"When everybody fears that the world is over, emerging markets are not the first place you want to invest in," said Uri Landesman, a senior portfolio manager at ING Investment Management in New York.The US markets dropped 9.1% and we all think it's the end of the world. The Russian stock market dropped 47.8% in the last quarter. For many Russians, it really is the end of the world.
Mr. Landesman was pessimistic about Russia. The troubles with Georgia only served to inflame existing concerns about the political and economic climate in the country, he said. Although Russian authorities eventually stemmed the share slide and pumped billions of dollars into the financial system, Russia is "an infinitely less interesting market than it was."
I guess invading their neighbor wasn't a good idea after all.