Following a choppy start to the year for markets globally, Deutsche Bank's Asia strategist, Brad Jones, says institutional investors should monitor a potentially large increase in regional credit growth, credit-tightening measures in China and somewhat frothy asset valuations when evaluating their exposure to potential market volatility.
It has been a mixed start to the year for equity and credit markets. What is your view on holding risk in Asia
We think investors should maintain exposure to risk in Asia, but position portfolios for future volatility. Global macro risks remain and the cyclical environment is likely to become more problematic later this year and into 2011.
Specifically, we see five...