Date: March 6, 2014

No More Shush… Emerging Markets are Waking Up

After an horrific 2013 relative to the developed world, emerging markets fell even harder in January. Slowing China. Contagion in the Pacific Basin. Instability in South America. They were left for dead, especially in the media. But a funny thing happened on the way to the embalming parlor. Sellers became scarce even with the powder keg in the Ukraine. Buyers began to step up and the MSCI Emerging Markets Index has rallied 8% over the past month.

In my 2014 Fearless Forecast (, I went out on a limb regarding the sector and while this still may be early, I think emerging markets are going to surprise people in 2014. Keep an eye on Vietnam, Israel, Peru, Hong Kong, Taiwan and the Philippines.


Paul Schatz, President, Heritage Capital