View more on these topics

Excessive regulation “greatest threat” to EM equities, warns UBS

Excessive regulatory efforts are currently posing the greatest threat to emerging market equities, according to UBS Global Asset Management’s Urs Antonioli.

Speaking at the Fund Strategy Investment Summit, the head of emerging markets EMEA/Latin America equities says inflation and increased regulatory efforts are the two biggest threats to the asset class but notes that inflation is at least falling.

“Inflation is falling for the first time in 18 months in emerging markets,” he says. “This [risk] has gone away.”

It is the materials sector that is particularly as risk from government intervention, particularly in some of the larger Bric (Brazil, Russia, India & China) nations, he adds.

“Countries like Russia and Brazil see how these companies make tonnes and tonnes of money and there’s a tendency in these countries to change regulations, licences and to raise taxes,” explains Antonioli.

The £26.8m UBS emerging markets equities income fund currently has a 12 per cent weighting to the materials sector, making it the fourth largest single exposure in the portfolio.


North set to offer research and rating service

North Investment Partners could launch a fund research and rating service for advisers. The firm currently runs portfolios on behalf of advisers and investment managers. Chief executive John Husselbee says: “He says: “We are thinking of offering an information service to IFAs for a fee. That charge could be waived if they take on our […]


PPI redress hit £1.9bn in 2011

Firms paid out £1.9bn in payment protection insurance redress last year, the latest figures from the FSA show. Payments hit £441m in December 2011, the largest month yet for PPI payouts. The Financial Ombudsman Service says it is currently receiving 1,000 new PPI complaints every day, the majority of which relate to PPI sold by […]

Poor service continues to drive platform switching

Growth in assets under administration on platforms has been significant over the last two years and there is no doubt that the retail distribution review has acted as the main catalyst. Assets have risen from around £100bn in January 2010 to more than £160bn towards the end of 2012, according to our data. Considering it […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment