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Special Report

Dilution: The Silent Drag On Equity Returns (Part 1)

by Rajeeb Pramanik, India, ASEAN, and EMEA Strategist   Arthur Budaghyan, Chief EM/China Strategist   Lucas Laskey,   

Dilution is one of the two main reasons why EM EPS has been much weaker than EM GDP and EM non-diluted profits. We calculate “pure” dilution – adjusted for companies’ inclusion and exclusion from the stock index – for various bourses around the world. To our knowledge, this is the first time this analysis has been conducted.

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BCA Research | Emerging Markets Strategy

Critical input for global and EM investors as it provides global macro investment themes as well as recommendations for EM equities, currencies, and fixed income.  

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