3 reasons to like emerging markets despite election noise _ blackrock blog

As we approach the final days leading up to the U.S. Msci indice Presidential election, many investors are taking a look at their allocation to emerging markets (EMs), especially in light of rising protectionist rhetoric that could be harmful to many EM economies. What is the msci eafe index Anti-trade measures could put pressures on EM assets, particularly in places like Mexico that are considerably exposed to U.S. Msci world dividend yield trade.

Yet, despite the heated rhetoric and the potential rise in EM volatility, I continue to be encouraged by improving fundamentals in many emerging countries. Msci world quality index etf Still, it is important to be selective. Msci world index fact sheet Specifically, there are three reasons that potential opportunities may exist in emerging Asia. Msci emerging markets index etf Economic fundamentals

Asia has displayed the strongest growth of any emerging region, as well as favorable trends in inflation and current accounts measures (Source: IMF, Bloomberg).


Msci index announcements See the chart below. Msci index definition With lower external debt than other regions, Asian economies have been less vulnerable to a strengthening U.S. Ishares msci world index dollar, which remains one of the main risks to our outlook for emerging markets. Msci world usd Controlled inflationary pressures also support our expectation of further policy accommodation by Asian central banks.

Political change in many countries is driving expectations of structural reforms. Www msci com As I wrote in July, India is a good example of a government committed to reforms that has sparked investor interest and where we are encouraged by recent successes. Msci emerging markets index country weights A drive for fiscal spending in areas such as infrastructure in Indonesia also has the potential to bolster growth in the future. Msci world index ytd Improving earnings and attractive valuations

Earnings revisions have improved across emerging markets, with Asia leading the way in terms of return-on-equity. Msci world quality etf In addition, EM Asia dividend yields currently rival those of developed markets, based on the MSCI Emerging Markets Asia Index. Msci world net returns With a current price-to-book of 1.57, valuations remain reasonable relative to both developed and emerging markets (source: Bloomberg).

Undoubtedly, investing in emerging markets is not without risks. Msci it A rapid strengthening of the dollar and unexpected events from China are some of the risks that warrant a closer eye. Msci index methodology Additionally, as recent headlines illustrate, one cannot ignore idiosyncratic risks in the different countries (for example the passing of the Thai King, or the impact of Samsung’s woes on the South Korean market). World msci index With a more selective view, there may be potential investment opportunities in India, Indonesia and China, and expect volatility to create potentially attractive entry points.

Investors interested in emerging Asia may want to consider the iShares MSCI EM Asia ETF ( EEMA). Db x trackers msci emerging markets index ucits etf For the aforementioned countries, consider the iShares MSCI India ETF ( INDA), the iShares MSCI Indonesia ETF ( EIDO) and the iShares MSCI China ETF ( MCHI).

Carefully consider the Funds’ investment objectives, risk factors, and charges and expenses before investing. Msci eafe index performance This and other information can be found in the Funds’ prospectuses or, if available, the summary prospectuses which may be obtained by visiting www.iShares.com or www.blackrock.com. Msci emerging markets index Read the prospectus carefully before investing.

This material is not intended to be relied upon as a forecast, research or investment advice, and is not a recommendation, offer or solicitation to buy or sell any securities or to adopt any investment strategy. Msci world factsheet The opinions expressed are as of the date indicated and may change as subsequent conditions vary. Msci world total return The information and opinions contained in this post are derived from proprietary and nonproprietary sources deemed by BlackRock to be reliable, are not necessarily all-inclusive and are not guaranteed as to accuracy. Msci abbreviation As such, no warranty of accuracy or reliability is given and no responsibility arising in any other way for errors and omissions (including responsibility to any person by reason of negligence) is accepted by BlackRock, its officers, employees or agents. Msci emerging markets index bloomberg This post may contain “forward-looking” information that is not purely historical in nature. Msci index review Such information may include, among other things, projections and forecasts. Msci etf There is no guarantee that any of these views will come to pass. Msci country codes Reliance upon information in this post is at the sole discretion of the reader.

The strategies discussed are strictly for illustrative and educational purposes and are not a recommendation, offer or solicitation to buy or sell any securities or to adopt any investment strategy. Full form of msci There is no guarantee that any strategies discussed will be effective. Msci emerging markets countries The information presented does not take into consideration commissions, tax implications, or other transactions costs, which may significantly affect the economic consequences of a given strategy or investment decision.

This post contains general information only and does not take into account an individual’s financial circumstances. Msci u s index This information should not be relied upon as a primary basis for an investment decision. Msci index wiki Rather, an assessment should be made as to whether the information is appropriate in individual circumstances and consideration should be given to talking to a financial advisor before making an investment decision.

International investing involves risks, including risks related to foreign currency, limited liquidity, less government regulation and the possibility of substantial volatility due to adverse political, economic or other developments. Msci stands for These risks often are heightened for investments in emerging/developing markets and in concentrations of single countries.

The iShares Funds are not sponsored, endorsed, issued, sold or promoted by MSCI Inc., nor does this company make any representation regarding the advisability of investing in the Funds. Msci index full form BlackRock is not affiliated with MSCI Inc.

©2016 BlackRock, Inc. Msci world wiki All rights reserved. Msci barra performance iSHARES and BLACKROCK are registered trademarks of BlackRock, Inc., or its subsidiaries. Msci contact All other marks are the property of their respective owners.

Carefully consider the Funds’ investment objectives, risk factors, and charges and expenses before investing. Msci share price This and other information can be found in the Funds’ prospectuses or, if available, the summary prospectuses, which may be obtained by visiting the iShares ETF and BlackRock Mutual Fund prospectus pages. Msci performance Read the prospectus carefully before investing.

The strategies discussed are strictly for illustrative and educational purposes and should not be construed as a recommendation to purchase or sell, or an offer to sell or a solicitation of an offer to buy any security. Msci world constituents There is no guarantee that any strategies discussed will be effective. Msci world quality index The examples presented do not take into consideration commissions, tax implications or other transactions costs, which may significantly affect the economic consequences of a given strategy or investment decision. Msci emerging markets europe index Diversification and asset allocation may not protect against market risk.

The information provided is not intended to be tax advice. Msci world ticker Investors should be urged to consult their tax professionals or financial advisors for more information regarding their specific tax situations.

This material represents an assessment of the market environment at a specific time and is not intended to be a forecast of future events or a guarantee of future results. Msci world index yahoo finance This information should not be relied upon by the reader as research or investment advice regarding the funds or any security in particular.

The iShares Funds are not sponsored, endorsed, issued, sold or promoted by Cohen & Steers Capital Management, Inc., European Public Real Estate Association (“EPRA® ”), FTSE International Limited (“FTSE”), India Index Services & Products Limited, JPMorgan Chase & Co., MSCI Inc., Markit Indices Limited, Morningstar, Inc., The NASDAQ OMX Group, Inc., National Association of Real Estate Investment Trusts (“NAREIT”), New York Stock Exchange, Inc., Russell Investment Group or S&P Dow Jones Indices LLC, nor are they sponsored, endorsed or issued by Barclays Capital Inc. Msci full form None of these companies make any representation regarding the advisability of investing in the Funds. Msci world index koers BlackRock is not affiliated with the companies listed above.

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