Emerging markets guru Mark Mobius can’t say enough positive things about BRICs these days. Bloomberg’s Seda Sezer wrote this morning:

Mark Mobius said stocks in Brazil, Russia, India and China are likely to rise by 30 to 40 percent within three to four years as higher economic growth and lower government debt spurs corporate earnings.

Mobius, chairman of Templeton Asset Management Ltd., said he’s increasing holdings in all emerging markets, with particular focus on the four biggest developing-nation economies collectively known as the BRICs.

“BRIC countries are really at the top” of our favorite holdings, Mobius said in an interview at the sidelines of a press conference in Istanbul today. “You can see BRIC countries have been best performing.”

Mobius talked about the potential for corrections in emerging market stocks— and how investors should play it. From the piece:

While a “sudden violent correction” is likely in a bull market, investors should be “ready to buy,” Mobius told reporters.

The emerging markets veteran identified the areas he thinks will perform best. Sezer added:

The biggest growth areas in emerging markets are consumer and commodities, with China and Brazil offering among the cheapest stocks worldwide compared to assets, Mobius said.

Source:

“Mobius Sees 40% BRIC Stocks Gain, Buy on ‘Violent Correction’”
Seda Sezer
Bloomberg, November 18, 2009

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