Emerging Markets

Emerging markets all not that bad: CIO

Emerging markets hit
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Emerging markets hit

Emerging market currencies may be badly hit as a result of the market rout but that doesn't mean you should pull out of local markets, CNBC contributor Tim Seymour said on Tuesday.

"If you're playing the EEM ETF as a dollar-based investor, the biggest place the losses are taking place is on the currency side," he told CNBC's "Power Lunch." "The local markets are nowhere near as impaired as the currencies."

Seymour, who is CIO at Triogem Asset Management, said that two factors will help determine the emerging markets scene to come: China and the Federal Reserve.

He pointed out that Turkey, Brazil and Mexico are especially attractive at the moment.

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Ricardo Adrogue, head of emerging markets at Babson Capital Management, said that investors with cash in corporate bonds in these countries should not be worried.

"As a matter of fact, the market is reacting by selling all companies and all countries on the same bucket and that is creating great opportunities," he said in the same interview. "We, as fundamental-based investors, are finding that a lot of these countries and companies have made the adjustment and have a lot of upside from here."

That adjustment, he explained, comes in the form of political decisions and floating currencies. He said that South Africa, Colombia and Indonesia look "quite attractive" despite being disfavored by the markets at the moment.