Emerging Markets: Correlation Between Economic Growth and Stock Market Returns

The MSCI Emerging Market(EM) Index has posted an annualized return of 10.2% over the past 10 years thru the end of 2009. Due to this solid performance and other factors investors are increasingly attracted to EM equities. However many studies have proven that economic growth does not automatically translate into higher stock market returns. In …

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Which is the World’s Best Stock?

The world’s best stock in terms of returns is not a U.S.-based company stock. Many people assume that Warren Buffet’s Berskhire Hathaway is the world’s best stock. However that is not true. According to the Swedish business daily Dagens Industri’s stock market expert  and author Björn Wilke, Sweden’s Handelsbanken is the best stock in the …

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Why Country ETFs Are Not the Best Way to Invest in Emerging Markets

ETFs offer one of the simplest and easiest ways to gain exposure to emerging markets.Investors have poured billions of dollars in emerging market funds making them some of the largest in the fund universe.However investing in emerging markets via ETFs or an index fund is not the best way to capture the growth of these …

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Top 10 Gold and Forex Holding Countries

Gold prices have continued to rise since the July low of $1,160 an ounce. After the Fed’s meeting on Thursday, prices rose sharply and continued to go even higher on Friday and closed at $1,393.21. A Reuters article says that gold prices should continue for at least another six months. From the article: “Gold’s record-breaking …

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Will Investors Get Back into U.S. Bank Stocks?

During the credit crisis many U.S. banks suspended dividend payments entirely or reduced them significantly. Currently most of the banks pay dividends. But the yields on them is so small that investors are not attracted to them. For example, the current yields of the big four superbanks are follows: 1. JPMorgan Chase (JPM) Current Dividend …

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