Global EM equities trade at discount to World: UBS

Nicholas Smithie, UBS: Earnings downgrade in EMs have intensified in 2011. However, unless the world enters recession, the downgrade cycle is possibly nearing its end. Global EM equities are now trading at a discount to the World and offer fair opportunity to invest as an asset class in 2012.

Russell Napier, CLSA: Investors need to plan for a Eurozone breakup and take any bounce in markets associated with the signing of the deal as a selling opportunity. The deflation on the way to this break-up could take equities to a great bear-market bottom and present an excellent buying opportunity sometime in 2012.