Emerging market investments now require nuance - Aberdeen

Added 19th May 2016

If you strip out commodities and the impact of the dollar, emerging markets look rather attractive, argued Stephen Parr, senior investment manager, emerging market equities at Aberdeen Asset Management.

Speaking to International Adviser in South Africa recently, Parr said it was important for investors to recognise that emerging markets are a truly heterogeneous group of economies and to treat them as such.

“If you look at growth rates for emerging economies in the aggregate, they have been quite depressed, the ROEs lag those of developed markets. But if you look at those emerging market countries that focus on manufacturing, performance has been much better.

“Ex commodities, ex US dollar, we are envisaging forecasts of earnings growth of 10% which is quite attractive when you look at the valuations emerging markets are currently on,” he said.

Visitor's Comments Add your comment

Add Your Comment

We won't publish your address

Features

Economics of ESG investing driving demand in Europe

Economics of ESG investing driving demand in Europe...

A growing number of institutional investors in Europe are embedding ESG analysis in their investment processes in response to regulatory pressure, consumer demand and a rising appetite for new sources...

Directories

Canada Life International Limited
Canada Life International...

Canada Life International Canada Life House,...

Tweets

Events

IA International Fund Links Forum 2017
IA International Fund Links Forum 2017

Thursday 14 September

The Langham, London

IA Future Advisory Forum Europe 2017
IA Future Advisory Forum Europe 2017

Thursday 28 September
The Waldorf Hilton, London

IA Best Practice Adviser Awards Europe 2017
IA Best Practice Adviser Awards Europe 2017

Thursday 28 September
The Waldorf Hilton, London

IA Best Practice Adviser Awards South Africa 2017
IA Best Practice Adviser Awards South Africa 2017

Thursday 5 October
The Vineyard Hotel, Cape Town

Sponsored Content

Investment Strategy

OTHER STORIES FROM LAST WORD...