China's not the only emerging market that Mark Mobius likes right now

Published Wed, Mar 17 202111:13 PM EDTUpdated Wed, Mar 17 202111:51 PM EDT

Emerging markets may have seen some of the worst outbreaks of Covid-19 globally, but veteran investor Mark Mobius is optimistic that those economies will outperform their developed peers. Mobius, founding partner of Mobius Capital Partners, said emerging economies will on average grow twice as quickly as developed economies this year. And that bodes well for stocks, he said. "By and large, these countries have pretty much ignored the lockdowns that had been in effect in many parts of the world," he said during CNBC PRO Talks with Martin Soong on Wednesday. "That I think meant that the economies of these countries kept on running despite the pandemic," he added. Here's where to put your money in the emerging markets space, according to Mobius. India and Brazil India and Brazil have reported some of the largest caseloads of Covid-19 in the world, data compiled by Johns Hopkins University showed. But stocks in the two countries have done "very well" and now make up the largest share of Mobius Capital Partners' investment portfolio, said Mobius. "In our portfolio, the Indian market has done so well that it's now representing the largest single allocation of the portfolio. And Brazil comes after that," he said. The investor said he likes technology stocks, in particular software companies and those in internet sales. He also likes education companies that offer both online and offline learning. In the health-care space, he recommends firms in medical testing. China Mobius said he thinks "very highly" of the Chinese market because of its sheer size, improving standard of living and development in technology. He added that a slowing economic growth rate will not likely affect the prospects of Chinese companies. "We must remember that the base of the Chinese economy has grown tremendously over the last 20 years," he said. The investor said China growing at 5% would be "quite incredible" given the size of its economy. And a 5% growth rate in the economy would still allow individual companies to grow by 10% to 15%, he added. South Korea and Taiwan The two North Asian markets have "very, very good" prospects and they are "all about technology," said Mobius. Both South Korea and Taiwan are major producers of semiconductors , which are critical components that power all electronic products — from computers and smartphones to the brake sensors in cars. A global shortage of semiconductors forced several automakers to halt production at some of their plants. "There will continue to be a tremendous growing demand for semiconductors because now ... semiconductors are finding their way into automobiles and many, many other products around the world," said Mobius. His company's investment portfolio includes several South Korean and Taiwanese companies.

Mark Mobius, founding partner of Mobius Capital Partners.

Paul Morris | Bloomberg | Getty Images

Emerging markets may have seen some of the worst outbreaks of Covid-19 globally, but veteran investor Mark Mobius is optimistic that those economies will outperform their developed peers.

Mobius, founding partner of Mobius Capital Partners, said emerging economies will on average grow twice as quickly as developed economies this year. And that bodes well for stocks, he said.

"By and large, these countries have pretty much ignored the lockdowns that had been in effect in many parts of the world," he said during CNBC PRO Talks with Martin Soong on Wednesday.

"That I think meant that the economies of these countries kept on running despite the pandemic," he added.

Here's where to put your money in the emerging markets space, according to Mobius.