Mobius: We are interested in five companies in Turkey
Templeton Fund founder Mobius said that they are interested in five companies in Turkey, including Akbank, Turkcell, Arçelik, as well as Turkish Airlines.
Mark Mobius, the founder of the Templeton Fund, stated that 10 percent of their portfolio is in Turkey and they are aiming to detect the undervalued stocks monitoring the companies with a long-term perspective. In an interview with CNBC-e, Mobius said that they are interested in five companies in Turkey, including Akbank, Turkcell and Arçelik, as well as the Turkish Airlines. Highlighting that the TL is overvalued because of high real interest rates, Mobius indicated that a more stable TL rate can be seen at the end of the year with the decrease in inflation and interest rates if the risks regarding Iran and Iraq do not become realized.
Mobius also argued that whether Prime Minister Recep Tayyip Erdoğan will or will not become the president will not have much effect on the historical development of Turkey and its status in Europe. Noting that they are expecting favorable developments in 2007 and 2008 and are optimistic in this regard, Mobius added that the increase in public expenditure and the delays in privatization tenders are normal for a year when general elections will be held.
Arguing that the fact that large amounts of foreign reserves are kept in developing countries exerts pressure on real estate prices, Mobius said, “The prices go up in China, Mexico, India, Brazil and Turkey. This situation brings along increased interest in these countries. We should be careful not to pay too much money. The prices won’t stay at this level for too long.”
Pointing out that the concerns regarding slowing down in the U.S., which have been raised in the last three years, did not become realized, Mobius argued that American dollar may weaken more if the U.S. expenditures increase at the same rate. “The government expenditures may increase in the U.S. because of the elections, and thus I am concerned about a possible stagnation,” said Mobius.
source: The New Anatolian