May Emerging Market Update

by | Jun 13, 2006 | Archives

* International Investments – May Emerging Markets Report
* Natural Health Tip – Adjusting pH
* Ecuador Photo – Beauty Emerges

After Bloody May, easily the second worst month for emerging markets this decade, I have anxiously been awaiting Michael Keppler’s monthly assessment. Michael continually researches many emerging stock markets and compares their value based on current book to price, cash flow to price, earnings to price, average dividend yield, return on equity and cash flow return. He compares each emerging stock market’s history and from this develops his Good Value Emerging Stock Market Strategy. His analysis is rational, mathematical and does not worry about short ups and downs.

Here are Keppler’s comments on recent developments & outlook.

“In May Emerging Markets equities suffered their worst monthly setback since September 2002, when they dropped 10.8 %.

“Last month, the MSCI Emerging Markets Total Return Index dropped 10.5 % in US dollars and 12.2 % in euros. For the year the MSCI Emerging Markets Index is up 7.4 % in US dollars. However, due to an 8.2 % decline in the value of the US dollar, it is down 1.4 % year to date, if performance is measured in euros.

“Of the three regional indices, Asia lost 7.7 %, Europe, Middle East and Africa (EMEA) declined 13.3 % and Latin America came in last with a monthly loss of 13.9 %.

“However year to date, all regions are still recording positive returns: Asia leads with an 8.1 % gain, Latin America is up 7.5 % and EMEA stands 5.9 % higher compared with its end-of-December 2005 level. All performance numbers are in US dollars unless mentioned otherwise.

“Twenty-four markets declined and three markets advanced last month. The worst three performers were Turkey (-27.9 %), Colombia (-19.3 %) and Argentina (-18 %).

“An additional twelve markets suffered double-digit losses.

“The three rising markets, on the other hand, eked out only tiny gains. Those were Sri Lanka (+0.6 %), Jordan (+0.4 %) and the Philippines (+0.2 %). Compared with their levels at the beginning of the year, twenty-one markets were higher and six markets were lower.

“The biggest winners this year have been Venezuela (+48 %), Morocco (+41 %) and Russia (+29 %). Turkey (-19 %), Egypt (-11.6 %) and Jordan (-11.2 %) performed worst so far this year.

“The Top Value Model Portfolio based on the Top Value Strategy lost 9.4 % in dollars and 11.2 % in euros last month. Since the beginning of the year, the Top Value Model Portfolio has gained 9 % in US dollars and 0.1 % in euros, outperforming the benchmark by 1.6 and 1.5 percentage points.

“Despite the drop, there is no change in performance ratings this month. The Top Value Model Portfolio contains the nine “Buy”-rated markets of Brazil, China, Korea, Malaysia, the Philippines, Russia, Taiwan, Thailand and Turkey at equal weights. According to his performance ratings, these markets offer the highest expectation of risk-adjusted returns.”

You can get ideas on shares in these top value emerging stock markets from Thomas Fischer at

For more details on Keppler’s analysis, contact Roderick Cameron at 1-212-245-4304 or at

Natural Health Tip – How to Adjust pH

A reader recently sent me this note that reminded me of one way to maintain a balanced pH.

“Hey Gary, I’ve always liked Apple Cider Vinegar for regulating pH, but it’s not good for teeth, so it’s good to rinse well maybe with Bisodium Carbonate.

Apple Cider Vinegar has such curative abilities because it causes one’s pH levels to become more alkaline or, in the case of too much alkalinity, more acidic. Urinalysis studies done in the 50s by D.C. Jarvis (author of Folk Medicine) showed that pH levels in the body become highly alkaline before and during an allergy attack (yes, contrary to what you would normally read on the subject). If you are going to try apple cider vinegar for allergies, or even to prevent sickness, we suggest you do some investigation of your own by buying a pH test kit at a local pharmacy, garden nursery, or even pool supply store. You can use these kits or pH strips to test your urine to see if you are more alkaline or acid during an allergy attack, virus or bacterial infection. Once you ascertain your pH levels, you can adjust adjust your dosage of Apple Cider Vinegar accordingly.

“If you live in a highly polluted area like Los Angeles where allergies and sinus infections are rampant, your system may better balance itself with a small dose of apple cider vinegar each day. Ultimately, we suggest you experiment with a kit to find the pH balance your body functions optimally at.”

