NETHERLANDS/NORDICS - Increasing allocations to emerging markets will be a priority for three-quarters of large pension funds in the Nordics and Netherlands over the next three years, according to Nomura Asset Management.
Mark Roxburgh, head of marketing & client services at Nomura, said: "This survey shows investors remain confident that the strategic case for emerging markets remains, despite the current turmoil. Indeed we would expect some funds to see it as a buying opportunity given their time horizon"
Nomura also found the use of a specialised manger in the region could produce annualised returns up to 2% higher than a single manager.
It also said while 40% of institutional investors already used regional or country-specific mangers in emerging markets, only a small minority used an emerging market equity manager rather than global emerging market funds.
Roxburgh added: "We would expect some investors in this asset class to take a regional specialist manager approach in order to improve returns and lower risk."
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