Navigating Emerging Markets Through the Ballot Boxes

Geopolitics in an election-heavy year

2024 will see 40 countries going into national elections, representing over 40% of the global population (around half of the world if we also consider European parliament elections).

The outcomes of these elections could affect the future economic path, and international relations, of established leaders such as US/Europe and of emerging powers for instance in Asia and Latin America.

Increasingly, internal politics in emerging powers such as China, India, and Latin America will shape global geopolitics. In our view, investors looking for higher returns in emerging markets should assess country-specific factors such as political stability, public finances and economic growth.

Opportunities in a fragmented world

We are optimistic about the prospects for emerging markets in 2024. Following the rally in 2023, investors seeking opportunities should consider turning their attention to emerging regions, leveraging on their growth advantage and robust local consumption and trade dynamic.

The current outlook for the asset class is increasingly favourable, with certain emerging economies strategically positioned for growth. Projections indicate that the growth premium favouring emerging markets over developed markets is expected to expand further.

Key themes to keep an eye on 

This information is exclusively intended for “Professional” investors within the meaning of the MiFID Directive 2004/39/EC of 21 April 2004, and articles 314-4 and following of the General Regulations of the AMF. It is not intended for the general public or for non-professional individual investors within the meaning of all local regulations, or for “US Persons”, as defined in the Securities and Exchange Commission’s “Regulation S” under the 1933 U.S. Securities Act.

This non-contractual information does not under any circumstances constitute an offer to buy, a solicitation to sell, or advice to invest in financial instruments of Amundi or one of its affiliates (“Amundi”).

Investing involves risks. The performance of the strategies is not guaranteed. In addition, past performance is not in any way a guarantee or a reliable indicator of current or future performance. Investors may lose all or part of the capital originally invested.

Potential investors are encouraged to consult a professional adviser in order to determine whether such an investment is suitable for their profile and must not base their investment decisions solely on the information contained in this document. 

There is no guarantee that ESG considerations will enhance a fund’s investment strategy or performance.

Amundi assumes no liability, either direct or indirect, resulting from the use of any of the information contained in this document, and shall not under any circumstances be held liable for any decisions taken on the basis of this information. This information may not be copied, reproduced, modified, translated or distributed, without the prior written approval of Amundi, for any third person or entity in any country or jurisdiction which would subject Amundi or any of its products to any registration requirements within these jurisdictions or where this might be considered unlawful. 

This information is provided to you based on sources that Amundi considers to be reliable, and it may be modified without prior warning.