By Justin Leverenz, Team Leader and Senior Portfolio Manager
In the second part of this series, Justin Leverenz explains why it is companies, not countries, that may deliver equity returns in emerging markets.
Many investors operate under the assumption that emerging markets ((EM)) equities can generate superior returns simply because EM countries generate higher rates of economic growth than the developed world does. In our view, not only is it incorrect to assume that all emerging markets are growing at a faster rate, but it is also wrong to use macro growth as the basis