A question taken from Tan Chong Koay‘s webinar titled Growing Your Wealth Through PHEIM.
Index-wise, the China market has underperformed in recent years. If you look at the ASEAN index, you will see it has not performed well either. However, there will be stocks that will do well even though the overall market index may not. The key is identifying such stocks, buying into them when their prices are low, and aiming to make money when the market recovers.
You need flexibility when it comes to investing. You must gauge the market, even if the index is not performing well, and see if the company stock is undervalued.
This is where an active fund manager is so important. If you look at our ASEAN fund, it has outperformed by 500%. This is how we survive for 28 years.