…..Individual investors might be wise to pause and consider the bubble possibility before investing at today’s levels. The fact is, fund investors have an absolutely horrid record chasing emerging market performance. According to Morningstar, the iShares MSCI Emerging Markets ETF has an impressive 11.7% annualized gain over the past five years through April. That’s the fund. But investor returns-that is the dollar-weighted returns that measure what the typical investor actually earned based on when they invested-is an anemic 0.96%. Poor timing resulted in earning nearly 10 percentage points less than the actual ETF returned. You might want to keep that in mind before joining the pros piling into emerging markets funds after this big run-up.
Free Investing Ideas Newsletter!
Join over 70,000 investors who get the latest insights and top rated picks from our free investment newsletter.
- Brent Crude Oil’s Bullish Developments, Approaching Important Level
- A Deeper Look At The Vanguard Total International Stock ETF (VXUS)
- Finding a Long Legged Hammer Candlestick Trading Strategy (SLV, ALSK)