The worldÆs portfolio investors have long understood that there are substantial opportunities in the Asia-Pacific region. Portfolio investment from Europe and North America into Japan surged from around $1,200 billion at the end of 2002 to nearly $3,000 billion at the end of 2005. The 31% annual growth is partly the result of the strong recovery in JapanÆs stock market and partly the result of capital flows.
The strong growth in portfolio investment from Europe and North America into the rest of the Asia-Pacific region has also increased significantly, growing from $500 billion to over $1,000 billion, or by 25% per annum. In part, this has been...
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