M&G: Is LatAm the place to be in 2022?

Outflows lighter than anticpated

An emerging markets debt conference I attended recently provided the opportunity to see how fellow investors view the outlook for 2022.

With the war rightly in everyone's minds, we must also be aware of events in the rest of the world which could prove to be key drivers of investment performance this year. Unsurprisingly, Ukraine was the centre of discussion and the biggest risk factor identified by investors. The other two topics discussed with concern were global monetary tightening and rising inflationary pressure. Clearly these three are linked, with the Ukraine conflict adding to the supply crunch, driving inflation, especially in food and energy and thereby forcing central banks to raise rates. Equally clearly, ...