ASEAN, HK top defensive markets

ASEAN, HK top defensive markets

SINGAPORE: ASEAN and Hong Kong were identified as the top
"defensive" markets should the global economy continue to head
for a slowdown, a bank report said on Tuesday.

"We are overweight on all the ASEAN markets and Hong Kong on
their resilient domestic demand," said the ABN Amro Bank report
referring to the Association of Southeast Asian Nations.

Caution was expressed over South Korea, Taiwan, China and
India.

The strategy for funds which have to remain invested in
equities with no option to switch to cash is to maintain a
defensive portfolio, said Eddie Wong, ABN Amro's chief Asian
strategist.

"In our portfolio, which is based on a six-to-12 month view,
we recommend maintaining a defensive and domestic-oriented
portfolio and staying away from the global cyclical plays,
notably technology and basic materials," said the report titled
Asian Anchor. -- dpa