Emerging Market Equities continue to recover

Sources: Bloomberg and Wells Fargo Investment Institute. Monthly data from January 1, 2010 to September 30, 2021. The MSCI Emerging Markets Index and Emerging Markets excluding Asia Index are equity Indexes that capture large- and mid-cap representation across 24 emerging market countries, and 17 emerging markets, respectively, around the world. Index returns do not represent investment performance or the results of actual trading. Index returns represent general market results, assume the reinvestment of dividends and other distributions, and do not reflect deduction for fees, expenses or taxes applicable to an actual investment. An index is unmanaged and not available for direct investment. Past performance is no guarantee of future results. Equity securities are subject to market risk which means their value may fluctuate in response to general economic and market conditions and the perception of individual issuers. Investments in equity securities are generally more volatile than other types of securities. Investing in foreign securities presents certain risks not associated with domestic investments, such as currency fluctuation, political and economic instability, and different accounting standards. This may result in greater share price volatility. These risks are heightened in emerging markets.

MSCI makes no express or implied warranties or representations and shall have no liability whatsoever with respect to any MSCI data contained herein. The MSCI data may not be further redistributed or used as a basis for other indices or any securities or financial products. This report is not approved, reviewed, or produced by MSCI.

Key Takeaways

  • Emerging markets ex-Asia continue to recover alongside commodity prices.
  • Increased regulation in China has weighed on emerging Asia equities despite the region’s effectiveness at containing the spread of COVID-19.