BEA (Industry Scheme) Asian Equity Fund
BEA (MPF) Industry Scheme
Data as of 2026-06-30
Straight talk on this fund
- Up 82% over the past year — the best of 10 Asian equity MPF funds. Over 5 years it's made 10.8% a year.
- Fund expense ratio 1.27% a year — 19 bps below the median Asian equity fund (1.46%), middle of the range (peers: 1.23%–1.86%). 19 bps below the median — that cost edge compounds every year.
- Risk class 6, near the top of the scale. Worst calendar year on record: 2022 (-24.4%). That kind of drawdown separates the patient from the panicked.
- Top 10 holdings (SK Hynix Inc, Samsung Electronics Co Ltd, Taiwan Semiconductor Manufacturing Co Ltd…) are 41.1% of the fund — concentrated in a handful of names rather than spread across the market. The top three (SK Hynix Inc, Samsung Electronics Co Ltd, Taiwan Semiconductor Manufacturing Co Ltd) alone are 24%: when those names move, the fund moves with them. That 82% one-year gain didn't come from owning the whole market — it came from those big concentrated bets paying off.
- In its best calendar year (2025) it made 33.1%; in its worst (2022) it lost 24.4% — that range tells you what you're signing up for.
- For monthly contributors, volatility can be a friend (buy more when down). Near retirement, that ride needs a second thought. When markets are choppy, position size itself is a decision.
Manager's LensWhat the portfolio reveals about the manager's thinking
Top-10 holdings are 41.1% of the fund. Sk Hynix at 9.6% is the largest single position. The top three together are 24.0%. This is a concentrated portfolio. High conviction — or high concentration risk, depending on your view. Within the top 10, by sector: semiconductors 22.3%, tech hardware 13.4%, tech and internet 2.4%. Within the top 10, by geography: Korea 20.8%, Taiwan 14.6%, US 2.6%. 5 of the top 10 holdings overlap with peers — selective differentiation from the category.
The defining macro exposure is the AI hardware cycle. 35.7% of the top-10 rides semiconductors and tech hardware. Continued datacenter capex is the tailwind; a capex slowdown or inventory correction is the risk. This segment is also the most sensitive to funding liquidity — when liquidity tightens, concentrated cyclical bets feel it first.
Sk Hynix at 9.6% means one company's earnings matter more than the rest combined. It is a great company — that does not automatically make it a good stock at this weight. Selective deviations from peers include Samsung Electro-Mechanics (3.1%), Unimicron Technology (2.6%), Sk Square (2.4%). Note the second-tier component names in the mix. They carry thinner margins and lumpier orders than the headline chip stocks — higher beta on the same cycle.
Growth: tech and semiconductors at 38.1% of top-10; concentration 41.1%. Manager makes selective deviations from peers (5/10 top holdings overlap). AI capex cycle supports fundamentals, but history warns of valuation compression after capex peaks. Note: near-term liquidity tightening amplifies concentrated-portfolio volatility. High concentration means higher volatility; longer holding periods help smooth cycle swings — best as a satellite, not a single holding.
Investment Objective
To achieve long term capital appreciation within a controlled risk-return framework through investing mainly in Asian ex-Japan equities, with some exposure in debt securities / money market instruments.
Trailing Returns ⓘ
| 1 Year | 3 Years | 5 Years | 10 Years | Since Launch | |
|---|---|---|---|---|---|
| Cumulative | +82.03% | +142.67% | +67.36% | +225.29% | +240.95% |
| Annualised | +82.03% | +34.38% | +10.85% | +12.52% | +8.88% |
Calendar Year Returns ⓘ
| 2025 | 2024 | 2023 | 2022 | 2021 | |
|---|---|---|---|---|---|
| Return (%) | +33.14% | +14.05% | +4.75% | -24.41% | +0.03% |
Returns are net of fees. Past performance is not indicative of future returns.
Fund Commentary
Asia (ex-Japan) equities posted strong overall performance in Q2, driven mainly by high-beta AI-related semiconductor hardware, though volatility from Q1 persisted and market divergence remained pronounced. Market volatility intensified in June, driven by concerns over a stronger U.S. dollar and rising interest rates, falling commodity prices following the Iran peace agreement, renewed monetization concerns for AI hardware names, and concerns over Korea’s large outstanding leveraged ETF positions. South Korea and Taiwan continued to benefit from strong demand in the AI semiconductor supply chain and upward revisions to corporate earnings expectations. Hong Kong and Chinese Mainland underperformed, mainly due to disappointing macroeconomic data and tighter cross-border capital controls, leading to offshore market sell-offs. Information technology was the only sector to post positive returns, supported by China’s RMB 2 trillion AI capital expenditure plan, IPO progress within the sector, and better-than-expected earnings.
Portfolio Allocation
Top 10 Holdings
| # | Security name | Holdings Weight |
|---|---|---|
| 1 | SK Hynix Inc | 9.55% |
| 2 | Samsung Electronics Co Ltd | 8.87% |
| 3 | Taiwan Semiconductor Manufacturing Co Ltd | 5.58% |
| 4 | Samsung Electro-Mechanics Co Ltd | 3.10% |
| 5 | Unimicron Technology Corp | 2.62% |
| 6 | Mediatek Inc | 2.58% |
| 7 | SK Square Co Ltd | 2.37% |
| 8 | Delta Electronics Inc | 2.35% |
| 9 | Elite Material Co Ltd | 2.18% |
| 10 | ASE Technology Holding Co Ltd | 1.94% |
| Total | 41.14% |
Fees & Charges
The fund expense ratio shows the total annual cost of running this fund as a percentage of its assets. It is already reflected in the fund price and returns. When comparing similar funds, fees are one of the few factors you can control.
FER is a backward-looking figure from the fund's financial year, taken from provider fact sheets and audited annual reports. It may not yet reflect announced fee cuts.