WS, heck, with simulcast available, nobody has to fly in to see races any more. <G>
My favorite Asian plays are the countries that still have their acts together, still have deep discounts on the CEFs, but have been clobbered with everyone else. These include Taiwan, the Philippines and Singapore.
The Taiwan Equity Fund (TWY) is selling for a nearly 27% discount, and it has done the best on an NAV basis over the last couple of years. I also like ROC Taiwan (ROC), which is not exactly overpriced at a 24% discount. I have never liked Taiwan Fund for some reason, and so far, it has been the worst performer, so I wouldn't play it unless it went to a deeper discount.
First Philippines (FPF) is only at a 14% discount, but the absolute price is about equal to an option. The Phillipines are not is as good a shape as Taiwan and Singapore, because they have a much poorer infrastructure, but they have not committed the excesses we have seen in Thailand, Malaysia and Korea.
Singapore is a terrific country, more so on a relative basis now that Hong Kong is part of Red China. The CEF is at a premium, so I recommend the Web, EWS.
Less related, I love Australia for its resources and it has come down due to the Asian contagion. First Australia (IAF) is at an 18% discount.
Then there are the hold your nose and buy countries that only a true contrarian can love. I own the Malaysia Web (EWM). Yes, the President is cuckoo, but we can't exactly throw stones, now, can we? <G> I also like long the Web, short the Malaysian Fund (MF), which is selling at a 50% premium. But the shares are really hard to borrow.
Pakistan (PKF), at a 25% discount, and India Fund (IFN), Jardine-Fleming India (JFI), and Morgan Stanley India (IIF) all look like "been down so long, it looks like up to me." Of course, if they nuke each other, I didn't say that. <G>
Indonesia is in deep kimshee, and I love to buy kimshee, but the funds are such high premiums I am not playing.
I am starting to warm up to Templeton China (TCH) again. Mark Mobius at an 18% discount in a fund that was down 54% sounds like a good deal to me over the very long haul. I can't think of one good reason to be bullish on China other than that a great depression might be a military threat. And when I can't build a bullish story, it is time to take a look. I haven't jumped yet.
I am also the guy who still owns a third in Japan, via the Web, EWJ. Don't ask me how I'm doing on that one. <G>
MB |
