Foreigners are Pouring Cash into Emerging Markets

The Economist has an interesting article on the sudden interest in emerging markets.

Between the beginning of June and the week ending August 17th, emerging-market equity funds took in a net $6.94 billion. That brings the year’s total to $8.74 billion, nearly three times 2004’s level and more than the previous high of $8.6 billion for all of 2003. Bond funds tell the same story, with total net inflows this year of $4.74 billion, a record.

Many emerging markets are doing very well, plus the risk is much lower than it was eight years ago.

Posted by on August 29th, 2005 at 9:48 am


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