Global Investing

Measuring political risk in emerging markets

October 10, 2014

(Corrects to say EI Sturdza is UK investment firm, not Swiss)

Commerzbank analyst Simon Quijano-Evans recently analysed credit ratings for emerging market countries and concluded that there is a strong tendency to “under-rate” emerging economies – that is they are generally rated lower than developed market “equals” that have similar profiles of debt, investment or reform. The reason, according to Quijano-Evans, is that ratings assessments tend to be “blurred by political risk which is difficult to quantify and is usually higher in the developing world compared with richer peers.

There’s cash in that trash

April 9, 2013

There’s cash in that trash.

Analysts at Bank of America/Merrill Lynch are expounding opportunities to profit from the burgeoning waste disposal industry, which it estimates at $1 trillion at present but says could double within the next decade. They have compiled a list of more than 80 companies which may benefit most from the push for recycling waste, generating energy from biomass and building facilities to process or reduce waste. It’s an industry that is likely to grow exponentially as incomes rise, especially in emerging economies, BofA/ML says in a note:

Asia’s credit explosion

March 22, 2013

Whatever is happening to all those Asian savers? Apparently they are turning into big time borrowers.

For luxury, all that glitters is gold

By Reuters Staff
May 8, 2012

The year has certainly got off to a good start for luxury companies, with firms like LVMH, home to Louis Vuitton, reporting stellar results for the first quarter. No wonder – according to CLSA Asia-Pacific Markets analyst Aaron Fischer, resurgent emerging market consumers are fuelling a strong growth in the global luxury goods market. Growth in the sector was  double its long-term average last year, Fischer says.  He has updated his bullish 2011 report “Dipped in Gold” and is particularly optimistic on established brands, predicting global growth of 10% in 2012, slowing slightly from last year’s 14% rise:

Home is where the heartache is…

January 17, 2012

On a recent trip home to Singapore, I was startled to learn just how much housing prices in the city-state have risen in my absence.

from DealZone:

Wynn’s sure thing in China

October 9, 2009

Nobody ever got poor betting on Chinese demand for gambling, though the big players in Macau have seen a few busted flushes along the way. With more than a billion fatalists eager to hit the tables, and only one place to do it (Macau is China's only legal gambling venue), it's not hard to see the case that Wynn Macau and Las Vegas Sands are making for Hong Kong investors. It's the same story Hong Kong and Macau magnate Stanley Ho has made for decades.