotion.
- FSMOne.com reserves the right to amend the Terms and Conditions without prior notification.
Disclaimer
This advertisement has not been reviewed by the Monetary Authority of Singapore.
All materials and contents found in this site are strictly for general circulation and informational purposes only and should not be considered as an offer, or solicitation, to deal in any of the funds or products found/identified in this site. While iFAST Financial Pte Ltd ("IFPL") has tried to provide accurate and timely information, there may be inadvertent delays, omissions, technical or factual inaccuracies and typographical errors. Any opinion or estimate contained in this report is made on a general basis and neither IFPL nor any of its servants or agents have given any consideration to nor have they or any of them made any investigation of the investment objective, financial situation or particular need of any user or reader, any specific person or group of persons. You should consider carefully if the products you are going to purchase are suitable for your investment objective, investment experience, risk tolerance and other personal circumstances. If you are uncertain about the suitability of the investment product, please seek advice from a financial adviser, before making a decision to purchase the investment product. Past performance is not indicative of future performance. The value of the investment products and the income from them may fall as well as rise. Opinions expressed herein are subject to change without notice. In respect of any matters arising from, or in connection with the said research analyses or research reports, recipients of the report are to contact IFPL at 10 Collyer Quay, #26-01 Ocean Financial Centre Building, Singapore 049315, or by telephone at +65 6557 2853. Where the report contains research analyses or research reports from a foreign research house and if the recipient of such research analyses or research reports is not an accredited investor, expert investor, institutional investor or an ex-accredited investor, IFPL accepts legal responsibility for the contents of such analyses or reports to such persons only to the extent as required by law. Please note that only certain security(ies) herein are available to all investors, while the rest are only available for certain persons to invest in, such as Accredited Investors (as defined in the Securities and Futures Act) or one who invests at least S$200,000 (or its equivalent currency) per transaction. To qualify as an Accredited Investor, one needs to submit a declaration form and certain relevant supporting documents, according to iFAST’s prevailing policies and procedures.
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