Emerging markets might be struggling with expensive borrowing but that is where to invest in the long-term, an investment advisor told CNBC on Thursday.
“We do like emerging markets from a structural point of view,” Anja Hochberg, Global Head of Investment Services at Credit Suisse, told CNBC on Thursday.
Hochberg said that one probably needs to wait for a better reentry on emerging markets, but “we recommend our investors to keep emerging markets as part of their strategic asset allocations. For the longer term you need to invest there because that’s where growth actually is,” she said.
The improvement of the U.S. economy and the consequent interest rate hikes by the Federal Reserve mean that emerging markets could face economic problems as they are dependent on foreign money.
