What drives the Asian consumer? – Wellness

The pandemic has worked like a wake-up call, reminding us all how valuable and critical it is to stay healthy. Even before the pandemic, people in Asia were already starting adopt healthier lifestyles. This was a result of an ageing population and rising incomes leading to raised awareness of health benefits. In China alone, the number of certified marathons in 2019 reached more than 1,800, increasing from below 150 in 2015. 

From the supply side, healthcare companies are continuously developing and growing their product offerings. For example, biotech and pharmaceutical companies are formulating a wide range of product pipelines for specific medical symptoms and medical services providers, such as hospitals and clinics, are ramping up to offer localized services.

From a structural perspective, we see Asia as a region where large unmet medical needs and fast-growing innovations are combining to drive transformation in the healthcare space.

There have been significant fundraising activities in the healthcare sector recently. More and more companies have listed in different parts of Asia, forming a large and high growth universe for investors to tap into. The Asia Consumer Demand Fund has an overweight in the healthcare sector including select pharmaceutical and medical device companies. These have been a key contributor to the fund’s outperformance in the past.