When the Story Changes: Why Manulife’s Asian Growth Didn’t Live Up to the Hype

The author initially invested in Manulife (MFC) with the expectation of strong growth in its Asian business, which the company targeted to contribute 50% of its earnings by 2027. However, after a year, the author is closing the position with a 16% total return. The author's decision is based on the observation that the anticipated growth in Asia has not materialized as expected, and the company lacks a sustainable competitive edge in the region. While acknowledging that MFC is a solid and stable insurer with a good dividend, the author concludes that the original investment thesis of a game-changing Asian growth story has not played out. Therefore, the author is taking profits and reallocating the capital to more compelling investment opportunities.