Currency risk beta the driver – for now
The selloff in Emerging Currencies may have taken a breather but structural problems remain. While talk of contagion is somewhat early, many G10 currencies have already been affected. However, as is the case with EM FX, there is a clear tendency by investors to continue pursuing differentiation and relative value. Depending on the vulnerability metric, EM-related financial risks do stand out within some G10 names.
Read the full report: UBS