Epstein Secrets

7 2.70 2.80 2.8 2.8 EEMEA Czech R. Policy 0.05 0.25 0.50 0.75 1.00 2y 0.74 0.60 0.80 1.00 1.10 1 Oy 1.37 1.20 1.40 1.60 1.70 Hungary Policy 0.90 0.90 0.90 0.90 0.90 2Y 0.42 0.40 0.50 0.70 0.90 1 Oy 2.35 2.20 2.30 2.50 2.80 Israel Policy 0.10 0.10 0.10 0.10

bits near zero correlation with all major equity markets around the world (Table 4). Table 4: Equities • weekly returns correlation Bitcoln .500 MSCI World HSCEI HSI NIFTY EURO STOXX 50 Nikkei Bitcoin IL 0.04 0.05 0.02 IMIliale rliarliC • 500 0.96 0.50 0.54 0.51 0.78 0.53 MSCI World

2.6 3.6 3.0 5.0 5.8 5.8 5.1 Bulgaria 1.7 0.7 1.5 Czech Republic 1.9 -1.1 0.0 -1.6 -1.3 -1.6 0.0 0.8 2.4 1.4 3.4 2.7 2.2 2.4 Hungary 1.6 -1.4 0.0 .1A -0.7 •1.0 0.0 0.5 1.8 2.0 5.5 5.5 3.7 3.9 Poland 4.3 2.1 1.6 0.8 1.6 0.5 1.3 2.3 3.0 2.3 4.0 2.9 1.9 2.

asset class %. U Is unItedged into USD. H means hedged 2013E 2012 MSCI EM 15.0 17.4 EM Local Fl (U) 10.0 8.9 EMFX 10.0 7.5 GSCI 10.0 0.1 MSCI World 10.0 16.0 US HY 7.5 16.2 CEMBI 7.0 16.7 EMBIG 7.0 18.5 JACI 6.5 14.3 EU HY 6.0 25.0 US HY Loans 5.5 9.7 US KG 5.4 9.9 Gold 5.0 6.

19 Greece Health Care Consumer Discretionary Utilities Telco Information Technology Industrial Financials Materials Russia Egypt Energy Hungary Thailand Malaysia South Africa Mexico Taiwan Indonesia Turkey Chile Poland Korea Brazil India Czech Republic China Consumer Staples P

, when we forecast that the US would outperform by 20-25% in 2013, as the figure to date is just under 30% and around 25% against the DM benchmark, MSCI World. We maintain our recommendation for investors to overweight DM against EM in 2014, but it has become a more difficult call as DM has outperformed E