Q: Read u latest comments on SLF.How did it do in Asia?Do u think that MFC will continue its strong performance in Asia in the forthcominq Q on Feb 19. Is it buyable and a good entry price?.Thanks for u usual great services & views
5i Research Answer:
SLF Asia operations did well and were inline with estimates. Income increased 22% year over year. Assets rose, but expenses were a bit higher as the company invested in the region. But it was a decent showing. Economically, Asia is not really out of the woods, but we think both companies will continue to do well there. New stimulus can help the economy. MFC Asia core earnings increased 16% and the company is doing well in several areas. MFC increased its dividend by 10%. We think both stocks are still buyable, but MFC certainly has better short term momentum.