Premia Partners

The Taiwan stock market continued to see robust performance and notable decline in short interest, and TSMC just posted a better-than-expected projected 54% rise in Q3 earnings and said demand for high-performance computing chips for servers will more than triple in 2024 compared with last year. For investors interested in allocating this space, hope our recent insight piece would offer useful food for thoughts. #taiwan50 #tsmc #semiconductor #ai #technology #asiatechnology #asia #tradeasiainasia #twse #hkex #diversification

Thank you so much Michael Stanhope Hubbis for having us for this at this amazing event today! It was so good to be in such wonderful audience and on an auspicious day, too! If you are interested in discussing more about what Laura Lui shared at the event today on Taiwan's unique role in global AI ecosystem, or our new Asia investment grade USD bond strategy or existing allocation tools for China, Vietnam, ASEAN, Chinese government bond, US Treasury, etc. please feel free to ping us. Laura Lui

On this very auspicious day we are delighted to share about the listing of the Premia J.P. Morgan Asia Credit Investment Grade USD Bond ETF today. Hope it would be useful for your allocation needs, and please do let us know if there is anything we can assist! Thank you so much for your support :) #AxJ #USD #Investmentgrade #lowTER #taxefficient #quarterlydistribution #tradeasiainasia Premia Partners Hong Kong Exchanges and Clearing Limited (HKEX)

Vietnamese dong appreciated by 1.56% against the US dollar in Aug, marking its strongest gain in 20 months. Vietnam’s trade surplus reached USD 4.5 billion for the month—the highest in four years. Looking ahead, the dong’s continued strength is supported by several favorable conditions, including a potential accelerated rate cut cycle by the US, narrowing negative spreads between the dong and dollar interbank rates, ongoing net foreign exchange inflows from the trade surplus, steady foreign direct investment, and consistent remittances. With the strengthening currency and robust economic fundamentals, the Vietnamese stock market performed well in August, with the S&P Vietnam Core Index rising by 3.73%. Real estate stocks stood out as three amended laws—Land Law 2024, Housing Law 2023, and the Real Estate Business Law 2023—took effect last month. The market is now anticipating the imminent resolution of the "prefunding" requirement this month, which is a crucial factor for potential market upgrades by major index providers. #premia #vietnam #emergingmarkets

As the US Fed rate cut gets imminent, the liquid Asia credit market also is set to benefit from a number of strong tailwinds. In addition to favourable macroeconomic fundamentals, the heterogenous region also offers benefits of broad geographic diversification benefits and positive reinforcement from continued market liberalization and more investor friendly reforms. Within this space, Asian investment grade (IG) bonds set to enter a favorable "Goldilocks" scenario. On one hand, these bonds benefit from the anticipated monetary easing by the US Federal Reserve, which is projected to implement a substantial 240-basis-point rate cut over the next 12 months. On the other hand, the region is expected to sustain healthy growth, with forecasts indicating that many Asian economies will expand at an accelerated pace. In this article, we discuss why Asian IG bonds represent a sweet spot that international allocators sometimes overlook, offering meaningfully higher yields, better credit ratings, and lower duration than their peer IG cohorts from the US and Europe. #premia #asiacredit #investmentgrade #bonds #fixedincome

Given the inextricable links between energy-hungry Artificial Intelligence and renewables, energy storage and smart grids are a necessary “final mile solution” in the intensifying AI race. They provide the critical capability to store and dispatch huge quantities of uninterrupted renewable energy/power on demand without compromising emission reduction targets. In this regard, China is uniquely positioned to tackle the related challenges of AI and renewable energy with its rapid development and upgrades of energy storage systems and smart grids. In fact the country has long been studying intertwined strategic relationship between AI, technology and energy, and studiously incorporate such thinking into its Five Year Plans, and which are subsequently being rolled out as China’s East Data West Computing initiative. Further to our recent insight on China’s “power infrastructure” as the critical enabler for AI-development, in this article, we zoom in on China’s capabilities and investment opportunities in energy storage as the linchpin that holds the last mile solution, and matches renewable energy production with industrial demand in China’s journey to a high-tech, modern society. #Premia #china #energystorage #renewableenergy #AI #greeneconomy #newenergy #photovoltaic #newinfrastructure

In the midst of the AI-driven excitement surrounding major US tech giants, Taiwan has been quietly positioning itself as a significant player in the global technology sector. Over the past two years, Taiwan’s stock market has outperformed all major Asian markets and even surpassed the S&P 500 and Nasdaq 100 in returns. This success can largely be attributed to Taiwan's critical role in the semiconductor industry, which continues to drive its economic growth and investment appeal. In this article, our Senior Advisor Say Boon Lim discusses drivers supporting the unique, strategic moat Taiwan has built over the years, and why it will likely remain an attractive investment destination going forwards, on the expected continued robust growth in demand for semiconductors and its broader economic growth activities over coming years. #Taiwan #semiconductor #AI #hardcoretechnology #dividendyield

The time has come – Federal Reserve chair Jerome Powell finally signalled at Jackson Hole that rate cuts will likely start in Sep, though his remarks offered few clues as to how the Fed might proceed after its Sep gathering. On the surface, extending duration in US Treasuries appears to be a straightforward decision given the assumption that falling interest rates will lead to rising bond prices. However, it is not without risks and complexity as we are entering the rate cut cycle against very different backdrop from previous cycles. In this article, we discuss the intricacies of the upcoming rate cut trajectory, and why US Treasury Floating Rate Notes (FRNs) remains a relevant strategy for investors seeking diversification and stability as a result of the very much inverted yield curve, and market uncertainties in this journey. #USTreasury #Fedratecut #thetimehascome #interestrate #moneyeasing #federalreserve #fixedincome

Going into a July meeting of top party officials at China’s Third Plenum, held once every five years, first-quarter hopes of a 2024 recovery in China’s economy had given way to macro uncertainty, as strength in manufacturing and exports served for many to highlight just how weak domestic sentiment and consumption remain. In this article, Dr. Phillip Wool, Global Head of Research of Rayliant Global Advisors, digs into such challenges and potential paths forward for Beijing, including our thoughts on a Third Plenum meeting that didn’t yield any policy bombshells, but still offers clues as to where investors might focus as we enter the second half ready for bargain hunting. #premia #china #ashares #factorinvesting #multifactor #value #size #quality #growth