The National Directory of Certified Public Accountants

Ask A CPA - Investments & Financial Planning

In Relation To The Stock Market , What Is An Emerging Market ?

Emerging Market occurs in a country which does not have a fully developed economy. Mexico and Russia are examples. Investments in these markets are usually characterized by a high level of risk and possibility of a high return. Emerging Market stocks are stock of companies located in developing nations. Politically and economically, these countries are not considered to have reached the degree of Stability associated with developed nations. They are considered to have a lesser degree of economic sophistication.

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