China, Taiwan Stocks Favored, Eastspring's Graham Says

The video discusses trade frictions and their impact on markets, emphasizing a cautious investment strategy. It explores the effects of trade spats, market volatility, and potential catalysts like dollar liquidity and Fed policy. The resilience of the tech sector and investor psychology are examined, along with opportunities in emerging markets, particularly in China and Taiwan equities. The importance of stock selection in a volatile environment is highlighted.

What is the current approach investors are taking towards risk assets?

• Avoiding risk assets completely

• Aggressively buying risk assets

• Cautiously optimistic

• Focusing only on safe haven assets

Why is stock selection crucial in the current market environment?

• All companies are performing equally well

• Tariffs affect companies differently

• Stock selection is not important

• Only large companies are affected by tariffs

What is a potential catalyst for turning around Asian equities?

• Increased tariffs

• Higher interest rates

• A weaker dollar

• Stable oil prices

How are investors reacting to the tech sector during market sell-offs?

• Ignoring tech stocks

• Avoiding tech stocks

• Buying tech stocks

• Selling tech stocks

What is the preferred hedge strategy mentioned for emerging markets?

• Underweight emerging markets

• Invest in all emerging markets

• Avoid all emerging markets

• Overweight emerging markets

Which region in Asia is seen as a more defensive market?

• Taiwan

• India

• Japan

• South Korea

What is a concern for the Chinese equity market?

• High idiosyncratic risks

• Low tech sector involvement

• Use of stocks as collateral

• Stable market conditions