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Manulife Asian Small Cap Equity

Linda Csellak, Head of Asia Pacific Equities at Manulife Asset Management, fund manager of Manulife Asian Small Cap Equity, was coined as the best performing manager in the Asia Pacific Small Cap Equity Sector with return of 67.64% over the past 3 year versus the average return of 25.11%

According to Csellak, the bulk of performance has come from exposure to China, Taiwan and Hong Kong, i.e. the North Asia, over the past year.

According to its Hong Kong Factsheet in September 2013, its assets in China (27.32%), Hong Kong (14.47%), Taiwan (16.49%) and Korea (19.35%) made up 77.63%.

Reasons for the success may be summarised as follows:

  1. Overweight China – even though it don’t like the macro, however it is news they heard from companies that are much more positive.
  2. Overweight North Asia
  3. Insistence on diversification – “No holding accounts for a large percentage of the performance of the fund, so I’m not reliant on that, but there’s a lot of conviction in every holding.”  “The theory is with a number of stocks, you’ll get a number of multi-baggers that drive performance of the fund.

Reference

CityWire, Nick Tay, 2013-09-04, “The best performing Asia Pac Small Cap Manager Reveals Secrets to Success”