1. The chart below shows P/E and P/B multiples of BIST100 and MSCI EM index The green line is MSCI EM index and the white line is BIST100 index.

Current P/E ratio of BIST100 index is 9.64 and P/B ratio is 0.94 while MSCI EM index is trading at 19.97 P/E and 1.75 P/B. 5 year average P/E of MSCI EM is 14.7 and 5 year average P/B is 1.55. 5 year average P/E of BIST100 index is 8.95 and 5 year average P/B is 1.13.

Write a short summary comparing 2 indexes according to P/E and P/B ratios. Please mention the reasons if one of them is under or over valued.

3) Save As Max Weekly 5Y MXEF Index 6M YTD 1Y 3Y Price Earnings Ratio ZY 10Y 4) Load 5) Actions Graph Fundamentals Table M. Fields/Securities * Options Track Annotate a Zoom O Reset MXEF Index 19.9766 22.00 O Avg - Price Earnings Ratio (P/E) (MXEF Index) 14.7036 XU100 Index 19.9766 9.6466 C Avg - Price Earnings Ratio (P/E) (XU100 Index) 8.9591 18.00 16.00 14.7036 IT.VV 12.00 (9.6466 0.7073 8.00 Price to Book Ratio 2.00 1.7591 (1.5546 1.40 1 an 1.1319 MXEF Index 1.7591 Avg - Price to Book Ratio (MXEF Index) 1.5546 XU100 Index 0.9436 Avg - Price to Book Ratio (XU100 Index) 1.1319 0.9436 0.80 2015 | 2016 2017 2018 2019 2020