Proceed with care in Asian investments

Q: Asian markets are at extremely cheap levels now. Do you think it is a good time for investors to enter this market? 

A: Using the MSCI Asia ex-Japan Index as a gauge, Asian markets are indeed at very attractive valuations. From a price-to-earnings perspective, the market is currently at its lows compared to the last 35 years. Further, from the angle of price-to-book ratio, Asia is also well below its long-term average of 1.8x at current levels.

Despite the cheap valuation, it may be too soon to jump back into a high beta market like Asia: the global headwinds stemming from the crisis in Europe, as well as the slowdown in the US and China, have shown few signs of easing.

However, it is also advisable for investors to maintain a balanced and diversified portfolio during these volatile times. Although risk aversion remains intact, investors interested in gaining exposure to the Asian equity market can consider the defensive sectors. These sectors may help manage downside risk of a portfolio.

Additionally, defensive companies are less sensitive to economic cycles as they produce items that are needed by consumers irrespective of economic circumstances. Another enticing aspect will be that of sustainable dividends which may help ease downward pressure from the market by adding a premium over steady income.

Investors can also consider dollar cost averaging (DCA) to gain exposure to Asian markets. This is a disciplined and convenient approach where investors reduce the need to time the market. In addition, it may help reduce investment costs and boost potential returns when the market turns for the better.

The foundation of successful investing remains educating and familiarising oneself with the various aspects of the market. Investors should also conduct due diligence to back each investment decision. It is also advisable to speak to a qualified financial adviser to truly understand the risk before investing in the market.

Mobile phone, cancer "no link"

PARIS: The largest study of its kind found no link between long-term use of mobile phones and increased risk of brain tumours, the British Medical Journal (BMJ) reported on Friday.

Danish researchers found no evidence of enhanced risk among more than 350,000 mobile-phone subscribers whose health was monitored over 18 years.

Earlier research on the possible link between cell phone use and cancerous tumours has been inconclusive, partly due to lack of long-term data.

In June, the World Health Organisation's International Agency for Research on Cancer (IARC) classified the radio-frequency electromagnetic fields emitted by mobile phones as "possibly carcinogenic to humans."

The new study follows up an earlier investigation that compared the cancer risk faced by all mobile phone subscribers in Denmark -- some 420,000 people -- with the rest of the adult population.

Patrizia Frei, a postdoctoral research fellow at the Danish Cancer Society, and colleagues examined health records from 1990 to 2007 for 358,403 cell phone subscribers.

Overall, 10,729 tumours of the central nervous system were diagnosed.

But among people with the longest mobile phone use -- 13 years or more -- cancer rates were nearly the same as for non-subscribers.

"The extended follow-up allowed us to investigate effects in people who had used mobile phones for 10 years or more, and this long-term use was not associated with higher risks of cancer," the study concluded.

The findings, however, could not rule out the possibility of a "small to moderate increase in risk" for very heavy users, or people who have used cell phones for longer than 15 years.

"Further studies with large study populations where the potential for misclassification of exposure and selection bias is minimised are warranted," the researchers said.

In a commentary, Anders Ahlbom and Maria Feychting from Sweden's Karolinska Institute said the new evidence was reassuring but called for continued monitoring of health registers.

There are about five billion mobile phones registered in the world, a figure that continues to rise sharply along with the average amount of time spent using them.

The IARC does not issue formal recommendations, but its experts pointed in June to a number of ways consumers can reduce possible risk.

Texting and using hands-free sets for voice calls lower exposure to potentially harmful radiation, compared to device-to-ear voice calls, by at least 10-fold, they said.

People risk contracting infections at fish spa therapies

The Health Protection Agency (HPA) in the United Kingdom (UK) has found that fish spa therapies - where tiny toothless Garra Rufa fish nibble off the dead skin on hands and feet - can put people with weak immune systems or underlying medical conditions at risk of contracting infections.

The HPA has found that tank water containing the fish had a range of micro-organisms.

The agency also found that infections could be transmitted in a number of ways - from fish to person during the nibbling process, from contact with the contaminated water, or from person-to-person through sharing the same tank.

An HPA spokesman told the Sun newspaper in the UK on Oct 18 that the pedicures may spread blood-borne viruses like HIV or hepatitis.