Want to know more about pH?

Many people suggest using Apple Cider Vinegar. However the Andean nutritional plan does not. We’ll see why in upcoming messages why apple cider vinegar may be good short term thing to use temporarily but not on a regular basis.

Learn how to enhance your health with balanced pH! We had such a demand for Dr. Mishra’s weekend health course (we begin to a full house today) that we asked Dr. Terry Hambrick D.C. to condense his one week August course to a long weekend instead. This reduces the price dramatically and makes the timing easier for many readers. Terry’s course promises to be special because it will focus on balancing your body’s pH levels while you are here and then show you how to keep balanced! Monitoring pH changes on a regular basis is vital because it is a really easy way to monitor our health and to optimize our health on a daily basis. Your pH balance is an index of the total health of the body: when the pH is too high or too low, it can lead to disease. At the course, you’ll learn about the life force energy that is the ultimate “balancing factor” of the body and how a balanced pH has far-reaching consequences on mental, emotional and spiritual health.

Based on the popular program developed by Dr. Terry M. Hambrick D.C. and Dr. Darryl Hobson D.C., this weekend program can help bring harmony and vibrant health back into your life as it has done for hundreds of the patients of these Chiropractic Physicians with training in acupuncture, Applied Kinesiology, diet and clinical nutrition.

In addition to balancing pH, you will learn how to comfortably and easily eliminate food cravings. Experience the difference of understanding your metabolic patterns and how to feed them properly for elimination of symptoms and enhanced energy. Understand the source of food induced pain patterns and how to change them. Change your habits and obsessions about food. Remove old patterns of behavior. Plus experience the power of NeuroEmotional Technique to eliminate your fears and worries about health, diet and life changes.

Forget your past experiences and expectations about health programs – the knowledge you gain at this course will leave you feeling energetic, alive and empowered. Health is your birthright. Reclaim this most vital commodity through understanding, personal treatment sessions, diagnostic evaluations, group interaction, specific dietary recommendations, rest, relaxation, rejuvenation and detoxification. Conducted in the beauty and serenity of Little Horse Creek Farms in the Blue Ridge, this program promises to change your life and give you control of your health again. To enroll or for more details contact

Ecuador – Beauty Emerges

Emerging markets may have lost some value. Not all emerging countries have not lost their beauty though, not Ecuador at least. Also, consider that reduced emerging currencies makes emerging market real estate especially cheap! Let’s be thankful for that!

On the subject of thankful, here is another thankful story from a reader.

“Gary, Three years ago I was unexpectedly fired by my brother. I had worked with him for almost 20 years, starting with just a hope and a dream. The business was a radiant floor heat and had grown to a decent size. One day my brother came up to me and said, ‘I hate to tell you this but you have to leave’.

“Leave, where do you need me to go?’ His response was, ‘No, you need to understand. You are through here. You no longer work for this company.’ I was in shock.

“First I was in disbelief and tried to talk with him. He was a closed book. I got angry and didn’t know what to do. I needed to find the reason in this circumstance that would propel my life forward. I realized it truly was my brother’s business. I went to his house, threw my arms around him, told him I loved him and that I was not going to let business come between the closeness we have as brothers, wished him well and went on my way. We remain great friends and support each other in our lives.

“I now have my own Wine Tour Business in beautiful Napa Valley and work just 10 days a month. In the remaining time we visit a small house we bought on 3 acres in Ecuador, plus an ocean view lot in Mexico. We have 10 lots we are developing. I have visited my son in Guatemala five times and may buy a little piece there. This could have been a disaster in my life. Now many times I just lift up my head to the sky and say ‘ I am so grateful for life.’ I have never been happier. I look forward to everyday as a new adventure. No matter what occurs, I know life unfolds in perfect harmony, even if I don’t always understand. Life is good.” Larry from California.

Please send me your story about thankfulness.

Here is also another shot of the beauty of San Pablo Lake. I am thankful every time I see it! Join us in the Andes this July.

Join us for our Super Thinking – Super Spanish course. Enjoy Ecuador and the sun! See real estate for sale on this lake. Shop the great markets as you learn how to learn better and also speak Spanish. DETAILS

Until next message good natural health, wealth and international investments!