In emerging markets, ‘better luck next year’ is a hard sell

Emerging markets-focused investors have had little to celebrate over the past year. Or for that matter, over the past decade. Now the prospect of Donald Trump’s tariffs and trade wars has some considering abandoning them altogether.

From stocks to currencies to bonds, 2024 was yet another year in which the asset class failed to live up to its promise, or to the hype of money managers tasked with promoting riskier assets in smaller markets. For some, like London-based hedge fund Broad Reach Investment Management, the best opportunities in emerging markets come from betting against them.