Friday, 22 April 2011

Value investing may be less efficient if have macro instability?

In EM one may see that value investing has to be approached differently...one may want to sell sooner as the macro environment cannot be explicitly assumed to be stable...the margin of safety may be larger...

Choose countries where macro stability is as close as in many DM...this is where value investing has worked best because in the long term the macro environment has not been a big problem...

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