UBS: Beware Emerging Markets in a risk-off environment

UBS: Beware Emerging Markets in a risk-off environment. In the weekly Antipodean publication UBS discusses EM and whether now is a good time to dip the toe back in. After being out of favour since early last year, some investors are beginning to tentatively move back into emerging markets. This has been reflected in a rebound in emerging market equity performance recently. The broad MSCI EM index is up 5.5% since mid-March compared to a rise of just 1% for the developed market index. After a record 22 consecutive weeks of equity outflow, sentiment is tentatively turning more positive. Is it time to take a closer look? From a broader perspective, we need to see clearer evidence of an improvement in the global cyclical recovery. The main concern here is that in a global risk-off sentiment-driven environment, emerging market equities in general will underperform developed markets.

2 topics

Livewire News brings you a wide range of financial insights with a focus on Global Macro, Fixed Income, Currencies and Commodities.


No areas of expertise

I would like to

Only to be used for sending genuine email enquiries to the Contributor. Livewire Markets Pty Ltd reserves its right to take any legal or other appropriate action in relation to misuse of this service.

Personal Information Collection Statement
Your personal information will be passed to the Contributor and/or its authorised service provider to assist the Contributor to contact you about your investment enquiry. They are required not to use your information for any other purpose. Our privacy policy explains how we store personal information and how you may access, correct or complain about the handling of personal information.

trending on livewire
Get the best of Livewire by signing up to our popular daily newsletter