Could EMD be a safe haven from US and European political uncertainties?

It may seem strange to consider emerging markets a potential safe haven, but arguably that is now the view of many of those looking to mitigate the political uncertainties in Europe and the US.

In the past six months there have been strong inflows into emerging markets equities and bonds. The political argument is one driver - we can now add a UK General Election to the French Presidential Election and September's German Election that are creating uncertainty in Europe. In the US we see Trump struggling to push through the reflationary economic agenda that has driven equity prices recently and taking an interventionist foreign policy approach that runs completely counter to his election promises. Emerging market countries, in contrast, are enjoying improved political stab...