Dividend logo

Over the last few years, emerging markets haven’t exactly lived up to their promise. Investors typically turn to the faster-moving nations as they are in the beginning stages of their economic development. This led to soaring gains in the late nineties and through the credit crash and Great Recession.

However, a myriad of factors have kept nations like China, Brazil and South Africa down over the last few years. Much of the developing markets’ promise has gone unfilled.

But times are starting to change, and stocks in developing nations are, once again, on the rise. For dividend investors, this is a particularly interesting time as emerging markets offer some pretty good opportunities. However, these opportunities won’t last long as stocks in these regions begin to surge.

Hitting a Wall

Travel back in time to the end of the dotcom boom. It’s here – when China and the rest of its emerging market cohorts began to get cooking. Economic development, rising middle classes and higher commodity prices/infrastructure development drove shares of stocks in developing regions. Between their low, after the dotcom bust in March 2003, and their peak, in October 2007, emerging markets, as represented by the iShares MSCI Emerging Markets ETF (EEM), surged more than five-fold.

To read the Full Story, Go Premium or Log In

Popular Articles

Premium Photodune 514786 stock market diagram xs 300x212
News

The Wrap for February 22: Toned Down Trade Boosts Market

Despite being a shortened week – thanks to the President’s Day holiday – there was plenty of...

Premium Slowing%20earnings%20growth
News

Earnings Aren’t as Good as We Hoped

Given all the volatility that’s hit the market over the last few quarters, the last thing...

Premium Data%20center
News

Technology Giant With Strong Cash Flows Maintains Position on Best Dividend Stocks List

The technology sector is known for its fast growth, disruption and game-changing abilities. The...