This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

G. Paul Matthews Sees Riches in Asia


G. Paul Matthews,
Chairman and Chief Investment Officer Matthews Asian Funds
Information: Web site

"Asia," Hubert Humphrey once remarked, "is rich in people, rich in culture and rich in resources. It is also rich in trouble."

Any investor who has dipped a toe in the region during the past decade can appreciate that sentiment. No one understands the complexities of investing in Asia better than the subject of this week's 10 Questions, G. Paul Matthews.

Matthews founded Matthews International Capital Management in 1991 on the belief that Asia "will be the most dynamic growth region of the 21st century." The course of dynamic growth never does run smooth, but the firm's six no-load Asian funds have turned in a most-impressive long-term performance. For a five-year period, the Matthews Korea fund is in the top 1% of its peers (27.6% average annual return), the Growth & Income fund ranks in the top 2% (15.63%) and the Pacific Tiger fund makes the top 4% (11.25%), according to Morningstar. The three-year performance of the newer Matthews funds is stellar as well: The China fund beats all but 2% of its peers (3.95%), the Asian Technology fund is in the top 21% (-29.79%), and the Japan fund is in the top 36% (-21.6%).

In the interview, the Britain-bred, San Francisco-based Matthews offers his unique insights on the multi-faceted Asian landscape. For instance, Matthews says: South Korea's economy is more immediately threatened by Iraq than North Korea; he remains bullish on the prospects for both Asia's technology sector and China; and that Japan still hasn't taken drastic enough measure to emerge from its lengthy funk.

If you believe in Asia's prospects, you should believe in Matthews Funds. But rather than taking our word for it, read on.

1. What is the outlook for Asian markets in 2003 and how are you investing accordingly?

In general, the outlook for 2003 is for some of the trends that took hold in 2002 to continue. The two significant ones, from our perspective, are the continued strength of the domestic economies in mainland China, South Korea, Thailand and, to a lesser extent, other non-Japan countries. That has gone a long way toward offsetting what has continued to be a difficult global environment for manufacturing exporters. We see no reason to expect that second trend to change dramatically over the next year or so.

1 of 7

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,031.14 +43.63 0.26%
S&P 500 1,984.13 -1.41 -0.07%
NASDAQ 4,518.9020 -48.6960 -1.07%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs