For those of a contrarian nature the imposition of marshal law in Bahrain and the recent high oil price, combined with much lower equity and real estate valuations might look an attractive investment proposition. Saudi investor Prince Al Waleed took the plunge last week buying up $126 million worth of Saudi stocks.
But caveat emptor, there is plenty of reason to think that this is not the bottom of the barrel. Prince Alwaleed’s timing caught the stock market low but that was before the Japanese earthquake last Friday. Now the risk trade is off, and Japanese investors who have been betting heavily in emerging markets are selling down these assets and repatriating money.
No comments:
Post a Comment