Emerging markets are a currency trade with equities attached
The index traded at 67.97, +0.28% today. Most of the return dispersion in EM comes from something other than the companies.
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The index traded at 67.97, +0.28% today. Most of the return dispersion in EM comes from something other than the companies.
When investors worry about a government's finances, the currency weakens before the equities do. For a dollar investor, that is most of the loss.