Citywire printed articles sponsored by:
View the article online at http://citywire.co.uk/money/article/a653389
Friday Five: UK companies to profit from emerging markets
The UK and wider European economy will continue to be weak this year. Thankfully many of our major companies have long since learnt to look elsewhere for profits.
by Chris Marshall on Jan 25, 2013 at 08:00
Follow @cmarshallCW
All hail British PLC. While David Cameron does his utmost to disentangle the UK from a major trading bloc, Europe, major British companies are shifting their wares in much further flung parts of the planet.
Thankfully, the FTSE 100 isn’t dependent on the domestic economy to grow, but contains globe-trotting companies that long ago realised that fast growing markets are in places like Asia and South America.
But while chancellor George Osborne likes to boast of huge increases in trade to emerging markets, still too few companies have managed to really crack the tough markets of China and its neighbours.
The ones that have will be heavily sought-after by investors this year, with global banks including Morgan Stanley, Goldman Sachs and Citi all propounding the benefits of investing in stocks that are exposed to faster growing economies when the UK and Europe are so weak.
Here are five that are on the right track for long-term investors:
More about this:
Look up the funds
Look up the shares
- Unilever PLC (ULVR.L)
- Diageo PLC (DGE.L)
- Bhp Billiton PLC (BLT.L)
- Experian PLC (EXPN.L)
- GlaxoSmithKline PLC (GSK.L)
- Standard Chartered PLC (STAN.L)
- HSBC Holdings PLC (HSBA.L)
- Vedanta Resources PLC (VED.L)
- Antofagasta PLC (ANTO.L)
- Rio Tinto PLC (RIO.L)
- Anglo American PLC (AAL.L)
- SABMiller PLC (SAB.L)
- Tate & Lyle PLC (TATE.L)
- Shire PLC (SHP.L)
- AstraZeneca PLC (AZN.L)
- Weir Group PLC (WEIR.L)
- Intertek Group PLC (ITRK.L)
- Prudential PLC (PRU.L)
- Pearson PLC (PSON.L)
- British American Tobacco PLC (BATS.L)
- Burberry Group PLC (BRBY.L)
- ARM Holdings PLC (ARM.L)
- Inmarsat PLC (ISA.L)
- InterContinental Hotels Group PLC (IHG.L)
Look up the fund managers
More from us
What others are saying
Archive
Weekly email from The Lolly
Get simple, easy ways to make more from your money. Just enter your email address below
An error occured while subscribing your email. Please try again later.
Thank you for registering for your weekly newsletter from The Lolly.
Keep an eye out for us in your inbox, and please add noreply@emails.citywire.co.uk to your safe senders list so we don't get junked.
Latest from The Lolly
The six cash ISAs beating inflation by Michelle McGagh
Why you need to work a day a week for your pension by Michelle McGagh
Investors race to grab unregulated Jockey bond by Michelle McGagh
Newcastle woos regular savers with 3% ISA by Michelle McGagh
Our 'wake-up' call from longer, sicker lives by Michelle McGagh
4 comments so far. Why not have your say?
Tony Peterson
Jan 25, 2013 at 15:25
For once some good advice from the Lolly. Credit where it is due.
However, three of these have seen stonking recent rises. Whilst a similar, but astonishingly active share, has been in a very big dip. I would suggest any punters attracted to the abovementioned shares add Vodafone to their watchlist.
report thispeter hart
Jan 25, 2013 at 15:55
Cant disagree as I hold all those shares.
report thisMaverick
Jan 26, 2013 at 11:25
Look at the performance graphs for the above companies. Then look at the performance graph for Aberdeen Asian Smaller Companies investment trust.
Why try to use questionable logic on British companies operating in foreign markets when the professionals do so much better?
The larger the company, the more it is affected by international politics. No doubt a few years ago BP would have been in the above list.
report thisJeremy Bosk
Jan 26, 2013 at 14:26
Yes, an excellent article and interesting links.
The second link, to quoted affiliates of developed country multinationals is particularly interesting. Unfortunately, I regard most of the countries listed as uninvestable because of corruption and politics. It is also difficult to find brokers willing to deal in shares quoted in may of these countries. Some of them probably have dual quotes in odd places such as Berlin or Frankfurt but it all seems a little too much trouble when there are so many more obvious opportunities closer to home.
Maverick has a couple of good points - although how long Asia can outperform the rest of the world is unknown.
report thisleave a comment
Please sign in here or register here to comment. It is free to register and only takes a minute or two.