Swiss bank Julius Baer upbeat about U.S., Japanese stock markets (3)

MACAO'S GAMING BUSINESS

Macao's casino industry remains Julius Baer's most preferred investment in Asia. "Robust demand, limited supply, rising wealth and continual influx of Chinese tourists bode well for the sector in the medium term," Wong said.

He added that given steady wage growth, low unemployment and overall strong economic performance across Asia, the share of disposable income that can be allocated to gaming is on the rise.

"The sector offers unusually good visibility on earnings," Wong said.

Market observers have taken note that anti-corruption campaign by the central government might deter some VIP revenues in Macao, but Wong said that the actual impact on the sector's margins will likely be minimal, as the industry focuses on growing the mass market.

"The mass market has been recording solid growth of over 25 percent in recent years, and its demand will be relatively more stable compared to VIP," Wong noted.

We Recommend:
Born to lead: 2nd genr of Chinese tycoons	Model in see-through dress poses at auto show	Mortgage slaves' decade in real estate fever
2013 China Int'l Boat Show kicks off in Zhoushan	China Changchun Int'l Automobile Expo kicks off	Forbes names China's 50 best CEOs
Migrant workes' high incomes not that rosy	Chinese grads' unconventional jobs	In pictures: history of China's auto industry