BBL Asset Management (BBLAM) is overweighting its investment in Chinese and Asean stocks this year as the prospects for economic recovery are higher in Asia than in the West.
China's reopening is a major catalyst for Asia's economy to grow. However, investors should wait for a market correction to buy good stocks at a lower price, said the brokerage.
"Over the past few years Asia has faced challenges," Voravan Tarapoom, chairman of BBLAM's executive board, told the BBL Investment Forum "Global Market Opportunities and the Rise of Asia" on Wednesday.
China is now a superpower and plays important roles both politically and economically, she said.
"What the Chinese people desire most is peace and stability. It is the standing position of Asian powers to give equal respect to all friendly countries," said Ms Voravan.
"Nations must depend on each other, work together, win together and respect each other's sovereignty equally. They must not be unfairly discriminated against."
The company's long-term investment will be aligned with economic policies, international rules, changes in production structure, the industrial sector and the service sector, said BBLAM chief economist Mingkwan Thongpruksa.
"Policies with long-term effects will be the wind under the wings of industry to expand in the long run," said Ms Mingkwan.
"A clear example is China's reopening that took place late last year. This transition is a huge pivot in policy that is not only positive for China, but the effects will also spread to other countries in China's supply chain, which includes Asean's emerging markets.
"When the policy rudder is aligned that way, China will be the main hull to lead the rest of the crew in the same direction."
She said China and Asia represent an opportunity to invest in the early cycle of China's reopening policy that will benefit many industries around the region.
"Investments based on big policies at the beginning of the cycle are usually able to withstand short-term fluctuations to achieve investment goals in the long run. Although short-term volatility can sometimes act like a thunderstorm for a portfolio, long-term policies will be like a big umbrella that can help sustain returns when the rainstorm is over," said Ms Mingkwan.
