Earnings and profit robust as asset class fundamentals remain resolute

In the second quarter, it was both the best of times and the worst of times as far as the emerging m...

In the second quarter, it was both the best of times and the worst of times as far as the emerging markets equities asset class was concerned. April and May saw developing markets record strong gains as investors' fears about a US recession and financial crisis receded. However, worries about high commodity prices and inflation sparked heavy selling that culminated in the MSCI Emerging Markets index falling over 10% in June, leaving the asset class down by just under 1% for the quarter in sterling terms. With emerging and developed equity markets moving largely in lockstep with one anothe...