Wealth managers take profits after frontier markets reshuffle

Frontier markets have been a popular alternative to emerging markets in the past few years, with impressive recent performance. The MSCI Frontier Markets index has delivered 27% over the last year compared to a 5.2% return from MSCI Emerging Markets.  While frontier and emerging markets follow broadly similar paths – no surprise given their reliance on growth in economies such as China – there are signs they are moving apart. Last year’s taper tantrum sent emerging market investors running for the hills, but frontier markets managed to shrug off much of the selling. Of course, a...