We’ve had the BRICs, MINTs, PIIGS (although not technically outside the developed market), the CIVETS to name a few of recent years. This year has seen the presence across headlines of the Fragile Five, whose currencies may be in jeopardy against a potential change in government.
The ‘Next 11’ was a term coined in 2005 by Goldman Sachs, which seems to be spearheading the use of such collective shorthand, and comprises Bangladesh, Egypt, Indonesia, Iran, Mexico, Nigeria, Pakistan, the Philippines, Turkey, South Korea and Vietnam.
Four of these countries now sit in the G20, six are constituents in the MSCI Emerging Markets index and four are constituents in the MSCI Frontier Markets index.
Iran stands out – it is not classified by MSCI, quite the contrary – there is actually a Next-11 ex-Iran index.
James Priday, director at Exeter-based Prydis Wealth gives his reasons for the more exciting prospects from the Next 11.
