Thu 24 Jan 2019 / Global
Emerging market trials persist
Last year's thrashing in all emerging market investment classes, with debt, equity and currencies in simultaneous decline for the first time in a decade, prompted reconsideration of allocation rationale into the next decade. Crises in Argentina and Turkey in 2018 were in part a replay of 2013 Federal Reserve-induced 'taper tantrum', as retail foreign investors sold indiscriminately. Contagion may yet spread, but for now index performance will continue to be subdued without the spectre of uncontrolled crashes.