View more on these topics

Mobius says emerging markets will stay on the rollercoaster

Templeton emerging markets investment trust manager Dr Mark Mobius says emerging markets are set for more short-term volatility.

Despite a positive long-term outlook for emerging markets, Mobius gives a cautious forecast for the short term. He says: “We can expect more volatility in view of a prolonged major downturn in the US economy, rising global inflation, economic overheating in China and India and highly volatile exchange rates and commodity prices.”

China’s economy grew at 10.6 per cent in the first quarter of this year despite heavy snow storms and slower exp- ort growth. Inflationary pressures eased in May, with consumer prices growing by 7.7 per cent compared with April’s figure of 8.5 per cent due to lower food prices. Foreign direct investment in China rose by 55 per cent to £21.7bn in the first five months of the year.

Mobius says fears of the effects of a US recession coupled with overheating and inflationary concerns dragged the Asian markets into negative territory at the end of the second quarter.

Despite the rocky ride ahead, he points to recent corrections in global equity markets and remains positive on the longer-term outlook for well managed companies in emerging markets.

Mobius says: “These econ- omies continue to display relatively strong funda-mental characteristics and are expected to grow at a much faster rate than their developed counterparts.”


Aon says regulation threatens transfers

Aon Consulting is warning that additional unnecessary regulation surrounding defined-benefit pension transfers could force firms to withdraw transfer options.

Conflicts of interest

The relevant property regime for inher-itance tax, incor-porating entry, periodic and exit charges, is now part of everyday tax planning for those considering the use of trusts with financial services products in estate planning strategies.


Five ways to make your employee focus group session a success

by Debra Corey, group reward director  You just planned and booked what you thought was the perfect vacation for you and your family. You call everyone together to share the great news and instead of receiving sounds of glee and delight, you receive groans and complaints.Your youngest says: “I hate beaches, didn’t you know that?” (You think to […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm