The outlook for emerging market mutual funds remains positive because of an abundance of inexpensive assets, according to funds guru Mark Mobius. The Templeton Asset Management managing director said while emerging market economies had suffered, prices in many markets were down to 1986 levels making for attractive buys. 'The general picture is very positive because we have a lot of cheap assets around the world we can be buying. There is growing evidence that more and more private equity money is going into these markets in search of these bargains,' Mr Mobius said. 'However, there is this volatility and also tremendous pressure governments are suffering as a result of currency devaluations and the short-term flows of money which have to be addressed.' The most 'interesting' countries as far as Templeton was concerned were Thailand, Korea, Brazil, Argentina, Poland, Hungary, South Africa and Hong Kong, in the case of the latter once government intervention ceased. 'Marginal markets, like those in Vietnam, Burma, Bangladesh, Nigeria, will be on the pale and it is most unlikely they will get any money as a result of what has happened.'