Alison Shimada, co-manager of the Emerging Markets Equity Advantage fund, Allspring Global Investments: Brazil
Brazil boasts substantial natural resources, a large population and a deepening financial market. It is renowned for its export capacity for agricultural and mining commodities, while also being one of the four countries with the largest potential for oil production growth over the next five years. No straits attached.
The countryl’s population of 203 million people, with a median age of 35 and growing income, also represents an increasingly attractive domestic market. Its abundant hydroelectric generation capacity ensures low-cost power.
Its central bank is starting a rate cut cycle in 2026 and a tax reform will start yielding fruits in 2027. Valuations remain attractive and could find a new catalyst if candidates in the upcoming election provide a credible message on fiscal responsibility.
Brazil real interest rates are the second highest in the world, just behind Turkey’s. The main risks are an expansionary fiscal policy that forces the central bank to keep interest rates high.
Benjamin Moore, co-manager of the BlackRock Greater Europe Investment Trust (BRGE): The Netherlands
The Netherlands has a habit of punching above its weight – both on the football pitch and in semiconductor technology.
The Eindhoven region, in particular, has become a highly specialised innovation hub, home to companies that play a critical role in the global chip supply chain. That heritage dates back to the 1980s, when Philips helped seed both ASML and TSMC, but exited both investments by the early 2000s.
Artificial intelligence continues to dominate the investment landscape and, while much of the market’s attention has focused on the large US technology platforms, Europe is home to world-class semiconductor companies that are essential to enabling the AI ecosystem.
Semiconductors remain a key area of conviction in the portfolio. ASML, ASM International and BE Semiconductor occupy critical positions within the industry, benefitting from high barriers to entry and structural demand from AI, data centres and increasing computing intensity. We believe the industry is entering another multi-year growth cycle, supported by continued investment in AI infrastructure globally.
The region’s semiconductor history provides context, but our focus remains bottom-up, investing in market-leading businesses benefiting from structural growth, durable competitive advantages and attractive long-term economics. As Philips demonstrated, buy-and-hold investing takes more than just Dutch courage.
Zenah Shuhaiber, portfolio manager of JPMorgan European Growth & Income (JEGI): Germany
Germany is back on investors’ radar as Europe’s economic outlook continues to improve. The country’s fiscal stimulus programme is no longer just a promise: spending is starting to come through and should help support domestic growth from 2026 onwards.
At the same time, investors are showing renewed interest in European shares, creating a more favourable environment for companies in sectors that matter to governments as well as markets.
Siemens Energy is a good example. The company sits at the centre of one of Europe’s most important policy and investment themes: energy security. Recent conflict in the Middle East has further sharpened the focus on reducing reliance on imported energy and building more resilient domestic power systems.
As a leading European provider of power generation and grid technology, Siemens Energy offers exposure to the infrastructure required to deliver the energy transition, rather than simply to renewable generation itself. This is an important distinction.
Europe’s shift to cleaner energy will require significant investment in grids, power equipment and flexible generation capacity. The company’s gas turbine business also provides an important element of resilience. As governments balance decarbonisation targets with the practical need for reliable power, Siemens Energy is well positioned to benefit from sustained investment across Europe’s energy infrastructure.
Ajith Balan Nair, CIO of Isio Investment Management: South Korea
South Korea remains a compelling but high-beta market, and recent volatility has been a reminder of how quickly sentiment can shift. That said, the long-term investment case remains supported by the country’s global leadership in technology and advanced manufacturing.
Korean companies are central to the AI-driven semiconductor cycle, with firms such as Samsung and SK Hynix benefiting from strong demand for advanced memory chips. Structural strengths in EV batteries, shipbuilding and export competitiveness also underpin growth.
Investor conviction has additionally improved through ongoing corporate governance reforms aimed at reducing the longstanding ‘Korea discount’, including measures to encourage higher dividends, buybacks and better capital allocation.
However, risks remain around geopolitical tensions, dependence on global trade and the market’s concentration in semiconductors, which can amplify drawdowns if the AI cycle weakens. Given this backdrop, we prefer exposure through a high-conviction active emerging markets manager rather than via passive index exposure.
Carlota Estragues Lopez, equity strategist, St. James’s Place: The UK
The UK remains one of the most compelling opportunities within global equities today, largely because valuations continue to trade at a meaningful discount to international peers despite improving corporate profitability and strong income characteristics.
In many ways, UK equities look like a market that has spent too long stuck in extra time despite fundamentally strong underlying form. Importantly, the UK market is often misunderstood as a purely domestic story.
Around 80% of FTSE 100 revenues are generated overseas compared with around 60% for Europe ex-UK, giving investors exposure to global growth themes through internationally diversified businesses across sectors such as financials, energy, healthcare and consumer staples.
Investors buying the UK are therefore getting far broader international exposure than the ‘home market’ label might suggest.
We continue to see persistent long-term opportunities across value, small caps and low volatility strategies in particular, where valuations still look attractive relative to history and other developed markets.
The market’s strong dividend culture and cash-generative profile also provide meaningful defensive support – a bit like having an experienced spine through the centre of the pitch when volatility rises.
For investors willing to look beyond sentiment, UK equities increasingly look like an unfancied side with the quality to outperform expectations. Dare I say… it’s coming home?
