Hello Robert,
NPL's are still all over 10% of outstandings for almost every country
in the region, and they're rising in China, Taiwan & the Philippines.
Sure its great to be first on board the gravy train, but does the
risk outweigh the reward?
Personally, I'd wait until both positive growth has been registered in Korea and NPL's are totally written off before investing there.
I wouldn't touch any other emerging markets because the political situations are too shaky. As for Japan, it is obviously impressive that the blue chip cos. have all announced various restructurings, but the problem there is also psychological so I wouldn't venture into anything yet. I'd wait for 2 Qs of growth in Japan, 1 for Korea and wouldn't touch any other pac-rim market with a 10-foot pole,
except maybe Australia for a resources play.
I hope I'm wrong about Indonesia, but the situation there is potentially explosive leading up to the June elections.
Paul |
