FYI: Emerging market stocks as a group are dangerously close to the accepted definition of a bear market.
Since peaking in late-January earlier this year, the MSCI Emerging Markets Index is now down 19.65% (not including dividends). It’s down around 10% on the year.
If history is any guide, the stocks of these developing nations will fall 20% or more. And if it doesn’t happen now, it will likely happen in the not-too-distant future.
There is plenty of data on the history of corrections and bear markets for the S&P 500 but I couldn’t find much on emerging markets. So I took the daily data going back as far as I could find it and ran the numbers from 1994 to present:
Regards,
Ted
http://awealthofcommonsense.com/2018/08/a-short-history-of-emerging-market-corrections-bear-markets/
