Riskiest Debt Left Out of EM Renaissance

The video discusses the underperformance of emerging markets (EM) despite positive global economic indicators. Factors such as weaker credit markets, currency weakness, and over-reliance on multilateral lenders are highlighted. The impact of China's growth on EM is analyzed, noting that its domestic focus limits spillover benefits. The discussion also covers FX dynamics, with the US dollar's valuation affecting EM. Trade strategies, particularly between Brazil and Mexico, are explored, emphasizing relative value opportunities in a fragile global economy.

How does the speaker perceive the long-term fundamentals of China's growth?

What does Goldman Sachs suggest about the valuation of emerging markets compared to the US outlook?

What are the potential opportunities in the emerging markets space highlighted in the discussion?