However, for now, many investors are cutting their losses as outflows from emerging markets ETFs continue at a blistering pace. Developing world equities have to contend with plunging currencies, slack commodities demand and stumbling stocks in China, the largest emerging market. [Emerging Markets ETFs Keep Bleeding Assets]
Nevertheless, more intrepid investors may target some of the cheapest emerging markets. For instance, Russi is currently the cheapest on absolute terms, with a forward P/E ratio for the MSCI Russia Index at 4.9, compared to its 5-year average of 5.2, according to Capital Economics.
“Policy makers in Moscow are debating a mix of measures to cover a widening budget deficit. The government is close to canceling a planned cut in oil-export duty next year, which will save about $3 billion,” Bloomberg reported, citing Russia’s Economy Minister Alexei Ulyukayev.
Market Vectors Russia ETF
