Today's fund news:
China's yuan revaluation boosted stocks today, and should provide modest support for some U.S.-based China-focused funds as profits collected in renminbi see a bigger bang when converted into U.S. bucks.
"For a dollar-based investor, those earnings are going to become more valuable," says Edmund Harriss, a comanager of the Guinness Atkinson China and Hong Kong (ICHKX) fund. Or, as Jeff Tjornehoj, Lipper's research manager for the United States and Canada, puts it: "Another way of saying it is the U.S. dollar will decline against Chinese currency, and that will help U.S. investors. When the dollar declines against another currency, the value of your fund appreciates."
[See more highly rated Asia-focused funds from U.S. News.]
Sir Bob Geldof tells UK pension funds not to miss out on "last great investment opportunity left." He reckons there's five to 10 years left before the best deals (infrastructure, mobile phones, consumer goods ...) are gone, and says UK investors are already "behind the curve," according to the Financial Times. Looking for a way to get in on Sir Bob's Boomtown (sorry!)? New Africa-focused mutual funds are on the way.
U.S. News: New Mutual Fund Will Focus on Africa
[See Emerging Markets' Growth: Is It Sustainable? from U.S. News.]