To: Zebedee Wright, Jr. who wrote (33906 ) 10/29/1997 9:13:00 AM From: D.J.Smyth Read Replies (2) | Respond to of 58324
This news flash came from Brandes Investment Partners this morning who are value players and have been ostensibly negative regarding Asia but now are turning around their attitude (Brandes handles all our large international portfolio accounts). The importance of this position is that Brandes is considered one of the world's premieir wrap account managers for International portfolios and is in the top 5% of returns in the field for the past ten and five year periods: "For years, we have heard about the "Sian Miracle", defined as high econimic growth, low currency risk and generally high stock market valuations. For years, we have been fielding questions as to why we were not generally invested in this region with all this good news and great opportunity. Our only response was simple and consistent, "The stocks aren't cheap enough for us." The perceptions over Asia have changed, it is now being coined "The Asian Disaster". Both perceptions were wrong; it was neither as rosy as believed in the past, nor as dire as is currently viewed. Over the past 18 months, some top Asian companies have gone from trading at 4 times book value to trading at less than book value, while their currencies declined. It may be time to change our answer to, "It's starting to look attractive to us from a value-oriented perspective." Don't be surprised if you see an increased commitment to Asia from our current stance of very limited exposure." If you had placed $100,000 with Brandes in 1988 it would be worth some $2.4 million today, so they have done well for their clients. You can call 1-800-237-7119 if you have questions about this copy or may like to receive copies.