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Tuesday, September 16, 2008

Matthews Thinks Small With its New Fund

News summary by MFWire's editors

Matthews International Capital is launching another new fund. The Matthews Asia Small Companies Fund will be managed by by Lydia So, and co-managed by Noor Kamruddin.




Company Press Release

San Francisco, CA, Sept. 15, 2008 — Matthews International Capital Management, LLC, advisor to the Matthews Asia Funds, announced the expansion of its fund lineup today to include a new portfolio dedicated exclusively to investing in the small companies of Asia.

The Matthews Asia Small Companies Fund is a no-load fund that seeks long-term capital appreciation by investing in the stocks of companies in Asia ex-Japan with market capitalizations generally under $3 billion. The Fund is managed by Lydia So, and co-managed by Noor Kamruddin.

"Throughout our history, Matthews has been investing in smaller companies in Asia," said Andrew Foster, Matthews’ acting Chief Investment Officer. "We believe the evolution of Asia’s markets has progressed to a point at which we now feel confident to launch a fund focused on this emerging asset class."

Today, there are more than 8,000 small companies listed on the stock markets of Asia, excluding Japan—compared with more than 6,000 in the U.S. Over the past five years, the region’s small companies have raised US$116 billion through initial public offerings. During this time, almost 2,000 new small companies joined the market and this growth is taking place across all countries in the region.

“Entrepreneurs are seizing opportunities presented by Asia’s growing economies and we are finding small companies with the management expertise and ability to be leaders in a wide variety of industries,” Ms. So noted. Asia’s small companies offer significant long-term growth potential for investors who are willing to accept more risk by placing a portion of their assets in this aggressive portfolio.

Investing in small companies is more risky and volatile than investing in large companies. Investing in international markets may involve additional risks, such as social and political instability, market illiquidity, exchange-rate fluctuations, a high level of volatility and limited regulation.

About Matthews

At Matthews, we believe in the long-term growth of Asia. Since 1991, we have focused our efforts and expertise exclusively within the region, investing through a variety of market environments. As an independent, privately owned firm, Matthews is the largest dedicated Asia-only investment specialist in the United States. Our investment offerings provide a broad range of choices for building a global portfolio that includes exposure to one of the world’s fastest-growing regions. With nearly $9 billion in assets under management as of June 30, 2008, Matthews employs a bottom-up, fundamental investment philosophy, with a focus on long-term investment performance. For more information please visit matthewsasia.com.
 

Edited by: Erin Kello


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