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Emerging Market Links + The Week Ahead (July 18, 2022)
China-Taiwan conflict would cause chaos beyond semiconductors, "disgruntled" Chinese homebuyers refuse to pay mortgages, growing Latin America problems & the week ahead for emerging markets.
In the wake of the Russia-Ukraine conflict, more and more corporate executives and the media are starting to examine what a China-Taiwan conflict might mean for their businesses and the overall economy. However, China is increasingly grappling with banking and real estate problems as homebuyers start to refuse to pay their mortgages on unfinished housing projects.
Meanwhile, there are growing troubles in Latin America, particularly with the usual suspect Argentina and now in Colombia (in the wake of a Leftist winning elections).
Check out our emerging market ETF lists, ADR lists and closed-end fund lists (also see our site map + list update status as the lists are still being updated as of Summer 2022) along with our general EM investing tips / advice. All links to emerging market newspapers, investment firms, blogs and other helpful investing resources at the bottom of www.emergingmarketskeptic.com or on the menu under Resources have been updated.
$ = behind a paywall
"Firms want to know how to perceive situational risks and they want to know what key elements they should be tracking on an ongoing basis," said Tong, a former veteran Asia diplomat. Tong added that the clients requesting briefings ranged from technology and financial groups to pharmaceutical makers and consumer goods manufacturers.
According to a RAND Corporation study, a war lasting one year would slash America’s gross domestic product by a painful 5% to 10%. But it would gut China’s gross domestic product by an excruciating 25% to 35%. And lest Americans console themselves that China would get the worst of it, the entire world would suffer as the war ripped apart critical technological supply chains.
Over 90% of the world’s most advanced semiconductors are manufactured in Taiwan.
First, it was the violent outcry against mandatory covid vaccines that put an end to Beijing's desire to forcibly innoculate all Beijing residents in just 48 hours - a feat not all of America's armed militias have been able to achieve, and now it's a grassroots push for what appears to be a debt jubillee as millions of homeowners suddenly stop paying their mortgages, a shocking move that has sent shockwaves across China's capital markets and has sparked panic within China's political leadership circles.
As Bloomberg reports overnight, a rapidly increasing number of "disgruntled Chinese homebuyers" are refusing to pay mortgages for unfinished construction projects, exacerbating the country’s real estate woes and stoking fears that the crisis will spread to the wider financial system as countless mortgages default.
As their relations with the West deteriorate, Russia and China are seeking to rewire global power flows in ways that will work to their advantage for years to come.
Why Argentina’s Export Boom Is Falling Short (Americas Quarterly)
Government policy, macroeconomic trouble and political crisis are holding the country back.
Rappi mafia: How a delivery startup took over Colombia’s tech scene (Rest of the World)
The Colombian unicorn's alumni are outpacing the PayPal mafia in startup creation.
The timeline as of mid-2022 (Latin America Risk Report)
A likely recession and a debt crisis will build on coronavirus and supply chain challenges.
Note: Investing.com has a full calendar for most global exchanges BUT you may need an Investing.com account, then hit “Filter,” and select the countries you wish to see company earnings from. Otherwise, purple (below) are upcoming earnings for US listed international stocks (Finviz.com):
Click here for a full weekly calendar from Investing.com (my filter excludes USA, Canada, EU, Australia & NZ). Some frontier and emerging market highlights:
Frontier and emerging market highlights (from IFES’s Election Guide calendar):
Since being established, we, together with the VIEs, have been committed to developing educational content to fulfill the massive demand for high quality professional development training resources in China. (Incorporated in the Cayman Islands)
We are a holding company incorporated as an exempted company under the laws of the Cayman Islands. As a holding company with no material operations of our own, we conduct our substantial operations in the United Kingdom and Hong Kong with operating subsidiaries in Singapore, China and the British Virgin Islands. We have been operating since 2013.
We are a global innovative biotechnology group that primarily engages in sales, distribution and marketing of diagnostic test kits and med-tech and Personal Protective Equipment (“PPE”) products for the prevention, detection, diagnosis and risk management of viral diseases with a particular interest in the field of immunology. Our mission is to minimize the risks of viruses throughout the world via our product offerings.
We intend to apply for an aggregate of four (4) patents in 2022. For one of the pending patents, we are in the process of acquiring it, and we expect to close the acquisition in 2022. Further, we are developing a T-Cell IVD test kit under the Virax Immune brand for COVID-19 initially, which we subsequently intend to adapt for immunological profiling against multiple viral threats. We are also building a proprietary mobile application for Virax Immune, using an in-house code, that will present an individual’s immunological profiling data and provide advice on the user’s immune system. Based on our management team’s analysis, we expect to file a patent for the Virax Immune Cell diagnostic test kit and a copyright for the Virax Immune app in 2022.
Climate change and ESG are clearly the latest flavors of the month for most new ETFs. Nevertheless, here are some new frontier and emerging market focused ETFs:
4/21/2022 - FlexShares ESG & Climate Emerging Markets Core Index Fund FEEM - Passive, equity, ESG
4/6/2022 - India Internet & Ecommerce ETF INQQ - Passive, equity, thematic
2/17/2022 - VanEck Digital India ETF DGIN - Passive, India market, thematic
2/17/2022 - Goldman Sachs Access Emerging Markets USD Bond ETF GEMD - Passive, fixed income, emerging markets
1/27/2022 - iShares MSCI China Multisector Tech ETF TCHI - Passive, China, technology
1/11/2022 - Simplify Emerging Markets PLUS Downside Convexity ETF EMGD - Active, equity, options strategy
1/11/2022 - SPDR Bloomberg SASB Emerging Markets ESG Select ETF REMG - Passive, equity, ESG
Frontier and emerging market highlights:
6/10/2022 - Infusive Compounding Global Equities ETF JOYY
5/3/2022 - ProShares Short Term USD Emerging Markets Bond ETF EMSH
4/7/2022 - DeltaShares S&P EM 100 & Managed Risk ETF DMRE
3/11/2022 - Direxion Daily Russia Bull 2X Shares RUSL
1/27/2022 - Legg Mason Global Infrastructure ETF INFR
1/14/2022 - Direxion Daily Latin America Bull 2X Shares LBJ
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Emerging Market Links + The Week Ahead (July 18, 2022) was also published on our website under the Newsletter category.