Tag : emerging markets

Facing volatility and slowing global growth, asset managers are increasing eyeing new opportunities in emerging markets. China’s onshore A-share universe adds an exciting new dynamic, but deep knowledge and thinking outside the box is essential for success.

The closure of the strategy follows GLG’s shift to reorganise its emerging market portfolio management activities.

Weaker emerging market currencies have hit investors who allowed bond managers to talk up the returns of local currency bonds. To get a full view of the damage, look back two years.

Despite the broad exodus from emerging market debt, offshore renminbi bonds have attracted flows and are expected to continue to benefit from renewed investor interest.

Emerging market hard-currency bonds generally seem a better buy now than their local-currency equivalents, says Sergio Trigo-Paz, the US fund house's head of EM debt.

Australia’s sovereign wealth fund is building up its emerging markets allocation and capabilities. It also aims to have more direct involvement in its private equity investments.

The emerging markets specialist may launch a dedicated A-share fund and set up an onshore presence, even though its Asia chief admits Chinese equities are a minefield.

Asset managers and institutional investors debate the pros and cons of investing in emerging markets. A conservative approach often prevails.

By contrast, more searches were completed globally via Mercer in 2012 than the year before, with emerging market assets proving especially popular.

Global asset managers are being alerted to potential business opportunities as Japanese corporate pensions reveal a change in planned allocations.

The consultancy has streamlined its focus to include growth markets and reshuffled its management team. Asia-Pacific investments leader Stephen Roberts departs.

But this approach by developed-country governments is allowing emerging-market banks to take the lead in servicing investors in their local debt markets, argues Jan Dehn.