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

Display results as :
 


Rechercher Advanced Search

Latest topics
» PB. N0000 (People's Bank)
Yesterday at 2:04 pm by Ethical Trader

» S&P upgrades DFCC Bank’s rating outlook from Negative to Stable
Yesterday at 2:01 pm by Ethical Trader

» Booze Calculator
Yesterday at 2:00 pm by Ethical Trader

» CSE Media Release: Constituent Changes to the S&P Sri Lanka 20 Index
Yesterday at 1:59 pm by Ethical Trader

» The 12 Unbreakable Rules for Succeeding as a Trader
Yesterday at 1:49 pm by Ethical Trader

» Plantations - Analysis by Saliya
Thu Dec 14, 2017 11:31 am by lanka

» ඇලබාමා මැතිවරණයෙන් ඩොනල්ඩ් ට්‍රම්ප්ට පරාජයක්
Wed Dec 13, 2017 5:17 pm by Ethical Trader

» දිවියෙන් සමුගැනීම සමරන්න සාදයක්!
Wed Dec 13, 2017 5:12 pm by Ethical Trader

» පැසිෆික් 'ළදරු දූපත' අඟහරු හඳුනාගැනීමට මගක්
Tue Dec 12, 2017 8:12 pm by CK

» Best combination in Sinhala music: Prem+Victor
Tue Dec 12, 2017 3:49 pm by CK

» JKH trades in a tight channal
Tue Dec 12, 2017 12:09 pm by lanka

» Sri Lanka to push ahead with shipping liberalization
Tue Dec 12, 2017 10:13 am by Ethical Trader

» Investment in listed companies.
Tue Dec 12, 2017 8:45 am by Ethical Trader

» TPL.N0000 (TALAWAKALE PLANTATIONS )
Sun Dec 10, 2017 6:59 pm by කිත්සිරි ද සිල්වා

» Trading
Sat Dec 09, 2017 7:42 pm by The Alchemist

» In the Meantime, Within Our Shores !
Sat Dec 09, 2017 5:39 pm by Ethical Trader

» ඩොලර් මිලියන 251.4 ක IMF තෙවන ණය වාරිකය අනුමතයි
Fri Dec 08, 2017 5:13 pm by Ethical Trader

» IMF approves US$ 251.4 mn to Lanka
Fri Dec 08, 2017 5:11 pm by Ethical Trader

» Strong uptick in exports, FDI
Fri Dec 08, 2017 12:09 pm by Ethical Trader

» Sri Lanka needs more taxes to cover SOE losses,
Fri Dec 08, 2017 12:04 pm by Ethical Trader

» ජෙරුසලමේ තත්ත්වය : ට්‍රම්ප් පියවරට එරෙහිව පලස්තීනුවෝ වීථි බසිති
Fri Dec 08, 2017 11:56 am by Ethical Trader

» Far reaching new Securities Exchange Bill gazetted
Thu Dec 07, 2017 5:39 pm by Ethical Trader

» Is he an Aladdin with a magic lamp
Thu Dec 07, 2017 5:37 pm by Ethical Trader

» CMEC to build 400 MW natural gas power plant in Sri Lanka
Thu Dec 07, 2017 5:35 pm by Ethical Trader

» Cabinet approves signing of share ownership agreement on Hambantota Port
Thu Dec 07, 2017 5:35 pm by Ethical Trader

» ශ‍්‍රී ලංකාව ලෝකයේ දූෂිතම රටවල් හතර තුලට වැටේ..
Thu Dec 07, 2017 5:31 pm by Ethical Trader

» හම්බන්තොට වරාය චීනයට බාර දීම 09 වෙනිදා
Thu Dec 07, 2017 12:50 pm by Ethical Trader

» Dividend Announcement
Tue Dec 05, 2017 5:06 pm by Ethical Trader

» පළාත් පාලන ඡන්දයේ ඇස්තමේන්තු ගත වියදම බිලියන 3 ඉක්මවයි
Tue Dec 05, 2017 2:31 pm by guruji

