Three ways to make the most of EM equities in 2014

Emerging markets have endured a torrid time this year as investors focused on resurgent developed economies such as the US, but with growth likely to struggle again next year, one manager has highlighted three core strategies investors should follow if they brave EMs.

Michael Kollo, head of quantitative research at Renaissance Asset Managers and manager of the group's Global Emerging Markets Yield fund, said growth would likely be relatively low in 2014. As a result he said investors looking to take advantage of the attractive valuations needed to look carefully across the region. "There is a stark difference in themes between emerging and developed markets," Kollo said. "Emerging markets are in a quality/defensive cycle, and arguably they can stay this way for a long time." Kollo (pictured) said investors should consider the following three the...