Prominent fund manager Mohamed El-Erian writes in a new book that the markets of tomorrow and to be in are the emerging economies such as India and, while the markets of yesterday are Europe and the United States.
El-Erians is currently at Pimco, and his area of expertise is emerging markets. He spent much of his early career at the IMF (International Monetary Fund). El-Erians is known for a global, forward-looking, approach to investing.
One of his most prescient predictions and investment moves was pulling the plug on his emerging market bond funds investments in Argentine debt back when he managed PIMCO's Emerging Markets Bond Fund before Argentina defaulted on its debt in 2002.
El-Erian believes that the dollar will continue it is long-term decline against the Asian currencies and the euro as Asian growing emerging and frontier countries continue to emerge as powerful forces in international finance and also gain an increasing share in the allocation of investors global capital.
He argues that emerging market bonds have come of age.
Over the past several years, many emerging market countries have done many things to increase their investment appeal, including strengthened their fiscal situation, their credit ratings have been upgraded, and their currencies have firmed.