Asset Management

Emerging market woes predicted for third successive year

Managers warned it will not be 'third-time lucky' as JP Morgan Cazenove favours developed market focused firms

Emerging market troubles have been forecast to continue this yearEmerging market troubles have been forecast to continue this year
Emerging market troubles have been forecast to continue this yearEmerging market troubles have been forecast to continue this year Photo: iStock

Emerging market troubles have been forecast to continue this year, with developed market managers poised to prosper in comparison, as the latest trading updates of Ashmore Group and Jupiter Fund Management’s highlighted their contrasting fortunes.

JP Morgan Cazenove warned in a 2016 asset management research briefing on January 14 that it will not be "third time lucky" for EM-focused managers, as it predicted these specialists will continue to suffer net outflows this year, continuing difficulties which began in 2014.

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