MILLTRUST INTERNATIONAL
 

Milltrust Alert – Selected News and Insights from the Emerging Markets and Around our Business

March 7, 2019

BY Alexander Kalis
MANAGING PARTNER

WHAT YOU NEED TO KNOW – EMERGING MARKETS

‘Wall of Money’ is Heading for Emerging Markets
Investors of almost every stripe appear to be turning more bullish on emerging markets after withdrawing funds last year, according to the Institute of International Finance.

High frequency flow trackers suggest a “wall of money” is coming back to developing markets due to a dovish Federal Reserve, thawing trade relations and easing concerns over global economic growth, IIF’s analysts Jonathan Fortun and Tariq Khan wrote in a research note published on March 1. “The hunt for yield is clearly underway again,” the report said.

Net capital flows — which cover portfolios, banking, direct investment, and other components of the financial account in a nation’s balance of payments — turned positive in January for the first time since July, IIF estimates show. The latest available data shows that EM portfolio inflows totaled $25.6 billion during February, a fourth consecutive month of net buying.

Stock of the Week

Health and Happiness (H&H) International Holdings Limited, formerly Biostime International Holdings Ltd., is an investment holding company principally engaged in the manufacture and sale of premium pediatric nutritional. The Company operates through five business segments. The Infant Formulas segment is engaged in the production of infant formulas for children under seven years old and milk formulas for expectant and nursing mothers. The Adult Nutrition and Care Products segment is engaged in the production of vitamins, health supplements, skin care and sports nutrition products for adults. The Probiotic Supplements segment is engaged in the production of probiotic supplements. The Dried Baby Food and Nutrition Supplements segment is engaged in the production of dried baby food products made from natural foods, as well as microencapsulated milk calcium chewable tablets. The Baby Care Products segment is engaged in the production of baby care products.

The case for Health and Happiness: Did You Miss Health and Happiness (H&H) International Holdings’s 96% Share Price Gain?

WHAT YOU NEED TO KNOW – SUSTAINABLE INVESTMENTS

Do-Good Investments Are Smashing Your Emerging-Market Returns
Stock pickers in developing economies who base investment decisions on social parameters have generated substantial above-market returns in the past few years, according to the Institute of International Finance. Returns from emerging-market indices that allocate more to companies that score well on environmental, social and governance factors are “strikingly higher” than for the broader regional gauges, analysts including Emre Tiftik, the institute’s deputy director for global capital markets, wrote in a note dated Feb. 14.

WHAT YOU NEED TO KNOW – AGRICULTURE INVESTMENTS

Fonterra ups milk price on reduced global milk production
New Zealand’s largest dairy drops earnings forecast
Fonterra said it is increasing its farmgate milk price for 2018/19 and has revised its earnings down, citing dry weather and a portfolio review as the main reasons.

WHAT YOU NEED TO KNOW – SCIENCE, TECHNOLOGY & INNOVATION

10 outstanding start-ups from Oxford to watch
According to TechNation 2018, the entrepreneurial ecosystem is flourishing. Oxford University Innovation this year completed the 150th spin-out from Oxford University with augmented reality (AR) company 6Degrees. In addition, the Oxford Foundry, an entrepreneurial hub at the heart of Oxford University, was opened by Apple CEO Tim Cook in October 2017. The venue aims to create a community of innovation across the university, inspiring and supporting its 23,000 students to develop entrepreneurial skills or to create and scale commercial ventures. Here are the start-ups to watch in the year ahead.