Edward Park, investment director at wealth manager Brooks Macdonald, has used the recent turmoil in emerging markets to increase his clients' exposure to the asset class.
Mr Park said he has bought more emerging market equities for clients in the higher risk bracket, as he feels the valuations have become cheap.
Emerging markets have lurched sharply downwards in recent months, as US interest rates have risen and pushed the dollar up in value.
Mr Park said the valuations have now declined to such a level that the market is not simply pricing in the consequences for emerging markets of a stronger dollar but also of the current problems in Turkey and Argentina spreading to other emerging markets, and he feels this is unlikely, and so the shares are cheap.
His comments come as the US government announced a fresh wave of tariffs on Chinese exports, a decision which has sent emerging markets lower.
Jacob De Tusch Lec, who runs the £4.2bn Artemis Global Income fund, said investors shouldn't be misled by the persistent rhetoric about a global equity bull market into thinking that all is well, he said the strong performance of equities has centred on a small number of stocks, mostly in the US, and the global market conditions are not as strong as they seem.
Noelle Cazalis, a bond investor at Rathbones Unit Trust Management, said she has been increasing her investments in emerging market bonds as the prices have fallen.
Her view is emerging market bonds start to become value when the yield is at least 4 per cent more than that of US government debt, as is the case right now.
Adrian Lowcock, head of personal investing at Willis Owen, said: "I like emerging markets and the current sell off is an over-reaction so use the opportunity to buy the dips and start rebuilding exposure to emerging markets.
"However, the asset class is likely to remain under pressure for some time so it is case of drip feeding into the sector and being prepared for some volatility in the short term, especially in the currencies.
"The key risks are slower Chinese growth, a strong US dollar and the growing trade war with the fear of contagion risk as weaker country's struggle.
"However, I think fear of contagion is over rated – emerging markets are less cyclical than they once were, not as dependent on commodities and have much less exposure to US dollar dominated debt. For longer term investors the asset class was cheap and has just got cheaper still."
david.thorpe@ft.com
