In highly efficient markets with deep liquidity, broad analyst coverage and rapid information dissemination, passive strategies can offer a cost‑effective way to capture market returns. But this logic weakens materially when applied to Asia.

Asia is not a single, homogenous investment environment. It is a mosaic of developed, emerging and frontier markets, each with distinct regulatory regimes, corporate governance standards, liquidity profiles, and investor bases.

The region’s equity markets are structurally different. Lower levels of real‑time information, price transparency and analyst coverage across many Asian markets have historically resulted in lower market efficiency, creating conditions where active management becomes essential.

Read | Eastspring Deep Dive

Eastspring Investments

Founded in 1994, Eastspring Investments is a wholly-owned subsidiary of Prudential plc. Eastspring Investments (Singapore) Limited serves as a global hub for Eastspring Investments’ asset management business. Its deep understanding of Asian markets, paired with global perspectives, enables the firm to develop and deliver unique investment solutions for investors.

Information provided is general information and is for educational purposes only, and does not include, or constitute as, financial product advice.