Emerging markets: Why the long-term forecast has a silver lining

The IMA Global Emerging Markets sector comprises funds which invest 80% or more of their assets in emerging market equities as defined by the relevant FTSE or MSCI Global Emerging Markets index. When considering this area, we also selectively include funds in the IMA Specialist sector that focus on regions within the emerging markets universe. Global emerging market funds offer the potential for investors to achieve above average growth, albeit with the likelihood of higher volatility. At present, emerging markets account for 37% of world GDP but only 13% of the MSCI World index. Howe...