While Russia is being distanced from the EM universe through exclusion from debt and equity indices, its role as a key commodity exporter will have far-reaching effects across emerging markets that investors need to consider.
The challenge for central banks has grown more complicated with volatility in bond markets and mounting inflationary pressures. Investors face a similar balancing act in navigating the central bank policy divergence that is set to characterise 2022 and beyond.
The inflation narrative in Japan is shifting to focus on upside risk. Portfolio manager Ales Koutny considers whether Japan could join other developed market peers in the exit from accommodative policy.