The MSCI Emerging Markets Index,
the benchmark for investors interested in emerging
markets, has been underperforming the S&P 500 for three years. I am
sorry to say emerging markets seem destined to continue underperforming
in 2014 in part due to the pending unwind of QE and its repercussions. I stared at the relative chart
of the iShares MSCI Emerging Markets Index
fund
EEM
-0.42% almost with disbelief. On a relative basis, things are as bad for
emerging-market investors as they were five years go near the infamous
low in global markets in March 2009. EEM has rallied off that low, but
the S&P 500 has rallied so much more that it is easy to see how
investors interested in global markets can get disheartened.
http://tinyurl.com/m7zq55y
