When it comes to portfolio allocation, diversification is one of the key elements to any long-term, buy-and-hold strategy. An investor must fine tune their exposure to various corners of the market, as well as across the globe, to achieve a perfect balance and appropriate risk return profile. In recent years, one of the most popular diversifying sectors have been emerging market equities, as these stocks offer tremendous growth potentials and opportunities for lucrative returns. But because this corner of the market can exhibit significantly higher levels of volatility, the downside risk can sometimes be substantial, having significant impacts on bottom line returns [see Visual Guide To Major Index returns by Year]. [click to continue…]
In recent years, bullish momentum has been an undeniable force on Wall Street. Across the globe, however, this has not necessarily been the case. With funds flowing out of emerging market equities, and the euro debt crisis weighing heavily on several developed economies, certain corners of the world have not fared as well. Despite this, […]
Emerging markets have captivated investors for almost a decade when developed markets became a yield-barren investment. After years of pushing the limits of GDP growth and infrastructure spending, some emerging countries are finally losing steam. With the added stabilization in the European Union and U.S., investors have been abandoning their emerging holds in favor of past […]
Emerging markets exposure has become a staple in countless portfolios over the past few years as the proliferation of ETFs has democratized previously difficult-to-reach segments of the global market. While many have shed their home country bias, diversifying your portfolio geographically remains a hurdle for investors who remain hesitant to dip their toes overseas. On the other […]
The evolution of the ETF universe has spawned dozens upon dozens of innovative offerings that make it easy and cost-effective to tap into strategies and asset classes that were previously out-of-reach for mainstream investors, including global markets. When picking which countries to invest in, those with high employment rates may be an appealing option, as these economies often […]
When it comes to diversifying a portfolio, many investors turn toward emerging market equities for their lucrative potentials. And while BRIC and other popular Asian nations are usually investors’ top picks to achieve this key exposure, investors may benefit from taking a closer look at an often overlooked opportunity: Africa. Though known for its geopolitical […]
Even with recent talks by the Fed calling for another round of stimulus for the U.S. economy, domestic investors are looking for a place to invest outside of the United States in the hopes of achieving more lucrative returns. These same investors may wish to consider adding dividend-paying stocks to their foreign assets, as this asset […]
Emerging markets stocks are a core holding in the portfolios of many investors: developing economies such as China and India account for a growing portion of global GDP, and a significant percentage of all global GDP growth. ETFs have become popular tools for tapping into this asset class; the low cost structures, intraday liquidity, and […]
One important question that is often overlooked when discussing the price of oil is asking who exactly profits (aside from seasoned futures traders) when fossil fuel prices rise. As you might have expected, the answer to the previous question has more than a handful of correct responses; one of these in particular may offer investors […]
MSCI, the firm responsible for developing and maintaining some of the most widely-followed indexes in the world, announced on Wednesday that Qatar and the United Arab Emirates would remain classified under frontier status until at least the middle of 2012, ending speculation over whether the two Middle East economies would be upgraded to emerging status. […]
The proliferation of exchange-traded products offering investors exposure to dividend-focused strategies is a testament to the efficiency of the marriage of this methodology with the inherently appealing exchange-traded structure. The wealth of choices is certainly a luxury, as it allows investors to specifically target the exposure desired. But with dozens of exchange-traded products offering up […]
