The most popular strategy for investors these days is to chase after the same few expensive (and overvalued) U.S. stocks.
Why? Because everyone else is doing it.
But the U.S. isn’t the world’s fastest-growing economy. Not even close.
That honor goes to emerging markets such as China, Ethiopia and India. Each of those countries has gross domestic product growth of 7.4% or better, while the U.S. only has 2.3%.
And the best part? Emerging-market stocks are a bargain right now.
That means you can grab huge gains quickly without taking on much risk.
And once the record-long U.S. economic expansion ends — which one of our experts, Michael Carr, predicts will happen in the next 12 months — investors will ditch U.S. stocks and seek value in emerging markets.
That sets you up perfectly if you invest in emerging markets now before that becomes the next popular investment strategy.
In today’s 18-minute Market Insights, Ted Bauman joins us from South Africa. Jeff Yastine and Ted discuss:
- There are plenty of safe havens where you can make a lot of money. East Asia is one region that’s attracting attention because of its growing manufacturing economy. Quote: “One doesn’t have to choose an Argentina or a Turkey, which might have a lot of currency risk.”
- The nature of global supply chains has changed enormously. Emerging markets are trading with each other more and aren’t as dependent on larger countries as they used to be. Quote: “To the extent that people are discounting emerging markets, they’re doing so on the basis of a model that no longer applies.”
- E-commerce is growing faster in many emerging markets than it is in the U.S. Faster 4G internet connections, which we take for granted here, are just now coming to many countries around the globe. Quote: “In Indonesia, e-commerce grew, in 2017, roughly 70%. In Mexico, it’s growing similarly by high double-digit rates.”
Plus, Jeff and Ted each give their No. 1 stock recommendation to profit from the coming boom in emerging markets.
To hear more, just watch the video below:
What do you think about now being the right time to invest in emerging markets? Let us know by emailing us at SovereignInvestor@banyanhill.com.
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Regards,
Jay Goldberg
Assistant Managing Editor, Banyan Hill Publishing