Sunday, October 1, 2023
Market-Reporter
  • Home
  • Markets
    • U.S. Markets
    • Canada
    • Europe & Middle East
    • Emerging Markets
    • Asia
    • Latin America
  • Investing
    • Stocks
    • IPOs
    • Mutual Funds
    • ETFs
    • Bonds
    • Commodities
    • Currencies
    • Cryptocurrencies
  • Economy & Politics
    • Personal Finance
    • Spending & Saving
    • Retirement
    • Real Estate
No Result
View All Result
  • Home
  • Markets
    • U.S. Markets
    • Canada
    • Europe & Middle East
    • Emerging Markets
    • Asia
    • Latin America
  • Investing
    • Stocks
    • IPOs
    • Mutual Funds
    • ETFs
    • Bonds
    • Commodities
    • Currencies
    • Cryptocurrencies
  • Economy & Politics
    • Personal Finance
    • Spending & Saving
    • Retirement
    • Real Estate
No Result
View All Result
Market-Reporter
No Result
View All Result
Home Emerging Markets

Four graphs explaining…emerging market equities

MtR by MtR
August 10, 2022
in Emerging Markets
0
Four graphs explaining…emerging market equities


alt=''

Andrew Hardy

Momentum Global Investment Management director of investment management

The Chinese equity market has roughly halved since its peak in February last year, giving up a decade of outperformance versus the rest of the emerging markets equity index in the process. Its 30% weighting still dominates the index though, or over 45% for the Greater China region including Taiwan. The countries in the ‘emerging markets equity’ asset class are less homogenous than many give them credit for, but with such concentration the index and many funds are largely hostage to the fortunes of China. As China now looks relatively cheap on valuation grounds, so do emerging markets in general.

alt=''

Carly Moorhouse

Quilter Cheviot fund research analyst

China’s importance to the region and its index means the current situation there cannot be ignored.  In mid-March Shenzhen went into lockdown at the same time that we heard more from the US Securities and Exchange Commission regarding the potential de-listing of Chinese American depository receipts, all while the war between Russia and Ukraine intensified, sparking a severe sell-off. Vice Premier Liu He came out in support of markets almost immediately triggering a sharp rebound; however, markets have not fully recovered. This is despite both continued supportive comments and policy changes from the CCP, as the overhang of Covid and China’s zero-tolerance stance remains, keeping a significant amount of the population on lock down. However, with cases fast declining, the CCP may not need to scrap their approach to Covid in order to restore stability and positive momentum to markets, much like we saw in 2020. With valuations where they are, room to loosen policy further and relatively controlled inflationary pressures, this might be the catalyst that investors in China have been waiting for.

alt=''

John Malloy

Redwheel emerging markets strategy and portfolio manager

Copper plays a significant role in global decarbonisation and will be a key beneficiary of the electrification of the global economy. A three-megawatt wind turbine can contain almost five tonnes of copper, and it is also a uniquely important material in our power networks. Over a third of the world’s copper reserves are found in two next generation emerging markets: Chile and Peru. Democratic Republic of the Congo and Zambia are also becoming increasingly important suppliers of copper. We look to invest in companies well-placed to benefit from an appreciation in the copper price over the next decade, owing to the combination of robust demand growth and subdued supply.

alt=''

Robert Alster

Close Brothers Asset Management chief investment officer

It’s been a challenging year so far for emerging markets, with numerous headwinds. The US Federal Reserve tightening monetary policy has sent the US dollar 10% higher in the year to June on a trade weighted basis. With many emerging markets still funding a meaningful share of borrowing with USD-denominated debt, this raises funding costs. China’s most recent Covid-19 outbreak, resulting in strict lockdowns, is also weighing on growth in emerging markets exposed to China. In addition, high food and energy price inflation has hit hardest in countries where food and energy are a larger share of household spending. The prospect of even higher food prices, if Russia’s invasion disrupts the coming harvest, could add political instability into the mix.



Source link

Related articles

A New Interest-Rate Regime Has Begun. These Are the Market's … – The Wall Street Journal

A New Interest-Rate Regime Has Begun. These Are the Market's … – The Wall Street Journal

October 1, 2023
The digitalization divide: opportunities and challenges in emerging markets

The digitalization divide: opportunities and challenges in emerging markets

October 1, 2023

Related Posts

A New Interest-Rate Regime Has Begun. These Are the Market's … – The Wall Street Journal

A New Interest-Rate Regime Has Begun. These Are the Market's … – The Wall Street Journal

by MtR
October 1, 2023
0

A New Interest-Rate Regime Has Begun. These Are the Market's ...  The Wall Street Journal Source link

The digitalization divide: opportunities and challenges in emerging markets

The digitalization divide: opportunities and challenges in emerging markets

by MtR
October 1, 2023
0

In GZERO’s livestream event presented by Visa, a panel of geotech experts delved into the pivotal role of digitalization in...

