Sign up to create alerts for Instruments,
Economic Events and content by followed authors
Free Sign Up Already have an account? Sign In
Quotes
All Instrument Types
- All Instrument Types
- Indices
- Equities
- ETFs
- Funds
- Commodities
- Currencies
- Crypto
- Bonds
- Certificates
Please try another search
👀 👁 🧿 All eyes on Biogen, up +4,56% after posting earnings. Our AI picked it in March 2024.
Which stocks will surge next?
Which stocks will surge next?
Unlock AI-picked Stocks
Emerging/Submerging Markets And Non-U.S.: Signs Of Life?
www.investing.com/analysis/emergingsubmerging-markets-and-nonus-signs-of-life--200349684/
Emerging/Submerging Markets And Non-U.S.: Signs Of Life?
By Brian Gilmartin | Oct 22, 2018 08:29AM ET 
Bespoke – in heir weekly Research Report – published every Friday night, had a great graph on what could be a potential bottoming in Emerging Markets the last few weeks.
This blog has written previously about Emerging Markets and Non-US (here and here, and here). Brazil (iShares MSCI Brazil Capped (NYSE:EWZ)) was never repurchased for clients, but the iShares MSCI Emerging Markets (NYSE:EEM) and Vanguard FTSE Emerging Markets (NYSE:VWO) have been added to in small increments during the 3rd quarter, while a new mutual fund was added to client accounts, i.e. David Herro’s Oakmark International Fund. David has an impressive long-term track record, even though the fund is down 15% – 16% YTD as of Friday, 10/19/18. Both the VWO and EEM were / are also down 15% YTD as of last Friday. There has been a further flush in EM and non-US just since September 30th, when all three vehicles were down only down 7- 8% for the first 9 months of the year.
What’s the proper weight in client accounts for EM and non-US ? No doubt that varies depending on who you ask, but Emerging Market economies are about 15% of global GDP, with China being the largest share of that chunk. Chinese shares or China ETf’s will never be bought for client’s directly.
The 10-year bear market in the emerging market asset class ended in Q1 ’16. The three-year rolling return for the EEM is 5.5% and the 5-year rolling return for the EEM is just 29 bp’s.
If the dollar just remains stable and the US – China tariff spat could get resolved, I suspect it would break the EM and non-US open quickly, at a time when everyone is worried about the US market.
Here is the first-ever EM purchase for clients in March, 2016.
It’s (EM trading action, that is) is really all about China. China rose 4% last night.
The above mentioned positions will continue to be added for clients in small positions over the 4th quarter.
Related Articles
3 Ways to Invest in the Dow Jones Industrial Average with ETFs
By ETF Central - Apr 24, 2024
Despite its venerable age, the Dow Jones Industrial Average (DJIA) remains a cornerstone of financial market benchmarks, frequently cited alongside the S&P 500 and Nasdaq-100...
GLD and URA: Two Ways to Profit Amid Commodity, Equity Rally
By Mark Skousen - Apr 08, 2024
As for the economy, the federal government (the Bureau of Economic Analysis) released its third estimate of real gross domestic product (GDP) growth recently at 3.4% (annual rate)...
Core Bond Funds See 21 Straight Weeks of Inflows
By Refinitiv Lipper - Apr 01, 2024
by Jack FischerDuring LSEG Lipper’s fund-flows week that ended March 27, 2024, investors were overall net redeemers of fund assets (including both conventional funds and...
Emerging/Submerging Markets And Non-U.S.: Signs Of Life?
Add Chart to Comment
Confirm Block
Are you sure you want to block %USER_NAME%?
By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.
%USER_NAME% was successfully added to your Block List
Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.
Report this comment
I feel that this comment is:
Comment flagged
Thank You!
Your report has been sent to our moderators for review
Add a Comment
We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:
Enrich the conversation, don’t trash it.
Stay focused and on track. Only post material that’s relevant to the topic being discussed.
Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.
Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.