Greater China
Navigate Greater China’s evolving landscape with a different perspective.
The Greater China region includes the China, Hong Kong and Taiwan markets, each offering interesting growth opportunities for long-term investors. Our team has been investing in the region for more than 30 years, with unparalleled insights gained through our on-the-ground meetings with companies.
What we invest in
Dominant consumer franchises
We believe dominant consumer franchises and brands should benefit from rising incomes and the premiumisation trend, and can offer good growth potential over the long term.
Rise in healthcare spending
China’s per capita spend on healthcare is still relatively low and has room to grow. We believe that companies providing drugs and medical services should benefit from an increased focus on healthcare spending and wellbeing.
High quality financials
We believe banks and high quality financials should benefit from similar drivers as consumer businesses: demographics, rising incomes and urbanisation.
A more connected and automated world
We believe an increased focus on research and development should lead to technology champions in niche markets. Domestic component manufacturers could benefit from the trend towards localised production.
Our approach to responsible investment
Non-label disclaimer
Our approach to responsible investing has been shaped by an emphasis on stewardship and the belief that quality managers and good governance should ensure that environmental and social concerns are rightfully addressed. We have integrated sustainability analysis into our investment process and engage extensively on environmental, labour and governance issues.
Sustainable investment labels help investors find products that have a specific sustainability goal. FSSA's products do not have a UK sustainable investment label as they do not have a non-financial sustainability objective. Their objective is to achieve long-term capital growth by following its investment policy and strategy.
Case study: Corporate governance
In 2007, a private equity buy-out effectively turned one of the largest drug companies in China into a private enterprise with an ownership structure that aligns management and shareholders.
FSSA Investment Managers has been a long-term shareholder of the company and, over time, we have engaged with management on a variety of issues such as broader distribution of compensation and attracting talent.
We also highlighted the benefits of having someone with multinational corporation (MNC) experience on the board; subsequently the company appointed Mr Chen Chuan, an ex-VP of another Pharmaceutical and Consumer company in China, as a director. Our engagement with the company highlighted that management is open-minded and willing to listen, which we see as a positive.
Disclaimer: Reference to specific securities (if any) is included for the purpose of illustration only and should not be construed as a recommendation to buy or sell the same. All securities mentioned herein may or may not form part of the holdings of FSSA Investment Managers' portfolios at a certain point in time, and the holdings may change over time.
Investment Insights
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Meet the managers
Martin Lau
Managing Partner
Helen Chen
Portfolio Manager
Winston Ke
Portfolio Manager