A clear winner emerges
Emerging equity markets outperformed their developed counterparts in 2007 with a 42 per cent spike versus a gain of only 9.4 per cent for the world’s developed markets.
According to the Standard & Poor’s (S&P) global stock market review, titled The World by Numbers, 11 of the 26 emerging markets increased by at least 50 per cent during 2007, with Nigeria’s 115.32 per cent gain placing it at the top of an impressive group.
The review also revealed that most of the emerging market economies delivered good returns during December last year, including India (9.09 per cent), Nigeria (8.75 per cent) and Egypt (8.07 per cent).
This compares to 19 of the 26 developed world equity markets landing in the negative territory last month, which was actually an improvement on the 24 that were down in November.
Although losses were generally modest, Iceland recorded its second month in a row of double-digit declines (negative 11.58 per cent in December and negative 15.48 per cent in November).
S&P put last year’s results down to investors’ expectation of sales growth in emerging markets that saw cash move out of the developed markets and into emerging.
AUTHOR
Recommended for you
As the government announces a public inquiry into the collapse of Dixon Advisory, risk adviser Richard Silberman has detailed the three areas that typically lead to an AFSL's collapse.
With a growing number of advisers now running their own business, they need to pivot their career identity to being a business owner rather than just as a financial adviser if they want to futureproof their business.
Zenith Investment Partners has launched a range of new managed account portfolios over the past quarter, including on Insignia Financial’s Expand platform.
The financial services technology firm has officially launched its digital advice and education solution for superannuation funds and other industry players.
