On a relative basis, emerging market valuation measures look cheap. MSCI data shows emerging markets...
On a relative basis, emerging market valuation measures look cheap. MSCI data shows emerging markets on a price to book value of 1.8x, which compares very favourably with 2.7x for the world and 3.4x for the US. Domestic demand appears to be returning to many emerging market economies and is evident in others such as Korea. This pain of change now sees them economically positioned as an attractive capital inflow proposition, receptive to business cycles, as Mexico now experiences for the first time, and corporately cleaner and leaner. We can now see how the combination of focused co...
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