Emerging markets

Strategy Further consolidations expected in China’s soft beverages market

There is likely to be a wave of consolidations in China’s beverages market as it responds to the USD 5 billion alliance of Tingyi and PepsiCo, according a report from Rabobank. Smaller, ‘second tier’ beverages players will be affected most by the new alliance, as they struggle (...)

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Strategy Emerging Europe poised for sustainable long term growth

Although very different on a country-by-country basis, ING IM predicts that, collectively, Emerging Europe is set to benefit from a desire to advance regulatory enhancements, push ahead with economic liberalisation and pursue privatization (...)

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News Online retail sites, Jumia and Zando receive funding from J.P. Morgan Asset Management

The investor will take a stake through a German holding company in an all cash-for-equity investment...

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News Fitch Affirms Nigeria at ’BB-’; Outlook Stable

Fitch Ratings has affirmed Nigeria’s Long-term foreign and local currency Issuer Default Ratings (IDR) at ’BB-’ and ’BB’ respectively with a Stable Outlook. The agency has also affirmed Nigeria’s Short-term foreign currency IDR at ’B’. The Country Ceiling has been affirmed at (...)

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Strategy Corporate Bonds – Ideal for Emerging Markets diversification

With sovereign ceilings rising, corporate governance and overall transparency improving, demand and liquidity high and returns attractive relative to risk, what’s not to like about Emerging Markets corporate bonds?

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Strategy Africa: Kenya’s Mobile Frontier

When we first started out in the emerging markets space more than two decades ago, we were in “frontier” territory as we entered markets such as Indonesia, Thailand, Turkey and Brazil that were previously closed to foreign (...)

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Note Fitch Affirms Ghana at ’B+’; Outlook Stable

Fitch Ratings has affirmed Ghana’s Long-term foreign and local currency Issuer Default Ratings (IDR) at ’B+’ with a Stable Outlook and Short-term foreign currency IDR at ’B’. The agency has also affirmed the Country Ceiling at (...)

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News China Steel - Overproduction and Lower Prices to Persist

China’s steel industry output continues to rise notwithstanding slowing economic growth, falling prices for steel, and poor profitability at the steel mills. Fitch Ratings believes this paradox can be explained first by the larger steel mills’ priority of maintaining economies (...)

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News SMEs switching to Renminbi for Chinese business according to DB survey

In spite of increasing volatility in foreign exchange markets, only around half of companies that were surveyed hedge foreign exchange risks in Renminbi transactions...

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Opinion Beware the dangerous emerging market ‘grand narrative’

The emerging markets (EM) ‘grand narrative’ that you hear constantly churned out is at best misleading and at worst dangerous...

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Interview Florence Marty and Olivier Hakim : « Our strategy is based on the dynamism of emerging countries without local currency volatility »

Management philosophy, sectoral and geographical distribution, growth in emerging countries ... Florence Marty and Olivier Hakim, portfolio managers at LBPAM Actions Euro Focus Emergent reveals the strategy of the fund performing 13.80% at end June (...)

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Strategy European companies are becoming ever more ’global’

There is a clear distinction between the travails of the eurozone and the prospects for successful, ’world beating’ European companies. I think that the world has changed: in recent years, European companies have become much more global and more than ever, the quality of the (...)

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Strategy Asian debt now a mainstream asset class

Investors should view Asian debt as a mainstream asset class and not simply as a subsection of the global bond universe, according to Chia-Liang Lian, manager of the Legg Mason Western Asset Asian Opportunities (...)

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Note The Yuan - will it soon become a reserve currency ?

Whilst several experts estimate the that it will still be about ten years before the status of the yuan changes to that of a reserve currency, the exchange agreement between Japan and China which replaces the dollar with the yen or the yuan, for bilateral trade, could (...)

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News Capital outflows from Russia are manageable

According to Fitch, capital outflow from Russia has increased sharply in the 4th quarter, but does not currently seem high enough to affect the country’s BBB rating...

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Opinion Stuck between Europe and China

For investors in emerging markets, the positive dynamics in China, on the one hand, and the malaise in Europe, on the other, are causing perplexity.

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Opinion How will China’s devaluation impact eurozone equities ?

China’s central bank has taken steps to devalue the renminbi. The initial direct impact on eurozone equities is fairly limited but certain sectors and companies have more pronounced exposure...

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Opinion After Modi’s landslide win, all eyes on what he does for the Indian economy

India’s Narendra Modi won a second term as Prime Minster after a landslide win in the general elections in the world’s largest democracy. Mr. Modi’s party BJP won a simple majority with almost 300 out of 542 seats in the Lok Sabha (India’s equivalent of the House of (...)

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Innovation BlackRock launches new China A-Share Opportunities Fund

BlackRock has launched the BlackRock Global Funds (BGF) China A-Share Opportunities Fund. The Fund is designed for investors looking for growth, alpha and diversification from the China A-Share market.

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Strategy VARPS: 2019 Update

GAM Investments’ Tim Love reflects on the performance of his frontier market plays, Vietnam, Argentina, Romania, Pakistan and Saudi Arabia (VARPS) so far this year and discusses the investment opportunities and risks associated with these (...)

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Innovation BlackRock has expanded its Asian equity fund range by launching the BlackRock Global Funds (BGF) China Flexible Equity Fund

The Fund is designed to enable a growing number of investors seeking to access opportunities in both onshore (A-shares) and offshore (H-shares, Red-chips, P-chips, American Depositary Receipts [ADRs], etc.) Chinese equity markets without having the need to allocate to two (...)

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News BNP Paribas Investment Partners granted one of the first RQFII licenses in France and the Eurozone

BNP Paribas Investment Partners granted one of the first RQFII licenses in France and the Eurozone: Providing its clients with the latest investment avenues to China’s Onshore Markets

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Opinion Investing in Africa is not as risky as you might think

African equities are perceived to be very risky. But the surprise conclusion of new Robeco research is that the volatility of African equities overall is lower than in the other emerging markets regions.

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Opinion For the BJP

The results of the world’s largest general election were announced today after 6 weeks of voting, with around 900m registered voters casting their ballot across 543 constituencies. The incumbent Bharatiya Janata Party (BJP) won a majority of seats, which means that Modi will (...)

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Opinion Reform is the secret of India’s growth

Since assuming office in 2014, Indian Prime Minister Narendra Modi’s government has put in place a raft of reform measures aimed at strengthening the nation’s infrastructure and economic fundamentals.

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Opinion Global Emerging Markets Equity 2016 Outlook

According to Ross Teverson, Head of Global Emerging Markets, finally, it is worth noting that, today, emerging market valuations - in terms of price to book ratios - are relatively depressed versus history. At times when valuations have been at or around these levels, strong (...)

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Opinion Vietnam & Cambodia - Asian frontiers on the front foot

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Strategy Dollar strength

According to John Chatfeild-Roberts, CIO of Jupiter Asset Management, over the past decade, we have seen several longer term trends play out, from swift urbanisation in developing nations to technological advances everywhere. Changes in currency trends have also had an (...)

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Interview Jürgen Maier: «Emerging Markets will continue to become more and more important for the global economy and capital markets »

According to Jürgen Maier, fund manager in the team «Emerging Markets Equities» at Raiffeisen Capital Management, Emerging Markets have weathered the economic crisis and will remain competitive thanks to massive investments in infrastructure in the years to come and enormous (...)

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Opinion Why we’re banking on financial inclusion

This rising penetration of financial products and services will, according to Ross Teverson Head of Strategy, Emerging Markets, forge dramatic change in developing regions of the world, in turn creating opportunities for (...)

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