David Brancaccio: With the economy of the China stuck in 3rd gear, the U.S. stuck in first, and Europe in reverse -- where in the world does a savvy investor find some growth?
Marketplace's John Dimsdale reports.
John Dimsdale: Would you believe the next hot market is Vietnam or Peru? The latest survey of private equity investors shows that increasingly the smart money is heading for so-called frontier markets.
The survey is done by the Emerging Markets Private Equity Association, whose president is Sarah Alexander.
Sarah Alexander: Nigeria is being looked at very closely. As is Kenya, as is Botswanna.
She says the financial crisis proved wealthy countries are riskier than many thought. That’s making investors more comfortable with some out of the way places.
Alexander: The biggest barrier to an investor going into a market the first time is political and economic risk or the perception of that risk. The fact these investors are moving their money suggests they really have a much better sense of real risks in these markets.
There’s also potential in one country you wouldn’t think is a frontier market. Greece, she says, offers isolated opportunities for the adventurous investor.
In Washington, I'm John Dimsdale for Marketplace.