Why ESG matters for bonds
The higher a country’s environment, social, governance (ESG) rating, the better its government bonds perform, MSCI has found.
ANNOUNCEMENT: UK Adviser is now PA Adviser. Read more.
The higher a country’s environment, social, governance (ESG) rating, the better its government bonds perform, MSCI has found.
Pictet AM’s chief strategist Luca Paolini tried to redefine the concept of a market correction this week, urging investors to take advantage of a 2% fall in asset prices to “rebuild positions in riskier assets”.
Frontier market equities saw the largest net inflows for a very long time in June, suggesting the interest in developing economies’ stock markets is broadening.
Emerging markets are increasingly attractive but selecting the right fund is the key to performance, according to Morningstar.
The UK was the worst performing single country index in June while Canada was the best, according to data by MSCI.
Wealth and asset managers give their views on the implications of the MSCI inclusion of A-shares and where they find investment opportunities onshore.
Saudi Arabia has taken a big step towards being classified as an emerging market after the MSCI added the Gulf state to its watchlist for potential upgrade on Tuesday, with the Saudi royal family making an unprecedented succession change a day later.
Largely within expectations, the MSCI will add Chinese A-shares to its emerging markets indices starting in May next year – a symbolic rather than impactful move in the short run.
With a string of countries having been promoted from frontier market to emerging market by index provider MSCI in recent years, investors need to ask themselves the question: are frontier markets still a viable asset class? And if they aren’t, is that actually a problem?
Asset management professionals share their views on the MSCI’s upcoming decision about whether or not to include China’s A-shares in its emerging market indices with our sister publication Fund Selector Asia.
Index provider MSCI has outlined new proposals designed to overcome issues preventing it from adding the shares of mainland Chinese companies to several key equity indexes, which should effectively allow a limited number of stocks to be included.
Blue chip stocks in Hong Kong look attractive as the MSCI moves toward a decision on including China in its emerging market indices later this year, according to fund managers.