The Future Fund posted returns of 11.5% for the year ended June 30, the highest since September 2015 and also beating its self-imposed 5.6% target, helped by a 2.7% increase in its exposure to emerging markets.
German institutional investors are turning to emerging markets and backing third-party asset managers to increase their exposures, according to rating agency Scope.
The last time Jordi Visser remembers so many fellow investors saying the exact same thing about emerging markets was February 2016. Now, euphoria has run to the point where markets are poised for a sudden, sharp drop, even though emerging-market stocks remain attractive over the long haul, Visser says.
Mark Mobius, veteran investor and market guru who became one of the most recognized authorities on money-making opportunities in Africa, Asia, Eastern Europe and Latin America, plans to retire from Franklin Templeton Investments after three decades at the firm.
After a year of double-digit returns, one of the key questions for emerging markets in 2018 is whether they will continue to be insulated from one another's crises.
<p>Bulls will retain the upper hand in emerging markets next year, though some assets may face a bumpier ride than in 2017. Bonds and equities in developing countries will continue to streak ahead, outpacing their developed-nation peers into next year, according to a Bloomberg survey of 20 investors, traders and strategists.</p>
Macroeconomic considerations, like demographics and GDP growth, make emerging markets an obvious place to look for potential investments. Over the long-term, emerging markets are likely to enjoy higher demographic and economic growth than that in developed markets. However, currency risk is a key uncertainty.
Economic growth and the potential for outsize returns in emerging markets appeal to investors, but lagging or absent regulations are a major concern. While unpredictable policies can create a complicated investing environment, the hands-off gesture by governments has provided room for free trade and growth unseen in developed countries. <br /> <br /> In part three of Trusted Insight's Emerging Markets panel, experienced LPs investing in emerging markets discuss how they navigate this complex water. They also answered questions from the audience.
The soaring market capitalisation of a handful of companies such as China's Alibaba and Tencent is steadily lifting their weighting in the MSCI emerging equities index. This means investors in funds that track indexes - who want exposure to a range of companies for a lower fund management fee - are finding themselves increasingly exposed to a single sector.
Reconciling a sluggish global economy and all round uncertainty with rallying stock markets and tight spreads is preoccupying most minds today. While the market pundits seek to resolve the current di...