Al Mal Capital’s CIO Is Bullish on Emerging Market Debts

The video discusses the vulnerabilities of current account deficits, particularly in pan-Asian currencies, and the potential rally of the dollar. It examines the emerging market bond market, highlighting the challenges of negative yields and the attractiveness of certain high-yielding currencies like the Mexican peso and Russian ruble. The video also explores the impact of trade war risks on emerging markets, emphasizing the importance of considering countries with twin deficits, such as Turkey. Overall, the video provides insights into the dynamics of emerging market currencies and investment opportunities.

What is the primary concern for pan Asian currencies in the context of current account deficits?

• A potential break of the dollar below seven

• A potential break of the yuan above seven

• A potential break of the yen below seven

• A potential break of the euro above seven

What is the current state of the emerging market bond rally according to the transcript?

• It has been stagnant since July 2008

• It has been rallying for three weeks

• It has been declining since July 2008

• It has been rallying since July 2008

Why might investors be cautious about emerging market currency bonds?

• They are not attractive due to fiscal repression

• They are highly volatile

• They have negative yields

• They offer high yields

Which emerging market currency is mentioned as having performed well since the beginning of the year?

• Brazilian Real

• Indian Rupee

• Russian Ruble

• South African Rand

Which region is most likely to be affected by escalating trade wars according to the transcript?

• EMM Asia

• Europe

• Latin America

• Africa