We are pleased to share with you our RBC Emerging Markets Equity Outlook for 2024.
2023 has been a notable year for emerging markets equities (“EM”), and potentially the beginning of their decoupling from developed markets. While we have seen continued underperformance of China, other EM have been performing well both in terms of fundamentals and equity market returns, with strong prospects looking ahead.
In this year’s report, we reflect on key developments over the course of the last year and set out our thinking for the environment ahead. We also address the questions that have been top of mind for our clients. We cover a range of topics including macroeconomics, valuations, earnings, styles, themes and ESG reforms. While our portfolio positioning continues to be primarily driven by stock selection, we use this report to identify the extremes from a top-down perspective and increase or decrease weights at the margins.