“We have seen a structural decline in the growth rate in China,” said Clive McDonnell, head of emerging-market equity strategy for Standard Chartered, in the Bloomberg story. For emerging-market assets, “the optimism that was in place there during the first quarter has ebbed.”
Companies in the MSCI Emerging Market Index are trading at 10.4 times estimated earnings, cheaper than the 12.5 multiple of the developed-nation counterpart, according to the article. [Emerging Market ETFs Capture the Next ‘Engine of Growth’]
Vanguard MSCI Emerging Markets
Full disclosure: Tom Lydon’s clients own EEM.
