In south-east Asia, leaders choose feeders

Master-feeder funds and other partnerships have emerged as a winning strategy for international asset managers in south-east Asia outside Singapore. These kinds of structures allow local distributors, such as banks, to offer a wide product set while maintaining an exclusive relationship with the end investor. For international firms, the structures offer a means of raising assets in countries that are otherwise difficult to access. Yet as local asset managers improve their in-house capabilities, international firms must offer distinctive products if they are to maintain or increase their fund raising. “Thai and Malaysian fund houses are generally open to boutique partners and niche products,” said Kian Hong Tan, a senior analyst at Cerulli Associates, which produced a report on asset management in south-east Asia. “Still, as the biggest managers increasingly build their internal investment expertise, they are choosing to work with foreign partners more selectively, to fill small product gaps or to pitch their capabilities externally. Having interesting or new product ideas that meet their local partners' needs will likely help foreign managers stand out.” ©2018 funds global asia

Executive Interviews

INTERVIEW: Operational challenges

Jun 09, 2018

Caroline Higgins of Northern Trust tells George Mitton about A-share inclusion, ETF Connect and why Cayman funds predominate in the region.

INTERVIEW: Making a name

Apr 18, 2018

Formed by a merger in 2012, Old Mutual Global Investors was little-known in Asia. Carol Wong, managing director for Asia-Pacific, is changing that. She talks to George Mitton.


SINGAPORE ROUNDTABLE: Optimism versus caution

Oct 23, 2018

The impact of financial technology, developments in Asian passporting and the promise of new markets in Thailand were among the topics discussed by our panel. Chaired by George Mitton in Singapore.

HONG KONG ROUNDTABLE: a long-term project

Jun 09, 2018

Our panel discussed robo-advisers, ETF Connect, and why the mutual recognition of funds (MRF) scheme will take time to develop. Chaired by George Mitton in Hong Kong.