Emerging Markets equity investors have once again over reacted to Developed Market events.

Emerging Markets (EM) currencies are rallying against the Dollar.

2017 was the best performing year for Emerging Markets equity since 2009, both in absolute and relative terms.

2018 is likely to see strong inflows to EM local markets on the back of strong performance, good value and improving fundamentals.

In 2005 Former Fed Chairman Ben Bernanke argued that a savings glut in EM explained the US current account deficit.

Last night’s S&P downgrade of El Salvador’s credit rating to Selective Default makes this report on Emerging Markets (EM) external debt extremely timely.

The view that Developed Market bonds are risk-free and that Emerging Markets (EMs) bonds are risky remains deeply entrenched.

Quantitative Easing (QE) was the largest and most distortionary intervention ever made in global bond markets and it particularly favoured US markets.

This is the 6th annual review of global fixed income.

Why is the US VIX index so low?

In a recent article about China’s inclusion in the MSCI benchmark index the Financial Times columnist John Authers made the following astute observation: “There is something ungainly in the way [China’s index inclusion] has been outsourced to MSCI..."

Frontier Markets may be the least-understood corner of the global equity map.

Global bond funds have seen a dramatic rise in assets over the past 10 years, reflecting the desire of investors to be exposed to a broader, more diverse set of assets away from their home markets.

MSCI’s inclusion of Chinese stocks into its index is another inexorable step towards China’s entry into and eventual dominance of the global financial system.

As investors return to EM local markets on the back of strong performance and a solid outlook they will be forced to inject capital directly into EM economies.

Emerging Markets (EM) asset prices over-reacted to the downside in recent years, especially given that EM fundamentals held up far better than expected in the face of serious headwinds.

We construct macroeconomic risk indicators for Emerging Markets (EM) countries and the US (so-called Icarus Indices).

One of the common perceptions about EM is that inflation rises sharply when their currencies weaken.