If Warren Buffet and Benjamin Graham were born today i am convinced they would take a serious look at emerging markets and commodities. In fact Warren Buffets best recent bets have been in those markets. He has done good business in the Korean steel giant Posco. Its good to know Korea dominates the shipbuilding market, so Posco sells most of its products domestically. He has also done a great trade in Petro China. China needs a lot of energy. All this while his business in the USA is doing not very well.
Stocks in Asia and Brazil are often cheap. The good future for those regions are not reflected in the stock prices. As we all know stocks in the USA can be even more risky and not safer than emerging ones.
Emerging markets are the place to be because they are developing at a high pace. There are also very many people living there which means many future customers. Emerging markets also hold commodities which are getting very scarce. More and more people are eating better and using cars. In fact China is already the biggest car market.
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