However, potential investors should be aware that frontier markets come with increased risks. For instance, FM’s have higher-than-normal tracking error, are relatively small and are less liquid.
Investors have fled emerging market stocks as the prospects of easy money will soon come to an end with the Fed thinking about cutting back its accommodative policies.
iShares MSCI Frontier Markets 100 ETF
For more information on pre-emerging markets, visit our frontier markets category.
Max Chen contributed to this article.
Full disclosure: Tom Lydon’s clients own EEM.