Why the US is showing all the signs of an emerging market

When investors talk about the attractions of emerging markets, they often cite the benefits of cheap labour, abundant natural resources, attractive demographics and strong economic growth. But emerging markets have failed to translate these benefits into returns for investors recently. Since the start of the year, the MSCI Emerging Markets index is virtually flat, while the US S&P500 index has returned nearly 17% (on a total return basis). Perhaps the country best demonstrating these facets at the moment is not an emerging market at all, but the US. Having gone through major outsourci...