LONDON (Reuters) – The world’s four biggest emerging economies are grabbing growing volumes of global capital flows, with firms and fund managers increasingly viewing BRIC consumer demand as a high-return, relatively safe investment bet.

Brazil, Russia, India and China, with 40 percent of the world’s population, account for about 20 percent of its gross domestic product, a share Goldman Sachs says will rise to equal that of the G7 industrialized countries as early as 2032.

There was a sign this year of the shape of things to come as China overtook the United States as the world’s biggest car market. And as incomes of 2.5 billion people steadily rise, company profits as well as stock markets will feel the effect.

No surprise that cash — direct investment and portfolio capital — is increasingly gravitating to these giants. Fund tracker EPFR Global says BRIC-geared equity funds absorbed almost $20 billion in January to November 2009. This is double 2007 levels and equivalent to 40 percent of what was taken by emerging stock funds, some of which also went to the BRICs.

LONDON (Reuters) – Signs this year’s emerging equity bull run may extend into 2010 are prompting investors who missed the rally to seek out so-called laggard trades — stocks that are still relatively cheap but may outperform in future.

Emerging equities rebounded over 5 percent this week after hefty falls fueled by fears a debt crisis in Dubai would paralyze the world financial system again. Many investors see the weakness as a chance to buy into the resurgent sector.

But to those who want to share in the emerging markets story but balk at current elevated valuations, central European and frontier stocks, as well as Western firms with exposure to developing nations, are recommended as laggards.

Emerging equities are up 75 percent in 2009, having pulled in over $50 billion this year. That makes valuations seen just earlier this year a distant memory — the MSCI emerging index trades now at 13.5 times forward earnings – almost double last October’s 6.5 times, ThomsonReuters data shows.

LONDON, Nov 26 (Reuters) – Dubai’s shock move to restructure billions of dollars in debt fuelled a heavy selloff in Gulf bonds on Thursday while debt insurance costs soared, endangering planned issues from the region in the near future.

At least one issuer was forced to pull a bond sale after Dubai said on Wednesday it was seeking a standstill on debt held by flagship firms Dubai World and property developer Nakheel, until at least May 2010.

With local markets closed, ambiguity still surrounds the terms of the restructuring, the amount of debt being restructured and which investors are most exposed. The reaction in offshore markets has nevertheless been fast and furious.

The bond at the centre of Dubai’s restructuring efforts, the Dec 2009 Islamic bond from Nakheel, <XS0277553052=R> has lost a third of its value since the announcement, the price having collapsed to 72 points from 111 beforehand.

LONDON (Reuters) – Emerging economies, smarting under rampant currency appreciation that is hindering their efforts to export their way to recovery, are finally daring to join a chorus of protests against China’s weak yuan.

Complaints about China’s currency usually come from the world’s rich nations but at last week’s G20 meeting, there were signs developing states, Beijing’s allies on issues like climate change and IMF reform, may also be starting to turn on it.

Brazil’s finance minister Guido Mantega — part of the “BRIC” group that also includes Russia, China and India — said he wanted to bring up the disparity between fixed and floating exchange rates at the G20. A source in his department was more blunt — saying China’s managed rate regime gave it too much of a competitive edge when it comes to exports.

“What is a concern is China’s fixed exchange rate,” the Brazil source told Reuters at the meeting of the Group’s finance ministers and central bankers. “The whole problem is China.”

LONDON, Oct 30 (Reuters) – World stocks crept higher on Friday, marginally extending gains that followed the United States’ emergence from recession while the dollar steadied off the previous session’s losses ahead of data that will add more fuel to the recovery debate.

While news the world’s largest economy had finally emerged from recession gave markets a shot in the arm on Thursday, concerns remain over the world economic rebound. [ID:nN29354547]

Huge gains in risk assets since March are also making investors wary and preventing equity and commodity prices from moving significantly higher.

The MSCI world index <.MIWD00000PUS> inched up 0.3 percent, slightly extending gains from their 1.5 percent bounce on Thursday.

LONDON, Oct 30 (Reuters) – World stocks crept higher on Friday, extending gains following the United States’ jump out of recession, while the dollar drifted ahead of more U.S. data that will add fuel to the recovery debate.

While news the world’s largest economy had finally emerged from recession gave markets a shot in the arm on Thursday, concerns remain over world economic rebound. [ID:nN29354547]

Huge gains in risk assets since March are also making investors wary and preventing equity and commodity prices from moving significantly higher.

The MSCI world index <.MIWD00000PUS> inched up 0.3 percent following a 1.5 percent bounce on Thursday.