Spotlight on Yuming Pan’s Allianz Total Return Asian Equity

Spotlight on Yuming Pan’s Allianz Total Return Asian Equity

Yuming Pan’s journey has been an interesting one. He first joined Allianz on the asset management arm in 1999 and soon became part of a global equity team. Within a decade he had risen up to portfolio manager in the Hong Kong office. But in 2010 he left Allianz to take up a post at CSOP Asset management in Hong Kong. It was during his three years with this Chinese firm that he truly recognised that he strengths were on the long side. So he returned to Allianz in 2013 and the rest, as they say, is history.

Pan is adamant that this was the right decision due to Allianz advocating active management, a strategy that he favours. He prefers managing the portfolio exactly as he chooses, and concentrating on stock selection instead of slavishly following the benchmark.

The fund that Pan Manages today is Allianz’s Total Return Asian Equity, an unconstrained Asian ex-Japan. Pan divides the portfolio between three types of firm and has adopted the ethos of ‘two high, one low’. The three types of company at the heart of the portfolio are: high quality dividend names, companies held to deliver high earnings growth and low valuation stocks which are shares that have performed worse than expected.

By holding 40 high conviction stocks, Pan has designed the fund to strike what he believes is an ideal balance between volatility and concentration. Stock selection is underpinned by a solid team of regional analysts and a team of specialised consultants who can offer more far-reaching insights. It is here that the strength of the fund really lies. This local, grassroots research encompasses interviews with stakeholders, vendors and customers, and positions Allianz ahead of the financial markets when it comes to the information that they hold. Every year these consultants conduct over 350 individual studies and the combined pool of knowledge is unparalleled. If a trend is changing or a downturn is brewing, that could impact the fund either positively or negatively, Pan’s team will know about it before anyone else.

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