Equity Analysis /

FM and EM banks: Opportunities in adversity

  • Covid-19: There are lessons to be learnt for the financial sector from the past, especially from the GFC

  • We look at the implications for the sector of the policymaker responses to the virus

  • There will be structural change. We examine which banks are best-placed to cope.

FM and EM banks: Opportunities in adversity
Rahul Shah
Rahul Shah

Head of Corporate & Thematic Research

Tellimer Research
3 April 2020
Published byTellimer Research

In this detailed presentation, we examine how the global pandemic has affected the financial sector in emerging and frontier markets, looking in particular at:

  • Our key takeaways from the 2007-09 bear market
  • The current policymaker response
  • Changes seen so far to banking regulations
  • Where we see the main pressure on earnings arising
  • Which banks should be most resilient to the downturn, and over the cycle
  • Recent price performance, which has been driven more by liquidity than discrimination along fundamentals
  • The potential for certain banks to hedge portfolio FX risk
  • The outlook for portfolio positioning ahead of any market recovery
  • Potential winners from technology disruption
  • Our top picks in the sector 

Further details on some of these topics can also be found in the following recent reports:

FM and EM Banks: The 3-D threat from Coronavirus

FM and EM Banks: Where the rate-cut cycle hits hardest

How to hedge EM currency risk through bank equities

The future of payments: Could Covid-19 end cash’s reign?

Tech disruption in emerging markets and the battle for mobile payments supremacy