Move Over Developed Countries

We’re currently revisiting the role of emerging market equities in our portfolios. A recent report from Goldman highlights the reasons.

Bloomberg reports that Goldman Sachs Group Inc predicts “…the market value of emerging-market stocks may surge more than fivefold to $80 trillion in two decades, overtaking developed nations, as China becomes the world’s largest stock market. Faster economic expansion and growing capital markets may lift emerging nations’ share of world equity capitalization to 55 percent by 2030 from 31 percent today, Goldman strategists led by Timothy Moe wrote in a research report. Institutional investors in developed nations will probably buy a net $4 trillion of emerging-market equities, lifting holdings to 18 percent of their total portfolios from 6 percent now, Moe wrote.”

The full story is at

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