The Investor Sentiment - Equity and investments forum for Sri Lankans
Search
 
 

Display results as :
 


Rechercher Advanced Search

Latest topics
» East West ගනුදෙනුවෙන් කොටස් පිරිවැටුම බිලියනය පනී
Today at 7:04 am by malanp

» Dividend Announcement
Today at 2:21 am by Rana

» How to identify a stock market bottom
Yesterday at 5:15 pm by Ethical Trader

» ලොව බලවත්ම ගැහැනිය වූ සායම් බාස්‌ගේ දුව
Yesterday at 4:03 pm by Ethical Trader

» පිටිදූවේ සිරිධම්ම හිමි ඇත්ත කතා කරයි.
Yesterday at 12:53 pm by sashimaal

» CIC රුපියල් මිලියන 238 කට කෘෂි රසායනික සමාගමක් මිල දී ගනී
Mon Oct 16, 2017 6:49 pm by nihal123

» ධම්මික පෙරමුණට එයි
Mon Oct 16, 2017 3:23 pm by Ethical Trader

» Govt. mulls removing barriers to allow Lankan firms hire foreign labour
Sun Oct 15, 2017 10:30 am by කිත්සිරි ද සිල්වා

» එන්ට්‍රස්ට් මුදල් ගිලපු හැටි ගිණුම් වාර්තා හෙළි කරයි
Sat Oct 14, 2017 5:50 pm by nihal123

» Laughter the Best Medicine
Sat Oct 14, 2017 4:43 pm by Ethical Trader

» Panama Papers: Huge leak reveals elite's tax havens/ධනවතුන්, බලවතුන් ධනය හැංගූ හැටි හෙළිවෙයි .ලංකාවත් පැනමා පේපර්ස් ලැයිස්තුවේ
Fri Oct 13, 2017 4:49 pm by yellow knife

» කොටස් මිල ඉහළ යාම ගැන CSE විමසයි. HVA කරුණු පහදයි
Fri Oct 13, 2017 11:30 am by Ethical Trader

» තායිවාන් ගිණුම් හැක්‌ කර කෝටි 35කට විදලා! - හිටපු හමුදා පුත්‍රයා රිමාන්ඩ්
Wed Oct 11, 2017 10:32 pm by nihal123

» LIOC.N0000 (Lanka IOC PLC)
Tue Oct 10, 2017 9:56 pm by First Guy

» The Myth of Average !
Mon Oct 09, 2017 1:13 pm by Expert

» SPEN.N0000
Mon Oct 09, 2017 12:36 pm by nihal123

» Plantation sector updates
Sat Oct 07, 2017 6:41 pm by Senarath67

» Plantation Sector - Yesterday, Today and Tomorrow
Sat Oct 07, 2017 12:19 pm by CK

» කොටස්-වෙළෙඳ-පොළට-සූදු-කෙළින්නන්-ඇවිත්?
Wed Oct 04, 2017 6:49 pm by CK

» GSP+ ලැබීමෙන් පසු ඇඟලුම් අපනයන ආදායම ඉහළ ගියේ මෙහෙමයි
Tue Oct 03, 2017 3:17 pm by Rana

» TJL.N0000 (Textured Jersey Lanka PLC.)
Tue Oct 03, 2017 1:41 pm by CK

» ගෝලීය තරඟකාරීත්ව දර්ශකයේ 85 වැනි ස්ථානය දක්වා ශ්‍රී ලංකාව පහළට
Mon Oct 02, 2017 3:37 pm by Ethical Trader

» කාගිල්ස්, මිලියන 4,200 කට ඩෝසන් කාර්යාල සංකීර්ණය විකුණයි
Mon Oct 02, 2017 11:19 am by nihal123

» SAMP.N0000 (SAMPATH BANK PLC)
Mon Oct 02, 2017 10:40 am by Ethical Trader

» In the Meantime, Within Our Shores !
Sat Sep 30, 2017 9:04 pm by කිත්සිරි ද සිල්වා

» සනත් අයියා ගහන ගැහිලි !
Fri Sep 29, 2017 6:55 pm by Ethical Trader

» 'මොනා ලීසා' නිරුවත් උඩු කයින්
Fri Sep 29, 2017 6:42 pm by Ethical Trader

» CB Governor offers key insights
Fri Sep 29, 2017 10:57 am by කිත්සිරි ද සිල්වා

» The Govt. Doesn’t wish to pay off debts at once’
Thu Sep 28, 2017 10:08 pm by Backstage

» රවීගේ ‘මහ බැංකු හොරු‘ කතාවට අධිපති ප්‍රතිචාර දක්වයි
Thu Sep 28, 2017 5:17 pm by Ethical Trader

» Sri Lanka Hambantota Port JV to be operational from November
Thu Sep 28, 2017 5:14 pm by Ethical Trader

