How to survive in developing markets

CONTRARIAN

It is a tricky old business being a value investor, especially if you are not based in the West

Emerging markets are not exactly famed for hosting a dazzling collection of bargains. Investing in these rollercoaster markets is a challenge for anyone, but especially for some professional, value-oriented investors who by nature tend to be a tad over-cautious, and more than a little cynical about grand claims for growth. Some fund managers have tried to use dividends as a guide to navigating these markets, focusing their attention on companies that have chosen the righteous path and decided to reward their hard-pressed shareholders with a twice yearly cheque. Almost overnight, a who...