» ඉන්දියා යාමට ගිය ක්‍රීඩකයන් ගුවන්තොටේදී යළි කැඳවේ
Tue Dec 05, 2017 2:21 pm by Ethical Trader

» උතුරු කොරියානු මිසයිලය : ගුවනේදී "කැතේ පැසිෆික් කාර්ය මණ්ඩලය දුටුවා""
Tue Dec 05, 2017 2:17 pm by Ethical Trader

» මෙක්සිකෝවේ "කොලපැහැ රත්‍රන්" රකින "අලිගැටපේර පොලිසිය"
Tue Dec 05, 2017 2:06 pm by Ethical Trader

» ජෙට්වින්ග් කොටස් වෙළෙඳපොළ සම්ප්‍රාප්තියට දින නියම වෙයි
Mon Dec 04, 2017 1:14 pm by nihal123

» Flying is the Safest mode of Transport
Sun Dec 03, 2017 9:08 am by කිත්සිරි ද සිල්වා

» කෙලවලු පැටවුන් අල්ලන්න එපා: ධීවරයන්ට අවවාදයක්
Fri Dec 01, 2017 7:40 pm by කිත්සිරි ද සිල්වා

» එජාප මන්ත්‍රීවරුන්ට ජනාධිපති විවේචනය කිරීම තහනම්
Fri Dec 01, 2017 11:58 am by Ethical Trader

» හිමගිර පාමුළ විමුක්තිය සොයන බෞද්ධ භික්ෂුණින් වහන්සේ
Fri Dec 01, 2017 11:47 am by Ethical Trader

» දකුණු කොරියාව: ජනපති මෛත්‍රීට අනපේක්ෂිත අමුත්තෙක් මුණගැසෙයි
Fri Dec 01, 2017 11:36 am by Ethical Trader

» Laughter the Best Medicine
Thu Nov 30, 2017 6:08 pm by කිත්සිරි ද සිල්වා

» ඒකාබද්ධ විපක්ෂය සමග සාකච්ඡා අසාර්ථකයි: ශ්‍රීලනිපයට "ජයග්‍රහණය විශ්වාසයි"
Thu Nov 30, 2017 4:12 pm by Ethical Trader

» සීමා නීර්ණ ගැසට් පත්‍රය අවලංගු කළ පෙත්සම ඉවතට
Thu Nov 30, 2017 4:08 pm by Ethical Trader

» අයහපත් කාලගුණය: මරණ සංඛ්‍යාව ඉහළට
Thu Nov 30, 2017 3:57 pm by Ethical Trader

» "උතුරු කොරියාව නව බැලිස්ටික් මිසයිලයක් විදලා" - දකුණු කොරියාව
Wed Nov 29, 2017 1:01 pm by Ethical Trader

» Govt. to release 50 acres of capital land for investments
Tue Nov 28, 2017 11:32 am by කිත්සිරි ද සිල්වා

» Higher oil bill overshadows strong growth in exports
Tue Nov 28, 2017 11:12 am by Backstage

» නැනෝ ඉලෙක්ට්‍රික් හෙට සිට වෙළෙඳපොළේ – එක් ආරෝපණයකින් කිලෝමීටර 200 ක ධාවනයක්
Mon Nov 27, 2017 5:43 pm by Ethical Trader

» Deadly earthquakes could hit a billion people next year
Mon Nov 27, 2017 10:40 am by Backstage

» Only Sri Lanka’s top five stockbrokers profitable
Mon Nov 27, 2017 10:22 am by Backstage

» Brush manufacturer BPPL faced tough six months
Mon Nov 27, 2017 10:17 am by Backstage

» Sri Lanka's got Talent
Sun Nov 26, 2017 11:33 pm by sashimaal

December 2017
SunMonTueWedThuFriSat
     12
3456789
10111213141516
17181920212223
24252627282930
31      

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 : 3223
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 : 3089
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