» Obituary Notice.
Thu Sep 28, 2017 3:05 pm by කිත්සිරි ද සිල්වා

» නේෂන් ලංකා තැරැව්කරුට සියලු ගනුදෙනු තහනම්
Wed Sep 27, 2017 8:04 pm by nihal123

» තායිලන්තයේ හිටපු අගමැතිනියට සිර දඬුවම්
Wed Sep 27, 2017 6:02 pm by Ethical Trader

» විද්‍යා ඝාතනය: වරදකරුවන් හත් දෙනෙකුට මරණ දඬුවම
Wed Sep 27, 2017 5:59 pm by Ethical Trader

» Flying is the Safest mode of Transport
Wed Sep 27, 2017 5:33 pm by කිත්සිරි ද සිල්වා

» Oil,gold, silver Prices
Wed Sep 27, 2017 2:08 pm by කිත්සිරි ද සිල්වා

» JKH.N0000
Wed Sep 27, 2017 11:37 am by LSE

» Piece Price
Tue Sep 26, 2017 7:15 pm by pee ratio

» ලිට්රෝ ගෑස් මිල ඉහළට
Mon Sep 25, 2017 11:00 pm by nihal123

» යුනිටි ප්ලාසා හිමිකමෙන් 23% ක් රේණුකා යටතට
Mon Sep 25, 2017 7:39 pm by nihal123

» Plastic-degrading fungus found in Pakistan rubbish dump
Sun Sep 24, 2017 8:54 pm by කිත්සිරි ද සිල්වා

» CSE HOLIDAY LIST 2018
Fri Sep 22, 2017 5:20 pm by Rana

» ට්‍රම්ප් "මොළය අවුල් වූ මැරයෙක්" - කිම් ජොන්ග් අන්
Fri Sep 22, 2017 2:37 pm by Ethical Trader

» No one must die of cancer
Thu Sep 21, 2017 11:14 pm by කිත්සිරි ද සිල්වා

» ට්‍රම්ප්ගේ දේශනය "සුනඛයෙකුගේ බිරීමක්"
Thu Sep 21, 2017 6:05 pm by Ethical Trader

» ලංකා බැංකුව, මහජන බැංකුව සහ ශ්‍රී ලංකා ඉන්ෂුවරන්ස් කොටස් වෙළෙඳපොළට
Thu Sep 21, 2017 6:01 pm by Ethical Trader

» ලංකා සිමෙන්ති කොටස් ගනුදෙනුවල අසාමාන්‍ය හැසිරීමක් – සභාපති කරුණු පහදයි
Wed Sep 20, 2017 8:06 pm by nihal123

» උතුරු කොරියාව විනාශ කරනවා - ජනාධිපති ඩොනල්ඩ් ට්‍රම්ප්
Wed Sep 20, 2017 12:33 pm by Ethical Trader

» Nanodegrees
Tue Sep 19, 2017 11:40 pm by Backstage

October 2017
SunMonTueWedThuFriSat
1234567
891011121314
15161718192021
22232425262728
293031    

Calendar Calendar

Disclaimer


Information posted in this forum are entirely of the respective members' personal views. The views posted on this open online forum of contributors do not constitute a recommendation buy or sell. The site nor the connected parties will be responsible for the posts posted on the forum and will take best possible action to remove any unlawful or inappropriate posts.
All rights to articles of value authored by members posted on the forum belong to the respective authors. Re-using without the consent of the authors is prohibited. Due credit with links to original source should be given when quoting content from the forum.
This is an educational portal and not one that gives recommendations. Please obtain investment advises from a Registered Investment Advisor through a stock broker

Top global fund manager upbeat on Sri Lanka’s future prospects

View previous topic View next topic Go down

Top global fund manager upbeat on Sri Lanka’s future prospects

Post by Backstage on Tue Jul 18, 2017 9:53 am

Top global fund manager upbeat on Sri Lanka’s future prospects

Tuesday, 18 July 2017 00:00


By Nisthar Cassim

T. Rowe Price, a global investment management organisation with $861.6 b in assets under management, is upbeat on Sri Lanka’s future prospects and it is walking the talk by doubling exposure in listed equities with appetite for more.

The investments in Sri Lanka are via its T. Rowe Price Frontier Markets Fund and Asian Equity Fund, and its Vice President Oliver Bell who was in Colombo last week said the Fund’s optimism was reflected by the fact that it was overweight on Sri Lanka.99

The Frontier Markets Fund started investing in Sri Lanka about two years ago following the election of new Government. However, the increase in the Frontier Markets Fund’s exposure from 5% to 10% had been during the past six months and Bell hinted it would grow further.

Overall via the two funds, T. Rowe Price has invested $ 80 million in listed equities. Rowe Price also owns approximately $ 350 million of Sri Lankan related debt in the Group’s emerging fixed income funds.

The T. Rowe Price Frontier Markets Fund seeks to identify long-term market leaders in countries on the cusp of rapid development. Currently the fund invests in 24 developing countries globally with $ 360 million assets under management as at 13 July. The Group has dedicated Emerging Markets equity assets of $ 21.7 billion as at end March.

