Neuberger Berman has launched a thematic Uctis fund targeting businesses involved in the rising use of 5G across Asia.
According to YT Boon, a co-manager of the fund based in Hong Kong, Asia is emerging as the new Silicon Valley.
The fund will invest in innovative technologies and businesses in the early adoption phase of the 5G technology.
Comprised of 30-60 stocks, the Neuberger Berman InnovAsia 5G fund will focus on companies with a market penetration of less than 20% working in areas such as 5G network infrastructure, digital lifestyle trends, the internet of things, and industrial innovations.
Boon said: “Spearheading technology innovation and adoption, this fast-growing region is no longer just a low-cost manufacturing base. By 2025, Asia will dominate 70% of 5G connections globally.”
The fund will also be managed by Hari Ramanan, who is based in New York, and will analyse ESG factors across the portfolio.
Ramanan said: “Driven by technology adoption in younger and older generations, Asia has leapfrogged the West to become an innovation powerhouse. The region dominates in leading edge semiconductor manufacturing, digital healthcare and online education services, and has set the scene for e-commerce, robotics, clean tech and logistics.”
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