Cash is literally flooding into emerging markets. In just the last two months, billions of dollars has been invested in this new marketing niche. With the MSCI stock market up by 5.5% this year in the European and US markets, now is an excellent time to be investing in emerging market stocks. Stock markets in Argentina, Brazil, Mexico, South Africa and Russia are up by over 10% so far this year and are expected to see further growth later down the financial road. Experts say the interest in these markets is a fire being fueled by small but important changes in the economy.
There has been a rising interest in overseas investments, coupled with investors seeking higher investments despites markets being riskier. With the strong rise of the dollar suddenly plummeting and the price hike in local commodity prices, it has become increasingly difficult to settle debts owed in dollars. Thus by investing in stocks with higher exchange rates, investors are seeking to find easier ways to turn over their hard-earned dollar. Richard Turnill, an investment strategist says that the current market is a sweet spot for investment in assets, although caution should be taken when investing in the global economy.