EM currencies versus the EUR could offer value: Barclays

Quotes from Barclays Capital:

-Our revised forecast of EUR depreciation to parity versus the USD by end-2015 suggests that EM currencies versus the EUR could offer value. Repeating the same exercise of calculating 12-month carry and risk-adjusted returns versus the EUR, we find that almost all currencies look attractive.

-In fact, only the RUB and CZK deliver negative forecast carry and risk-adjusted returns versus the EUR. Conversely, the three best performers are the THB, PHP and SGD, all of which have a relatively high Sharpe Ratio when funded out of EUR.

-Alternatively, for intra and inter regional trades, the results of our analysis indicate that taking long positions in INRTWD, BRLMXN, ZARCZK, and THBHUF among other such combinations may be attractive.