The Bull Run in Emerging Stocks May Be Just Getting Started
- Developing equities could double in two years, firm says
- Only a recession or overvaluations will end current rally
Finding Opportunities in Emerging Markets
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An overanalysis of geopolitics, “central bank zigzags” and a focus on company earnings are all just distractions when it comes to riding bull markets in emerging stocks.
That’s the view of Bank of America Merrill Lynch, based on an analysis of six previous bull markets in developing-nation equities going back to 1976. The current surge is little different from the ones that came before it and emerging shares could double in two years, according to a note from the Wall Street firm by analysts including Ajay Kapur, head of Asia-Pacific and global emerging-market strategy in Hong Kong.