Given low interest rates and bond yields, equity markets have been the default place to be and while Hanson explains why he is overweight where he is (Europe, just), global equities are still his preferred place to be.
Looking ahead across emerging markets, the pace of China’s economic slowdown is a difficult problem to deal with: a hard landing will be tough as there is not enough capacity elsewhere to take up the stimulus slack, but then a softer landing than predicted could well bring otherwise unforeseen opportunities.
For Hanson, there is one attractively-priced country that will be the long-term growth story in emerging markets while investors in any of the other stalwarts of the BRIC rise a decade ago, he argues, should be more country specific and on the lookout for policy change before taking the plunge once again.
