Bullish on the Philippines

Trading activity in the Philippines hit a fresh high yesterday with total turnover of $655 million, more than triple the average daily turnover during the first quarter.

That is paltry compared to Hong Kong or Korea, but highlights an impressive performance for a country that was once the basket case of the region. Indeed, the Philippines still ranks 138th in the World Bank’s Ease of Doing Business Index, alongside Sierra Leone and below India. But investors don't seem to mind, inspired by a market that only seems to move higher.

The benchmark share index is up 21% so far this year, after rising more than 30% during...