Economics Investing

Emerging Market Follow Up

Nice piece on Bloomberg the other day countering my argument for investing in emerging markets (“EM”) right now. Some very well known and successful EM investors believe now is the time to invest in EM given their underperformance relative to developed markets including the U.S. unless a recession is around the corner. These investors are …

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Economics Investing

U.S. Dollar Supply

I wanted to share a chart from a report I read yesterday, focusing on the shrinking supply of U.S. dollars (“USD”) globally. You can find the report online here. World dollar liquidity as depicted in the chart is the sum of the U.S. monetary base and Treasury securities owned by foreign central banks held at the …

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Investing

Are Emerging Markets Cheap?

Emerging markets (“EM”) are becoming increasingly topical as they continue to underperform their developed market peers. The concoction of tightening monetary policy in the US, a rising U.S. dollar (“USD”) and general uncertainty about the global economy (trade wars and volatile commodity prices) have proven insurmountable for EM stocks in 2018 so far. Relative to …

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