Emerging and Frontier Markets: Cyclical Bounce or the Beginning of a Secular Advance? A discussion with Peter Elam Håkansson, CEO and Founder of East Capital.
Money Maze Podcast
Money Maze Podcast
4.9 • 238 Ratings
🗓️ 22 January 2026
⏱️ 47 minutes
🧾️ Download transcript
Summary
Emerging Markets, once the darling of the asset allocators world, have found themselves increasingly discarded by those same allocators.
Such became the re-allocation away from them and the magnetism of the US & its technology companies, that as recently as the end of 2024, Emerging Markets were at a 50 year low, relative to the S&P 500.
With some improved relative performance, it may be asked if this is a flicker, or are we at the foothills of a bigger reallocation? East Capital’s CEO, Peter Håkansson, discusses the opportunities, the lessons drawn from researching them for 3 decades, and what the drop in EM Government bond yields might be signalling.
He explains why no central heating might indicate corporate failure ahead, which fundamentals matter, and why they prefer to take their bets in company position sizing, rather than in the country weights.
He also discusses Frontier markets, the impact of foreign exchange and as a music lover he is, “reasons to be cheerful!” (Ian Dury & the Blockheads)
The Money Maze Podcast is kindly sponsored by Schroders, IFM Investors, World Gold Council and LSEG.
Sign up to our Newsletter | Follow us on LinkedIn | Watch on YouTube
Transcript
Click on a timestamp to play from that location
| 0:00.0 | If you really want to be part of new technology, you have to be in Asia. |
| 0:05.0 | And most of the time you have to be in China. |
| 0:07.0 | That's the harsh reality. |
| 0:10.0 | And we saw it so much when it comes to wind and solar. |
| 0:14.0 | It doesn't really pay to look at anywhere else. |
| 0:18.0 | And we see the same now with batteries, we see the same thing with the chips |
| 0:22.1 | manufacturing, not maybe in China, but then it's rather Korea and Taiwan instead. So you have to, |
| 0:27.8 | I mean, this is the part of the world where it's all happening. I think the average growth of GDP |
| 0:32.2 | for the last 25 years in Poland is 3.8%. Yes. Yes. It's not China, but it's not far from China either. And that's here in |
| 0:41.0 | Europe. It's 40 million people. For example, if you look at one of the new countries that we |
| 0:47.2 | have been investing in for the last 10 years, maybe, is Saudi Arabia, which didn't, which was not in any indices when we started to invest in it. |
| 0:56.9 | I think it is a fantastic business to be. |
| 1:00.4 | It's really, I mean, you are paid to be curious. |
| 1:03.7 | So I would just, if you're interested in what's happening in the world, this is the belief. |
| 1:09.8 | Welcome to the MoneyMays podcast. If this is your first |
| 1:12.7 | time joining, I'm your host, Simon Brewer. Quick word before we start. 95% of viewers aren't |
| 1:20.6 | subscribed, so miss out on future interviews with top business, finance and industry leaders. |
| 1:25.9 | To support the show and ensure we can keep |
| 1:28.5 | sharing high quality content, click subscribe and please drop a like. Plus, if you have any future |
| 1:34.5 | guest ideas, do share your suggestions in the comment section below. Otherwise, thank you for watching |
| 1:40.1 | and listening and enjoy the show. Emerging markets, once the darling of the asset allocators world, |
| 1:46.9 | have found themselves increasingly discarded by those same allocators. |
... |
Please login to see the full transcript.
Disclaimer: The podcast and artwork embedded on this page are from Money Maze Podcast, and are the property of its owner and not affiliated with or endorsed by Tapesearch.
Generated transcripts are the property of Money Maze Podcast and are distributed freely under the Fair Use doctrine. Transcripts generated by Tapesearch are not guaranteed to be accurate.
Copyright © Tapesearch 2026.