SOMERSET EMERGING MARKETS: Globe-trotting manager finds jewels

SOMERSET EMERGING MARKETS: Globe-trotting manager finds jewels

by MtR
September 30, 2023
0

SOMERSET EMERGING MARKETS: Globe-trotting manager finds jewelsBy Jeff Prestridge Updated: 21:50 BST, 30 September 2023 --> --> --> Investment house...

BLB&B Advisors LLC Sells 2,743 Shares of Vanguard Emerging Markets Government Bond ETF (NASDAQ:VWOB)

BLB&B Advisors LLC Sells 2,743 Shares of Vanguard Emerging Markets Government Bond ETF (NASDAQ:VWOB)

by MtR
September 30, 2023
0

BLB&B Advisors LLC trimmed its holdings in shares of Vanguard Emerging Markets Government Bond ETF (NASDAQ:VWOB - Free Report) by...

Brazil’s PIX and India’s UPI growing list of similarities

Brazil’s PIX and India’s UPI growing list of similarities

by MtR
September 30, 2023
0

While Brazil’s PIX instant payment system has undeniably achieved great success, ushering millions into its digital economy, it is by...

Load More
  • Trending
  • Comments
  • Latest
Bank of England tells ministers to intervene on digital currency ‘programming’

Bank of England tells ministers to intervene on digital currency ‘programming’

June 21, 2021
Tips for checking smoke alarms during daylight saving time

Tips for checking smoke alarms during daylight saving time

March 12, 2022
GLOBAL MARKETS-U.S. stocks follow Europe up; Treasury yields rise, dollar firm

GLOBAL MARKETS-U.S. stocks follow Europe up; Treasury yields rise, dollar firm

July 9, 2021
What will Durham County education bonds pay for? A full list

What will Durham County education bonds pay for? A full list

July 8, 2022
African currencies week ahead: Zambia's kwacha seen on back foot, Kenyan shilling up – Business Recorder

African currencies week ahead: Zambia's kwacha seen on back foot, Kenyan shilling up – Business Recorder

0
Maxum Foods releases Global Dairy Commodity Update for June

Maxum Foods releases Global Dairy Commodity Update for June

0
Letter: Perpetual bonds can help states fight hunger

Letter: Perpetual bonds can help states fight hunger

0
United Kingdom ETFs Are Riding the Re-Opening Momentum

United Kingdom ETFs Are Riding the Re-Opening Momentum

0
Indian superstar hints of ODI retirement after the 2023 World Cup

Indian superstar hints of ODI retirement after the 2023 World Cup

October 1, 2023
South Shore, Mass., real estate sales for Aug. 28-Sept. 1, 2023

South Shore, Mass., real estate sales for Aug. 28-Sept. 1, 2023

October 1, 2023
Ahmedabad authorities bust international drug ring with cryptocurrency links

Ahmedabad authorities bust international drug ring with cryptocurrency links

October 1, 2023
Watch Out For Call Options In Your Long-Term Debt Instruments

Watch Out For Call Options In Your Long-Term Debt Instruments

October 1, 2023

Recent News

Indian superstar hints of ODI retirement after the 2023 World Cup

Indian superstar hints of ODI retirement after the 2023 World Cup

October 1, 2023
South Shore, Mass., real estate sales for Aug. 28-Sept. 1, 2023

South Shore, Mass., real estate sales for Aug. 28-Sept. 1, 2023

October 1, 2023
Ahmedabad authorities bust international drug ring with cryptocurrency links

Ahmedabad authorities bust international drug ring with cryptocurrency links

October 1, 2023

Categories

  • Asia
  • Bonds
  • Canada
  • Commodities
  • Cryptocurrencies
  • Currencies
  • Emerging Markets
  • ETFs
  • Europe & Middle East
  • IPOs
  • Latin America
  • Mutual Funds
  • Personal Finance
  • Real Estate
  • Retirement
  • Spending & Saving
  • Stocks
  • U.S. Markets
  • Privacy & Policy
  • About Us
  • Contact Us
  • Advertise with us

© 2021 Copyright Market-Reporter

No Result
View All Result
  • Home
  • Markets
    • U.S. Markets
    • Canada
    • Europe & Middle East
    • Emerging Markets
    • Asia
    • Latin America
  • Investing
    • Stocks
    • IPOs
    • Mutual Funds
    • ETFs
    • Bonds
    • Commodities
    • Currencies
    • Cryptocurrencies
  • Economy & Politics
    • Personal Finance
    • Spending & Saving
    • Retirement
    • Real Estate

© 2021 Copyright Market-Reporter