“The old rules of thumb may need to be questioned,” said Wayne Lin, a money manager at Legg Mason, in the article. “It is surprising to many investors that emerging markets haven’t participated in the rally.”
For investors, the big question is how long emerging and developed market ETFs can diverge. Are developed markets due for a correction, or will emerging economy ETFs rally to catch up?
iShares MSCI Emerging Markets
Full disclosure: Tom Lydon’s clients own EEM.