Our survey of the Asian financial community, “How Asia sees the West”, includes the views of top investors, sellside analysts and corporates in Hong Kong, Singapore and Kuala Lumpur. Despite the political uncertainty in the UK, we found a notable rise in investment interest in the UK, with nearly two thirds of respondents not regarding Brexit as a major obstacle.
Outside of the UK, interest in the US has increased in the last year, whereas there was coolness on the Eurozone, with 60% of respondents expecting further countries to exit the EU. Generally, the respondents were cautious on their home markets as well as on China, due to concerns about global protectionism.
This positive stance towards the UK, as well as the fact that the appetite of Asian investors for global equities has risen in the last year, would suggest an opportunity for UK companies to find increased investment.
Yet in spite of this interest, it seems that UK companies have become less – not more – visible to Asian investors. Asian companies also said that they are seeing less interest from international investors, especially in their home market, which suggests a need to consider more corporate activity outside Asia.
For UK companies looking for investment and opportunities in the run-up to Brexit, investors in Asia are more receptive than they might expect. They could do much worse than testing the waters on the opportunities in the region.
If you would like a copy of the full survey, please email Brooke Hughes on: BHughes@bellpottinger.com