Emerging Markets

September 2, 2013

Tupperware – Iconic Brand, Emerging Market Strength and Recession Proof Growth makes it a Buy

Tupperware Brands Corporation Tupperware Brands Corporation (TUP) is a multi-brand, direct selling company with a market capitalization of ~$4.5 billion. The company owns the iconic Tupperware […]
July 10, 2013

Problems of the Chinese Financial Market – Property prices a major concern

Problems faced by Financial Market in China China is suffering from the problem of rent seeking and corruption, all thanks to its regulated Financial Market. In […]
April 4, 2013

Can India be still a Breakout Nation?

Some simple rules of the road, rather than some sweeping theory about institutions or geography, will determine India’s economic success over the visible time horizon. Why do Nations Rise and […]
February 25, 2013

Indonesia a land of Natural Resources and Missed Opportunities

Indonesia A Silent Competitor Indonesia is situated in the largest continent Asia in its south eastern region and consists of a large archipelago between the Indian […]
January 2, 2012

Should India learn from Brazil in reducing Fiscal Deficit and Budget Spending

2011 has been a bad year for emerging markets with high inflation,slowing growth and rising interest rates.Most of the problems are a consequence of the 2008 Financial Crisis when emerging countries increasing fiscal spending and reduced interest rates to reduce the affect of the Lehman crisis.Now the Bill is coming due with slowing growth and higher inflation.Most of the BRIC countries have heavily increased interest rates in 2011 to slow inflation as their poor population can ill afford the damaging effect of inflation. Brazil has reduced its 2012 Budget by $32 billion to control inflation drawing howls of protest from politicians who always want to spend more as if money grows on trees.The country has reined in spending in both 2011 and 2012 to reduce the fiscal deficit and spend more money on productive sectors like infra.
December 9, 2010

Initial Public Offerings reach a record IPO Funding of $300 Billion ;List of 2010 Indian and Green IPOs

Initial Public Offerings in 2010 is going to reach almost $300 billion globally which is a record exceeding the last biggest IPO Funding Year in 2007.The drivers of the huge growth in IPOs in 2010 are a combination of factors which have come together.Going into 2011,the picture may not be as good as interest rates increase in Europe and other emerging markets.The main drivers of Capital Raising for IPOs has been
November 20, 2010

Foreigner Bond Tax becomes favorite Capital Control as Dollar Deluges Emerging Markets

Deflating Developed Countries are fueling Inflation in Developing Ones with ultra low interest rates.QE2 has been heavily criticized around the world due to the dangers of it creating asset bubbles in emerging markets as yield hungry investors look for growth at any price.With hundred of billions flooding emerging debt and equity markets,the situation has become volatile for a lot of countries.Brazil has already seen its currency skyrocket in the last 2-3 years due to the huge spread between its bond yields and the US interest rates.With carry investors able to make around 10%,Brazil remains a favorite market for the inflow of dollars.Other countries like Thailand,Malaysia,Indonesia have seen their stock markets rallying to all time highs as well.Many of these countries have already imposed capital controls earlier.Now they are increasing further,as monetary authorities rush to close the gates.
October 13, 2010

Crushing Income Disparity in India – World's Most Expensive $2 Billion Home coexists with Largest Number of Hungry Children

42% of World's Hungry Children Live in India In contrast to the exponential growth of wealth of India's upper classes,the poor continue to eke out a miserable existence mired in hunger and constantly facing starvation.Globalization of Agriculture has further increased Food Price Inflation making their positive even more precarious.According to International Food Policy Research Institute (IFPRI),India slipped 2 places to be ranked in the 67th place amongst 88 nations in the Hunger Index.Despite a stellar economic performance over the last 20 years or so and sharp rise in per capita GDP,India remains one of the poorest nations on earth.It ranks below even Nepal,Pakistan,Sudan with 48% of India's children stunted due to lack of food.The report is a strong indictment of growth policies which has made its children mostly hungry and stunted.Other strongly growing economies like Brazil and China have performed much better than India.Time for India's government to radically change the structure of India's economic growth.Despite promotion of policies like NREGA and midday meals for poor,rank corruption and leakage has led to India being the hungriest nation on earth.
May 27, 2010

New Secular Bull Market or a Cyclical Bull within a Secular Bear

The recent sharp correction in the S&P and other US indices has been the biggest since the March 2009 Rally.The US and other Global Stock Markets […]