Asian markets remain robust despite tariffs and geopolitical tensions: JPMAM
Strong domestic revenues, robust tech sectors and the waning star of US assets are contributing to the appeal of Asian markets, executives say
Asian markets have demonstrated resilience in the face of global economic headwinds – including tariffs and geopolitical tensions – due to a combination of strong domestic revenue dominance, robust technology sectors and a more tempered investment sentiment towards US assets, according to JPMorgan Asset Management executives.
Executives at the US asset manager’s inaugural Asia media summit in Seoul, South Korea, on Tuesday said that Asian markets still held a rising appeal for investors.
China was a case in point, said Anuj Arora, head of emerging markets and Asia-Pacific equities, with nearly 85 per cent of listed companies’ revenues generated domestically and corporates engaged in substantial share buy-backs.
“Asian countries are not impacted by tariffs and geopolitics, and the markets are at one-year, three-year, five-year highs – it just keeps going up, even after Friday’s news,” Arora said, referring to US President Donald Trump’s threat to impose a 100 per cent tariff on all Chinese imports and restrict US exports of critical software from November 1.
“We’ve got to separate the geopolitics from the economics,” he added.