ID :
41231
Sat, 01/17/2009 - 18:05
Auther :
Shortlink :
https://oananews.org//node/41231
The shortlink copeid
INVESTMENT OPPORTUNITIES STILL THERE IN EMERGING MARKETS
KUALA LUMPUR, Jan 17 (Bernama) -- Investment opportunities are still there in the emerging markets in line with the expected recovery in the economy and markets next year.
Executive chairman of Templeton Asset Management Ltd, Dr Mark Mobius
said China, India, Turkey and South Africa were among the countries which would
gain the most in terms of higher economic growth and investment opportunities.
As for the Malaysian market, Dr Mobius said it will continue to see steady
growth as the government is expected to deliver policies for the benefit of the
country.
"Among the key reasons that make emerging markets an attractive investment
options are higher economic growth, sizeable foreign exchange reserves and lower
debt levels," Dr Mobius said during a media briefing here Saturday.
Dr Mobius was in Kuala Lumpur to present a talk to Citibank's Wealth
Management affluent clients with a minimum portfolio value of RM200,000
(US$56,124).
He said the main sectors that will be most attractive for investment
are consumer products and commodities.
"In the commodities market, investment that is related to the mining sector
such as gold will be the most lucrative," he said.
Steep declines in global equity markets, he emphasised, have brought
valuations down to even more attractive levels and investors should start
looking at lucrative sectors of the market.
He said in the current market dowturn, stock markets have discounted weaker
earnings prospects.
"Therefore a return of bargain investors could see stock prices rebound in
the future," he said.
The lower interest rate scenario as a measure adopted by most countries to
boost investment will also pump money into the markets this year.
More money is expected to flow into markets this year, he said, especially
in Asia where sizeable foreign exchange reserves have been built up.
While corporate governance issues are a growing concern among investors
after several high profile case of corporate fraud, Dr Mobius said
it should not have a drastic impact on investment sentiment and markets.
"There are still good companies around with good management. However,
investors should also be cautious and vigilant of any signs of fraud among
directors and suspicious company dealings," he said.
-- BERNAMA
Executive chairman of Templeton Asset Management Ltd, Dr Mark Mobius
said China, India, Turkey and South Africa were among the countries which would
gain the most in terms of higher economic growth and investment opportunities.
As for the Malaysian market, Dr Mobius said it will continue to see steady
growth as the government is expected to deliver policies for the benefit of the
country.
"Among the key reasons that make emerging markets an attractive investment
options are higher economic growth, sizeable foreign exchange reserves and lower
debt levels," Dr Mobius said during a media briefing here Saturday.
Dr Mobius was in Kuala Lumpur to present a talk to Citibank's Wealth
Management affluent clients with a minimum portfolio value of RM200,000
(US$56,124).
He said the main sectors that will be most attractive for investment
are consumer products and commodities.
"In the commodities market, investment that is related to the mining sector
such as gold will be the most lucrative," he said.
Steep declines in global equity markets, he emphasised, have brought
valuations down to even more attractive levels and investors should start
looking at lucrative sectors of the market.
He said in the current market dowturn, stock markets have discounted weaker
earnings prospects.
"Therefore a return of bargain investors could see stock prices rebound in
the future," he said.
The lower interest rate scenario as a measure adopted by most countries to
boost investment will also pump money into the markets this year.
More money is expected to flow into markets this year, he said, especially
in Asia where sizeable foreign exchange reserves have been built up.
While corporate governance issues are a growing concern among investors
after several high profile case of corporate fraud, Dr Mobius said
it should not have a drastic impact on investment sentiment and markets.
"There are still good companies around with good management. However,
investors should also be cautious and vigilant of any signs of fraud among
directors and suspicious company dealings," he said.
-- BERNAMA
