Five of the Best: Locally-listed EM stocks

Investors looking for emerging market exposure could do better than back European-listed multi-nationals trading on high multiples. We highlight five of the best locally-listed, cheaper emerging market stocks.

Many managers looking for exposure to emerging markets have chosen the perceived safety of consumer staples stocks listed in developed markets. As much as 44% of Nestle's and 57% of Unilever's revenue is derived from emerging markets, and this combined with the lower volatility of UK and US markets has made these companies seem like an easy way to access emerging consumption. But this trend has led many of internationally-facing consumption stocks to seem richly valued. For example, Colgate-Palmolive is trading on a trailing 12 months P/E of 29 times, SABMiller trades around 25 times...