The Invesco Perpetual Asian Fund aims to achieve capital growth in Asia and Australasia, excluding Japan. The fund intends to invest primarily in shares of companies in Asia and Australasia (excluding Japan), although it may include other Asian and Australasian related investments that the fund managers consider appropriate which may include units in collective investment schemes, warrants and other permitted investments and transactions.
Asian equities were generally lower during the month as risk aversion rose sharply against a background of volatility in financial sectors. The unprecedented events in the US, which included the collapse of Lehman Brothers, prompted heavy falls across Asian markets in the middle of the month, before hopes of a US rescue plan saw equities in the region rebound strongly. However, ongoing worries about the health of global financial markets saw stocks end the month on a weaker trend.Central banks' change in emphasis, from fighting inflation towards supporting growth, was evident from the first interest-rate cut in six years in China, which was accompanied by a reduction in bank reserve requirements. The reduced threat of inflation was also reinforced by lower consumer price increases during August in China, Korea and Taiwan. Over the month, Korea and the Philippines were the most resilient markets, with Taiwan and Indonesia among the largest fallers.