K-pop stocks have been struggling, with JYP Entertainment losing the most value. Goldman Sachs says this is because investors are focusing too much on album sales, which have been declining. Instead, Goldman suggests evaluating these companies based on concert attendance, especially in Japan, where they expect significant growth. Despite the challenges, Goldman remains bullish on the industry due to multi-year earnings growth and the increasing popularity of K-pop globally, particularly in the U.S. and Japan.
Private equity investments in Asia Pacific plunged by over 23% last year. However, Japan stood out with a 183% surge in deal value, making it the region's largest market. Buyouts surpassed growth deals in value, while exits dropped by 26%, primarily through initial public offerings. The industry remains optimistic with alternative asset classes like infrastructure operations showing promise. Despite the uncertainties, Japan, India, and Southeast Asia are viewed favorably for future investments.
