may have seen this week that a leading investment professional declared
emerging markets to be the “trade of the decade”.
Christopher Brightman of Research Affilliates LLC believes that
emerging markets shares and bonds offer huge opportunity for long-term
investors and that stocks are currently “exceptionally
cheap”, a view shared by investors such as BlackRock and
Goldman Sachs Asset Management.
viewpoint is also largely reflected in our recently published Emerging
Markets Investing: Stick or Twist
report (free to download). We asked investment officers around the
world if they thought that the usual response of selling off EM assets
during developed market crises should be reassessed. More than two
thirds thought that it should and 60% also believe that developed
market risks are underpriced relative to risks in emerging markets.
the views of the investment community are a good measure of the health
of developing countries, then there are strong grounds for optimism.
While some are still downbeat about emerging markets, there is a
growing sense that a corner may have been turned with greater stability
in China, oil prices bottoming out and possible delays in further US
Fed rate rises.
You may also be interested in an article
I published recently on LinkedIn about the prospects for Latin America.