Appetite for emerging markets gets a boost

Arrowgraph-upEnthusiasm for emerging markets continues to grow, with 12% of UK adults now looking to gain exposure to these economies in the next twelve months, up from 9% in 2009, according to a survey for Baring Asset Management.

In the same two-year period, funds under management in emerging market equities have increased from £6.2bn (€7bn) to £13bn, according to data from the Investment Management Association (IMA).

Most investors – 11% in the long term – said they would spread their money across a portfolio covering all emerging markets, while 7% said they would invest in the Brics (Brazil, Russia, India, China) for long-term growth and 6% said Asia.

Rod Aldridge, head of UK retail distribution at Barings, said: “Clearly investors are seeing the benefit of diversifying their investments as they opt to invest across a number of regions within the emerging markets, which is important given each region varies hugely in terms of the risk/reward profile it offers.”

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