Throw out the idea that emerging markets are a single concept and instead choose places that have political predictability and enough domestic demand to withstand a currency crisis. That’s the thinking at Algebris Investments (UK) Ltd., a $6.7 billion global hedge fund whose macro credit fund outperformed peers in January. And it’s why China is looking interesting to Ivan Vatchkov, the chief investment officer for Asia in Singapore at Algebris. For Vatchkov, 38, China has a buffer against global market turmoil thanks to its political cohesion and its tight controls on capital flows. The macro credit fund returned 2.6 percent...