Several interesting developments are occurring beneath the surface within emerging markets (EM), including the strength of India’s equity market, the outperformance of EM small caps relative to US and global small caps, and strong relative performance of EM sovereign bonds relative to developed markets. This month’s commentary expands on these points and shares our outlook for EM small cap.
The insurance industry, with its cycles of rising and falling pricing (known as hard or soft markets) can offer periods of meaningful earnings growth that can make it of interest to any investor looking for inflections in business trends. Insurance companies can operate in two types of markets, the admitted (or standard) market and the excess and surplus (E&S) market.
In our first commentary of the year, we’ve promised ourselves not to spend too much time on the most well-trodden territory. We realize manager commentaries are easy to find and it’s harder to add any value on a subject when everyone is discussing it, though many of those subjects are on our minds as well.