Baring sees equity promise in Singapore, Hong Kong

Baring Asset Management's latest strategic policy report predicts "reasonable growth in the world economy over the next 12 months." With monetary tightening and higher oil prices clouding the outlook, however, BAM is underweighting equities relative to bonds. Among equity markets, the report said BAM is underweighting U.S. and eurozone equities and overweighting Singapore and Hong Kong; company officials think China's success in controlling its booming economy will allow Chinese authorities to loosen their grip, leading to buying opportunities in Asia.