FROM MY LINKS POST TODAY: "Finally, a fund manager in a recent podcast made the interesting observation that if you create a basket (portfolio) of emerging or frontier markets, you generally end up with something that (in aggregate) is much less volatile than if you were to look at emerging markets at the index level. The fund manager explained:
"There are generally minimal trade flows between smaller emerging and frontier countries, so problems in the real estate market in Vietnam will tend to have no impact on the level of oil production in Argentina. The recent election in Thailand had no impact on the subsequent Greek election. Constitutional change in Chile won’t impact interest rate movements in Saudi Arabia.""
FROM MY LINKS POST TODAY: "Finally, a fund manager in a recent podcast made the interesting observation that if you create a basket (portfolio) of emerging or frontier markets, you generally end up with something that (in aggregate) is much less volatile than if you were to look at emerging markets at the index level. The fund manager explained:
"There are generally minimal trade flows between smaller emerging and frontier countries, so problems in the real estate market in Vietnam will tend to have no impact on the level of oil production in Argentina. The recent election in Thailand had no impact on the subsequent Greek election. Constitutional change in Chile won’t impact interest rate movements in Saudi Arabia.""
https://emergingmarketskeptic.substack.com/p/emerging-markets-week-june-26-2023