Vienna, Nov 12: Templetion Investment Management's emerging markets chief Mark Mobius said on Friday recent strength of exotic markets heralded the start of a new bull run and was not a short-lived upswing.``The question in emerging markets is: Is this the start of a new bull market? We have 10 reasons for being optimistic,'' the manager of $12 billion funds told reporters.
Mobius said the great 1997-1998 crash in emerging markets, where no index fell less than 50 per cent, was overdone and while there had already been some significant gains, these were from the absolute bottom and were far off their erstwhile highs.
``The recovery is only just beginning. Indonesia, for example, fell by 92 per cent, recovered by over 200 per cent but has over 300 per cent to go to its previous high,'' he said.
History showed that bull markets lasted longer than bear markets and this was especially true of emerging Asia.
``You'll see that every crisis was followed by a new bull market, and each bull market reached a new high in dollar terms and we expect the same thing to happen,'' he said.
Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.