Schroders Plc · LSE:SDR
Schroders — Schroder AsiaPacific Fund — Investor Presentation (January 2026)
32 slides from Schroders's investor presentation, January 2026
Slide 1: Schroder AsiaPacific Fund plc
Marketing material Schroder AsiaPacific Fund plc Abbas Barkhordar, Fund Manager January 2026
Slide 2: Investment philosophy
Investment philosophy We believe that Asian stock markets are inefficient and provide strong potential for adding value through active fund management. We believe that this value is best extracted using a fundamental bottom-up approach. The durability of earnings and the alignment of our interests w
Slide 3: Team – Strength in depth
Team – Strength in depth Experienced portfolio managers and analyst team based in London and Asia Schroders Asian team exceptionally well resourced Years of Years with Fund Manager Focus Experience Schroders 0 Shanghai Richard SENNITT Asian Equity Specialist 32 32 Sarah LIU Candice CHEN Kelly ZHANG
Slide 4: Performance
Schroders Performance
Slide 5: Performance in context
Performance in context The rise in the region in 2025 masks a large variance of returns across markets 2025 equity change – split between Earnings Per Share (EPS) and Price/Earnings (PE) ratio change. 120% 100% 80% 60% 40% 20% 0% -20% India Malaysia Singapore Thailand Taiwan China MSCI World Index H
Slide 6: Performance in context: market concentration
Performance in context Markets have continued to narrow considerably in 2025 around themes such as AI Market has become more concentrated1 Percentage of stocks outperforming the index2 % 31 60% 28 50% 25 22 40% 19 16 30% 13 10 20% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Slide 7: Global AI spend has been a big driver of Asian markets especially Taiwan IT
Global AI spend has been a big driver of Asian markets especially Taiwan IT Asian semiconductors remain an enabler for the AI growth story US hyperscaler capex versus rest of the market1 The Global AI theme drove IT share prices in Taiwan as well as the US2 Index, 100 = 31 December 2023, US$ total r
Slide 8: Market returns
Market returns 12 months to 31 December 2025 Country returns in GBP Sector returns in GBP Past Performance is not a guide to future performance and may not be repeated. The value of investments and the income from them may go down as well as up and investors may not get back the amounts originally i
Slide 9: Investment objective and policy
Schroder AsiaPacific Fund plc Investment objective and policy The Company's principal investment objective is to achieve capital growth through investment primarily in equities of companies located in the continent of Asia (excluding the Middle East and Japan), together with the Far Eastern countrie
Slide 10: NAV performance to 30 September 2025
Schroder AsiaPacific Fund plc NAV performance Benchmark: MSCI AC Asia ex Japan Index1 (net dividends reinvested) Shareholder funds: £952.65 million Inception date: 20 November 1995 Past Performance is not a guide to future performance and may not be repeated. The value of investments and the income
Slide 11: NAV performance to 31 December 2025
Schroder AsiaPacific Fund plc NAV performance Benchmark: MSCI AC Asia ex Japan Index1 (net dividends reinvested) Shareholder funds: £961.26 million Inception date: 20 November 1995 Past Performance is not a guide to future performance and may not be repeated. The value of investments and the income
Slide 12: NAV Performance: discrete yearly returns
Schroder AsiaPacific Fund plc NAV Performance Past Performance is not a guide to future performance and may not be repeated. The value of investments and the income from them may go down as well as up and investors may not get back the amounts originally invested. Exchange rate changes may cause the
Slide 13: Performance – Since inception to December 31, 2025
Schroder AsiaPacific Fund plc Performance – Since inception1 to December 31, 2025 Past Performance is not a guide to future performance and may not be repeated. The value of investments and the income from them may go down as well as up and investors may not get back the amounts originally invested.
