- NASDAQ - This technology heavy American stock market is home to some of the best and fastest growing companies in the world. Yet the current earnings power (inverse of price earnings ratio) is well over 7% p.a. with an annualised compounding growth rate of over 12%.
- KOREA - The PE ratio of the KOSPI index is just 11 which gives it a pretty high earnings power. Plus Korea is a stable developed economy, home to several large technology leveraged chaebols (conglomerates) that are world leaders in several niches. The economy as a whole is also growing at the pace comparable to emerging economies.
- THAILAND - This Asian tiger has posted 32% gains in the last one year and yet its current earnings power is at an exciting 10% and growing fast. Why this market now deserves a look is because it has emerged from its political turmoil circa 2009 stronger and more stable.
Opportunities
A latest read of the Wall Street Journal brings to light a couple of decent investment opportunities which could yield to a long term total return of 10% p.a. compounded or doubling your money in 7 years:
