Emerging Markets

Over the past 25 years, there's been 11 major dislocations in emerging markets. They all have looked the same: peak to trough, they drop about 20, 22%, eight months later it's up like 27%. 12 to 24 months later, it's up 30 to 50%. So with that kind of top down historical framework, it's easy to see that there's cheap valuations in EM today. But I continue to think that the expected returns in the destination warrant what may be a bumpy journey.