Salient to Investors: Karen Umland at the DFA Emerging Markets Small Cap Portfolio Fund is slightly overweight India, and had 15 percent of holdings in Taiwan, over 14 percent in South Korea, over 14 percent in China, and 9.2 percent in Brazil at the end of Q1. Umland dislikes Russia
READ MORE... →Salient to Investors: Jim O’Neill said: We are closer to a buying opportunity in emerging-market stocks than to joining in the panic. While some places in the emerging world have real problems, to herald an emerging-market crisis is ridiculous. Ukraine, Thailand, Argentina and Turkey have some serious issues. The Fed decision
READ MORE... →Salient to Investors: Paul Krugman said weak emerging markets are the downside of the mad rush by investors for return in an economic environment that was very poor due to weak economic performance in developed markets. When the amount people want to save exceeds the volume of investments worth making
READ MORE... →Salient to Investors: Bill O’Neill at UBS Wealth Mgmt said the story is still the combination of easy money policies and expectations of growth into 2014 and that growth is on the horizon. The Investment Companies Institute reports individual investors gave $30 billion to managers in 2013, the first net
READ MORE... →Salient to Investors: The IMF said: Advanced economies are gradually strengthening while growth in emerging-market economies has slowed. The effects of any failure to repay US debt would be felt right away, leading to potentially major disruptions in financial markets, both in the US and abroad, though this has a
READ MORE... →Salient to Investors: John C. Bluedorn, Joerg Decressin and Marco E. Terrones at the IMF said: Slumping asset prices show a recession is probably on its way for the G-7 economies as declining asset prices are significantly associated with the beginning of an economic contraction. From 1970 to 2011, stocks
READ MORE... →Salient to Investors: Richard Titherington at JP Morgan Asset Mgmt said: Everyone assumes the US debt default will be averted, but it illustrates that these are uncertain times. Emerging markets are cheap for a reason because in the last 12-24 months they disappointed and there were better returns from the US
READ MORE... →Salient to Investors: Wall Street’s biggest firms are predicting intensifying bond losses in emerging markets, where borrowing costs have already soared to the highest in more than 4 years versus US corporate debt. Jeffrey Rosenberg at BlackRock is not convinced we have seen the worst in terms of flows out
READ MORE... →Salient to Investors: Nouriel Roubini at NYU said: There has been a global recovery in the last year with the US recovery and reduced tail risks of a eurozone breakup and a hard landing in China. The US economy recovery is very fragile, with barely 2% GDP growth expected in
READ MORE... →Salient to Investors: The OECD said: Germany will expand 0.7 percent in 2013 versus 0.4 percent predicted in May France will grow 0.3 percent in 2013 versus shrinking previously predicted of 0.3 percent The UK will grow 1.5 percent in 2013 versus 0.8 percent predicted in May. In the euro area, re-balancing
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