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Sunday, July 26th, 2026

Asia Offers Superior Investment Value vs US Equities in 2026: Top Markets & ETF Picks 1239

Broker Name: iFAST Financial Pte Ltd
Date of Report: 29 Apr 2026

Excerpt from iFAST Financial Pte Ltd report.

Report Summary

  • Actionable Call: Underweight US equities due to high valuations (S&P 500 at 20.9x forward earnings vs. Asia ex-Japan at 12.2x). Recommend tilting portfolios toward Asian markets, specifically Singapore, Taiwan, South Korea, Malaysia, China, and Japan.
  • Key Investment Ideas:
    • Maintain exposure to US tech—digital economy (AI, cloud) remains attractive, but broader S&P 500 is expensive.
    • South Korea: Semiconductor sector (AI-driven supercycle) offers strong earnings and reasonable valuations—consider SK Hynix and related ETFs.
    • Taiwan: TSMC benefits from agentic AI trends; strong earnings growth and raised 2026 outlook above 30% YoY.
    • Singapore: Equity market revival; STI Index supported by resilient banks/REITs, attractive 4-5% dividend yield. Consider LionGlobal Singapore STI ETF (SGX:G3B).
    • Malaysia: Upgraded 2026 GDP outlook, broadening market momentum, and attractive valuations after last year’s sell-off.
    • Japan: Ongoing corporate reforms and structural sector growth (semiconductors, capital equipment).
    • China: Near-term volatility but positioned for earnings recovery; energy risks manageable and price competition easing.
  • Recommended Products (selected ETFs/Funds):
    • Japan: Xtrackers Nikkei 225 UCITS ETF 1D (LSE: XDJP)
    • Singapore: LionGlobal Singapore STI ETF (SGX:G3B)
    • Malaysia: iShares MSCI Malaysia ETF (NYSE:EWM)
    • China: iShares Hang Seng Tech ETF (HKEX:3067)
    • South Korea: Franklin FTSE South Korea ETF (NYSE: FLKR)
    • Taiwan: Franklin FTSE Taiwan ETF (NYSE: FLTW)
    • Asian Semiconductors: Global X Asia Semiconductor ETF (HKEX:3119)
  • Sector to Avoid: US Consumer Discretionary due to weak sentiment, high inflation expectations, and eroding purchasing power.

Above is an excerpt from a report by iFAST Financial Pte Ltd. Clients of iFAST Financial Pte Ltd can be the first to access the full report from the iFAST Financial Pte Ltd website : https://secure.fundsupermart.com/fsmone