Investors are optimistic about Asia’s emerging equities due to potential monetary easing, despite domestic risks. Asian central banks have room to cut rates with a dovish Federal Reserve. Indonesia, Thailand, and the Philippines have already cut rates in response to softening growth, with South Korea also considering further easing.

Fund managers are bullish on Southeast Asian companies, expecting positive fundamentals to support equity markets. Most Asian EM indexes, including South Korea and Taiwan, have been hitting record highs. Investors are positive on India’s growth narrative and South Korea’s “Value-Up” program to unlock shareholder value.

India remains a preferred market for investors due to its growth potential, while South Korean shares are supported by corporate governance reforms and structural growth drivers. Overall, investors remain upbeat on Asia’s emerging equities and see potential for further gains in the region.

Read more at Yahoo Finance: Policy easing fuels optimism in Asian EM equities despite political headwinds