The fresh optimism on Sri Lanka is spurred by what Bell described as emerging signs of better policy coordination and implementation, especially after the mini-Cabinet reshuffle.

“What is happening now is ideally what should have happened two years ago,” noted Bell, who is also Rowe Price Group’s Lead Portfolio Manager and Chairman of the Investment Advisory Committee for the T. Rowe Price Middle East and Africa Equity Strategy and also the Frontier Markets Equity Strategy.

“When we originally came, just like the nation, we had a lot of hopes and expectations. The first Budget being populist was understandable with expectations of a follow-up business-friendly Budget. However Sri Lanka has had several challenges during the past two years and more recently drought followed by floods have posed additional difficulties,” he said.

“Nevertheless it appears the Government is committed to improve the economy’s prospects, which in turn will help corporate earnings. From that perspective we are bullish,” emphasised Bell, whose Frontier Markets Fund takes a 10-year long-term view.

“We expect positive changes in the upcoming Budget and greater clarity. We also look forward to greater coordination in policy and implementation,” said Bell, adding his latest visit showed signs for more optimism.

“With natural disasters likely to dent growth in 2016, next year looks more promising,” he said, adding that the IMF program was positive for Sri Lanka and comforting for investors.

Along with CT CLSA Securities, Bell met Deputy Economic Affairs Minister Dr. Harsha de Silva and Central Bank Governor Dr. Indrajit Coomaraswamy, apart from a host of companies in which the Fund has invested as well as some of the prospective companies.

According to Bell, Frontier Markets Fund has exposure to listed equities in 24 countries and finds Sri Lanka the most positive as valuations are very cheap with a host of well-managed companies whose stocks are attractive with good growth potential.

“The banking sector is relatively cheap and there are several other sector stocks which are reasonably priced,” revealed Bell, who finds construction, telecom and consumer goods among promising sectors.

“For us Sri Lanka has been the ‘longest overweight,’” said Bell, who notes many investors haven’t realised the full potential of Sri Lanka whilst the country on its part is yet to maximise from the post-war potential.

“If the Government starts delivering, investor confidence – both foreign and local – will rise significantly,” added Bell.

He also pointed out that Sri Lanka stands to gain if it can better harness its strategic geographic location with greater integration with giant India and China, which are big growth markets. “Sri Lanka should grab the opportunities arising from its locational advantage. With greater integration, Sri Lanka can be a conduit for China and India and a growth hub for South Asia as well,” he added.

Bell acknowledges that local investors have been subdued but understands their confidence is picking up.

“Politics is noise and too much of it unfortunately lets buying of good companies cheap. The market appears to have reacted to this noise. Ideally politics must align with economy more. If this happens Sri Lanka can be on a good growth path,” emphasised Bell.

Seemingly seeing signs of such alignment taking place and with hope of it gathering momentum in the near term, Bell said: “The Frontier Markets Fund is investing today so as to reap better returns as the economy takes off.”

According to Bell, T. Rowe Price believes many frontier market economies are experiencing a common long-term path to prosperity. “Despite what is often heard in the press, there is currently more peace across the world than at any other time in history – with only a handful of conflicts occurring. This has allowed democracy to take hold in an increasing number of frontier outposts, with politicians incentivised to make widespread economic improvements in order to stay in power,” said Bell, who has two decades of investment experience.

“These economic reforms often lead to an influx of foreign investment, which in turn leads to strong economic growth and provides a tailwind to the corporate sector where we can find many exciting investment ideas. We aim for long-term capital growth by investing in a diverse portfolio of high quality companies from across the entire frontier universe,” emphasised Bell.

Prior to joining the firm in 2011, he was Head of Emerging Markets Equities Research at Pictet Asset Management (the institutional asset management arm of Pictet & Cie, the largest private bank in Switzerland), where his responsibilities included managing several funds, as well as a team of analysts.

During his time at Pictet, Bell was directly responsible for managing investments in the emerging Europe, Middle East and Africa region as part of the global emerging markets and the standalone Middle East and Africa portfolios. Bell also managed the Global Emerging Markets High Dividend Yield Equity Strategy. Bell holds the Investment Management Certificate (IMC) and has a Bachelor of Science Degree from Exeter University.

Founded in 1937, T. Rowe is a global investment management organization with $861.6 billion in assets under management as of 31 March. It is focused on delivering global investment management excellence that investors can rely on-now and over the long term. T. Rowe Price’s disciplined, risk-aware investment approach focuses on diversification, style consistency, and fundamental research.
avatar
Backstage
Top contributor
Top contributor

Posts : 3170
Join date : 2014-02-24

Back to top Go down

Re: Top global fund manager upbeat on Sri Lanka’s future prospects

Post by Ethical Trader on Tue Jul 18, 2017 1:45 pm

Thanks Back. Its a good news for the CSE.
avatar
Ethical Trader
Top contributor
Top contributor

Posts : 2754
Join date : 2014-02-28

Back to top Go down

View previous topic View next topic Back to top


 
Permissions in this forum:
You cannot reply to topics in this forum