On-the-ground insights on strong thematic verticals
Differentiated coverage on 800-plus stocks across Asia
Providing specialist coverage of key verticals including Technology, Energy Transition & Commodities, Consumer, and Healthcare
Asia is experiencing sharply diverging trends, making the investing landscape more nuanced than ever. To help clients and partners identify the best opportunities across the region, our 2024 Asia Conference will explore these trends in more depth. The event brings together our Asia Equity Research team, expert speakers, business leaders and key corporates to share insights and trends across energy transition, technology, consumer healthcare and more.
Our bottom-up forecast shows AI driving datacentre power demand doubling to ~3% of global demand by 2028. This presents immense opportunities for companies that can facilitate this growth, and for those that can invest in them. It also exacerbates challenges for power grids worldwide, already struggling to cope with the energy transition after years of underinvestment.
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We parse the rapidly expanding AI landscape to uncover an initial Generative AI/ LLMs (large language models) total addressable market of $436bn from real demand drivers across software and hardware. Memory is the bottleneck and advanced packaging the workaround (ASE) for Software’s new demands on Asia’s AI hardware ecosystem.
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Despite tempering market expectations, we remain bullish on electric-vehicle industry growth. Demand for electric vehicles (EVs) continues amid falling battery prices, new models, the move to price parity, and increasing fast-charging capacity.
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The automobile market in Asia is leading the global transition from internal combustion engine vehicles to electric (and hybrid) vehicles. While competition amongst manufacturers, greater consumer choice and maturing battery supply chains have driven the mass market adoption of EVs in China, affordability and the slower pace of behaviour change have seen more limited uptake in developed markets like the Americas and Europe.”
James Hong,
Head of Asia Energy Transition and Commodities
The recovery of the consumer market in China is likely to be uneven, with high-end and mass-end consumption outperforming that in the middle; lower-tier cities outperforming higher-tier ones; and demand during holiday periods outperforming. Even though we believe service consumption remains resilient and we could see secular recovery with the growth of education, travel and entertainment.”
Linda Huang,
Head of Asia Consumer Research
Asian biopharmaceutical and medical device firms are quickly becoming a key source of innovation as the industry grapples with expiring patents and falling drug prices; the decoupling of the healthcare supply chain is also creating winners and losers. We are excited about the tremendous investment opportunities healthcare in Asia could offer.”
Tony Ren,
Head of Asia Healthcare Research
The next 5-10 years will see large, sustained investment in technology and chipmaking capacity, aimed at enabling diffusing advanced data processing from the network edge to the cloud. We expect significant activity to be directed at discovering and exploiting at scale the business opportunities enabled by the flood of data from sensors and online activity.”
Damian Thong,
Division Director, Senior Research Analyst
Technology
Arthur Lai
Consumer
Linda Huang
Critical Minerals and Energy Transition
James Hong
ESG
Charles Yonts
Healthcare
Tony Ren
ASEAN
Jayden Vantarakis
Global Strategy
Viktor Shvets
