Which Emerging Markets Can Best Withstand Washington’s Stormy Seas?

Against the twin headwinds of the US presidential election and (supposedly) inevitable Federal Reserve interest rate increases, emerging markets are looking stronger than they have in a long time.

Economic growth is accelerating, inflation is close to an all-time low, and valuations aren’t nearly as stretched as in developed markets, says Marcus Svedberg, the Chief Investment Officer for East Capital, which manages over $2 billion in developing countries.

Yet the global investor obsession with the US has a habit of knocking the stuffing out of even fundamentally strong markets – so which are the emerging assets to own and disown going into the second half? We discuss Svedberg’s hit list.

And following Barack Obama’s visit to Vietnam last month, we assess the surprising changes afoot in the Socialist Republic with Khanh Vu, Director of VinaCapital, one of Vietnam’s largest money managers.