The Big Emerging Markets (BEM) economies are (alphabetically ordered):
- Argentina
- Brazil
- China
- India
- Indonesia
- Mexico
- Poland
- South Africa
- South Korea
- Turkey
- Egypt
- Iran
- Nigeria
- Pakistan
- Russia
- Saudi Arabia
- Taiwan
- Thailand
NOTATION: Don't you find it interesting that these emerging markets are mostly on the other side of the world from the United States of America... and, as they grow and increase their economies, financial resources will be pulled away from the USA... and, invested overseas... it is nothing personal... just business... by 2030, their growth and their wealth will be unstoppable if it already is unstoppable now.
What Is an Emerging Market Economy?
An emerging market economy is the economy of a developing nation that is becoming more engaged with global markets as it grows. Countries classified as emerging market economies are those with some, but not all, of the characteristics of a developed market. As an emerging market economy progresses it typically becomes more integrated with the global economy, as shown by increased liquidity in local debt and equity markets, increased trade volume and foreign direct investment, and the domestic development of modern financial and regulatory institutions. Currently, some notable emerging market economies include India, Mexico, Russia, Pakistan, Saudi Arabia, China, and Brazil.
Critically, an emerging market economy is transitioning from a low income, less developed, often pre-industrial economy towards a modern, industrial economy with a higher standard of living.
Understanding Emerging Market Economy
Investors seek out emerging markets for the prospect of high returns, as they often experience faster economic growth as measured by GDP. However, along with higher returns usually comes much greater risk. Investors’ risk in emerging market economies can include political instability, domestic infrastructure problems, currency volatility, and illiquid equity, as many large companies may still be "state-run" or private. Also, local stock exchanges may not offer liquid markets to outside investors.
