The rise of indexing for emerging markets

Economic growth in emerging markets is still strong, benefiting from rising populations and growth of the middle class consumer, and their share of the global economy has risen massively during the past 20 years. It is not just exports to the more developed world that drives these economies, however, but growing consumption between emerging nations and from within their own borders. Despite this positive long-term outlook, it has not been a stellar year for emerging market equities. In the year up to the end of April 2012, the FTSE Emerging Index fell 10%, underperforming the FTSE 100...