Insights

We believe our active approach to credit investing allows us to better serve clients, as indiscriminate waves of downgrades following the turbulence that has rattled global financial markets this year presents us with compelling opportunities.

After three consecutive months of strong gains, Asian stocks finally succumbed to profit taking in September triggered by concerns that the global recovery from the COVID-19 pandemic could be running out of steam.

The Australian bond market (as measured by the Bloomberg AusBond Composite 0+ Yr Index) returned 1.08% over the month.

The S&P/ASX 200 Accumulation Index returned -3.7% during the month. Australian equities lagged most developed markets during the month, as most markets took a breather in September.

Although the coronavirus outbreak has caused major disruptions and geopolitical risk is on the rise, markets are looking forward to recovery. In what appears to be a rapidly changing world, many things remain the same and indeed, may be changing for the better.

The Covid-19 pandemic has accelerated the adoption of internet-based healthcare services. Growing in importance, penetration and acceptance, telemedicine will revolutionise and augment Asia’s healthcare systems.

Yoshihide Suga, Japan’s new prime minister, is widely expected to retain his predecessor’s fiscal and monetary policies known as “Abenomics”.

Clearly, it remains difficult to predict events in this volatile environment, but in the interest of our clients, we do our best and fortunately this time, we had virtually unanimous agreement on a similar scenario as in June, both politically and economically.

It does not seem that there are enough differences between Abenomics and the proposed economic policies of likely new Prime Minister Suga to justify the completely new portmanteau “Suganomics,” as a few analysts have suggested.

Another quarter goes by and we are still (in the United Kingdom anyway) limited in our ability to travel and congregate in offices. In my spare time, I often end up searching vainly for fresh and interesting new content, only to revert to watching stalwarts such as the Bourne film series.

NIKKO AM FUNDS’ SEMI-ANNUAL ACCOUNTS AND SEMI-ANNUAL REPORTS FOR THE FINANCIAL PERIOD ENDED 31 DECEMBER 2018

Soft copies of the semi-annual accounts/reports for the funds mentioned in the investor notice dated 28 February 2019 are available on “Authorised Funds” webpage. However, if you are interested to receive printed copies of the semi-annual accounts/reports for the funds that you have holdings in, please contact us at Tel: 1800-535 8025 DID: +65 6535 8025.

Since 2013, Nikko Asset Management’s Foreword™ has been delivering world class insights to institutional investors and advisers across the globe.

NIKKO AM FUNDS’ SEMI-ANNUAL ACCOUNTS AND SEMI-ANNUAL REPORTS FOR THE FINANCIAL PERIOD ENDED 31 DECEMBER 2017

Soft copies of the semi-annual accounts/reports for the funds mentioned in the investor notice dated 28 February 2018 are available on “Authorised Funds” webpage. However, if you are interested to receive printed copies of the semi-annual accounts/reports for the funds that you have holdings in, please contact us at Tel: 1800-535 8025 DID: +65 6535 8025.

Nikko Asset Management New Zealand's Auckland-based fixed income team is responsible for four strategies – New Zealand Cash, New Zealand Bond, New Zealand Corporate Bond and Bond Option.

The fixed income philosophy is that consistent and superior fixed interest returns are best achieved by adopting a diverse range of return generators, implemented in a risk controlled and cost effective manner. Over time, each return generator is expected to add small elements of incremental value, which accumulates to provide consistent and superior results.

Different market environments favour different return generators. By having a diverse range of generators, the portfolio will have a high probability of performing well under all market environments and conditions.

The process is a top-down analysis of medium term economic fundamentals and uses multiple sources of value that are designed to have limited correlation.