Slide 14: Risk considerations
Schroder AsiaPacific Fund plc Risk considerations – Concentration risk: The Company may be concentrated in a limited number of geographical regions, industry sectors, markets and/or individual positions. This may result in large changes in the value of the company, both up or down. – Currency risk:
Slide 15: Outlook and positioning
Schroders Outlook and positioning
Slide 16: Asia is a heterogeneous region
Asia is a heterogeneous region Drivers are diverse and complementary HK/China India ASEAN Korea Taiwan Regional trends • Ageing demographics Taiwan world-class IT companies; • Supply chain re-orientation/bi-furcation geopolitics, export-dependency are risks 23.4% • Geopolitical tensions, investment
Slide 17: Active country positions as at 31 December 2025
Schroder AsiaPacific Fund plc Active country1 positions as at 31 December 2025 Overweight/underweight positions % of portfolio Underweight Overweight 11.4 Hong Kong 6.9 7.7 Singapore 3.8 3.0 Philippines 2.6 2.4 Vietnam 2.4 25.0 Taiwan 1.6 1.6 Australia 1.6 2.7 Thailand 1.6 1.2 United Kingdom 1.2 1.0
Slide 18: China no de-rating despite ROE fall, India more like the US than Asia
China no de-rating despite ROE1 fall, India more like the US than Asia P/B2 vs. ROE for global equities – China ROE has been heading in the wrong direction; for the US and India the debate is on valuation 6.0x 5.5x US 5.0x 4.5x Taiwan 4.0x India Trailing P/B 3.5x 3.0x Australia India 2012 2.5x Vietn
Slide 19: China has added too much capacity in many industries pressuring returns
China has added too much capacity in many industries pressuring returns Recent measures to rein in excess capacity across economy via ‘Anti-involution policies’ Automobile investment¹ Excess supply has seen Car prices Chinese economic growth hasn’t under pressure1 translated into EPS growth2 RMBtrn,
Slide 20: Active sector positions as at 31 December 2025
Schroder AsiaPacific Fund plc Active sector1 positions as at 31 December 2025 Overweight/underweight positions % of portfolio Underweight Overweight 35.5 Information Technology 3.5 12.8 Communication Services 3.1 15.4 Consumer Discretionary 2.6 10.4 Industrials 2.5 3.0 Real Estate 1.2 21.6 Financial
Slide 21: Top 10 holdings by absolute weight
Top 10 holdings by absolute weight Schroder AsiaPacific Fund As at 31 December 2025 Stock Country Sector Portfolio weight (%) Benchmark1 weight (%) Active weight (%) TSMC Taiwan Information Technology 14.6 13.5 +1.1 Samsung Electronics* Korea Information Technology 8.1 4.9 +3.2 Tencent China Communi
Slide 22: What we like in the region
What we like in the region Key investment themes Tech Leaders TSMC Samsung Electronics Manufacturing MediaTek Excellence Delta Electronics Nien Made ASE Technology CATL Services E Ink Shenzhou International Apollo Hospitals Infosys Techtronics Bumrungrad FPT Kia Hospital Shenzhen Inovance Kanzhun Ho
Slide 23: Semiconductors are increasingly made in Asia
Semiconductors are increasingly made in Asia Long term demand trends around digitisation, cloud, AI, 5G to continue Worldwide share of fab capacity1 Asian players world class2 Global 200mm+ commercial semiconductor fab capacity by region 100% 2% Number of Players With a Leading Edge Logic Fab 7% 11%
Slide 24: TSMC
TSMC Leading third party manufacturer of semiconductor chips Superior returns and cashflow generation1 No one else close2 % Taiwan dollar Foundry earnings before interest and tax (EBIT) $m 35 40 12,000 35 10,000 30 30 8,000 25 6,000 25 20 4,000 20 15 2,000 15 0 10 10 -2,000 5 5 -4,000 0 0 -6,000 200
Slide 25: Asian financials – diverse sector
Asian financials – diverse sector Low levels of insurance cover provide growth opportunity, whilst banks offer reasonable returns and attractive yield Insurance penetration1, % of Gross Domestic Product Banks returns and yield2 (GDP) 10% 250% 20 9% 18 8% 200% 16 7% 14 6% 150% 12 5% 10 4% 100% 8 3% 6
Slide 26: Softer US dollar historically supportive backdrop for Asian markets
Softer US dollar historically supportive backdrop for Asian markets Softer dollar and US rates peaking should be supportive 770 Feb-1989 Feb-1995 May-2000 Jun-2006 Dec-2018 Jul-2023 150 670 140 570 130 470 120 370 110 270 100 170 90 70 80 1991 1997 1987 1989 1993 1995 1999 2001 2003 2005 2007 2009 2
Slide 27: Asia's earnings are historically correlated to exports
Asia’s earnings are historically correlated to exports Tariff front-loading likely sees a second half air pocket % 80 40% 40% 60 30% 30% 40 20% 20% 20 10% 10% 0 0% 0% -20 -10% -10% -40 -20% -20% -60 -30% -30% Jan 07 Jan 09 Jan 11 Jan 13 Jan 15 Jan 17 Jan 19 Jan 21 Jan 23 Jan 25 Jun 02 Jun 04 Jun 06
Slide 28: Asian market valuations
Asian market valuations Asian aggregate valuations relatively attractive in a global context – less so against own history Asia Pacific ex Japan versus Developed Markets relative Asia Pacific ex Japan Historic Price / Earnings (P/E) (x)1 forward 12m consensus Price / Earnings (P/E) ratio2 x 30 130%
Slide 29: Valuation picture mixed across countries
Valuation picture mixed across countries Broad spectrum of sentiment represented across the region Price earnings ratio (P/E) Next 12 Months of MSCI AC Asia ex Japan markets since 2010 30 25 20 15 10 5 0 India Taiwan Singapore Thailand MSCI AC AxJ Malaysia Hong Kong Indonesia China Korea Philippines
Slide 30: Summary
Summary ➢ China’s market has rallied strongly, driven by internet platform and tech companies, narrowly focussed on perceived AI beneficiaries, leaving the market trading towards the top of its historic range ➢ With growth still lacklustre, further stimulus measures are expected, in part, to help on
Slide 31: Important information
Important information Marketing material For help in understanding any terms used, please visit address https://www.schroders.com/en-gb/uk/individual/glossary/ Any reference to regions/ countries/ sectors/ stocks/ securities is for illustrative purposes only and not a recommendation to buy or sell a
Slide 32: Thank you
Schroders "a Thank you
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