what we know for certain is david herro has seen his green row,ackers ace four in a someone like the of -- the trailing emerging-market stocks. --ect investments or trends or transnationals -- which is it, david? do you want to buy stocks that are in malaysia, or -- >> the whole reason is based on price valuation. done quitetocks have poorly because of their dmx or, and this is the dichotomy. the emerging-market businesses have done quite well and are priced well, but the stocks that are doing business there have been hit because of what i situation inclical these emerging countries. >> i keep coming back to a study about about them -- traders domestically. foreign fund as managers going to be lagging behind domestic investors and understanding what stocks can be valued? >> a lot of it has to do with time horizon. a lot of the local markets are trading markets in the short term. noisenore that white guy and just hang onto them. stephen, i think of dr. l erian -- whatel-aria are the underlying economies right now? is partly a china story, but not only a china story. a lot of it is lat

. >>> while investors fear stocks will plunge into the abyss, our next guest is david herro.thinking this morning broadly? then we'll get into stocks quick. >> frankly what i'm thinking is that price movements have been so much -- so abruptly hit downward versus the fundamental intrinsic value of businesses, this becomes more of an opportunistic value for long-term value investor. >> were you buying yesterday? >> we're kind of buying every day. in bits and pieces. but yes, as we see the quality businesses deteriorate much faster than our intrinsic value. in most cases it hasn't dropped. all these big picture things, all the political issues. at the end of the day when the business is based on cash flow, the value of these companies has not dropped 10%, 15%, 20%. and that provides an opportunity for long-term investors. >> let's go through a couple of names that you think spell opportunity. one is gucci. the other is samsung. why? >> gucci is actually owned by kerring. so it's part of a larger entity. these consume discretionary stocks especially in the luxury space have been