Real estate investing in Asia has traditionally revolved around the economic giants of China and India. Most international investors have steered away from the Southeast Asian region — the emerging markets of Cambodia, Indonesia, Malaysia, Myanmar, the Philippines, Thailand and Vietnam, as well as the developed market of Singapore — as a result of its diversity, lack of transparency and perceived higher risks. Our view is that this is a region that investors cannot afford to overlook.

Favorable demographics, rising urbanization and incomes, and buoyant tourism are transforming the region into a cluster of high-growth opportunities. What are the interesting investment hot spots, and how can investors surmount the perceived higher risks?

The experience of the global financial crisis that originated from the U.S. subprime crisis has demonstrated the importance of diversification. Indeed, investors who have diversified their portfolios on a global scale have realized g