Knowra Emerging market Emerging market An economy becoming more integrated into global trade and finance while retaining lower average incomes or less-developed institutions than advanced economies.
Gross domestic product per capita : A measure of economic output per person, often used to compare average income across economies. Lower output per person is one common marker separating emerging markets from advanced economies.
MSCI Emerging Markets Index : A stock-market index tracking large- and mid-cap companies across countries MSCI classifies as emerging markets. It translates the category into a widely used benchmark for international equity portfolios.
Developed market : An economy with high incomes, mature financial markets, and comparatively developed institutions. This is the principal market-classification contrast for emerging economies.
Global value chain : The cross-border sequence of activities through which a product is designed, produced, marketed, and delivered. Emerging economies can gain export growth by joining production networks spanning several countries.
Financial market : A system where people and institutions trade financial assets and raise capital. Emerging-market status often tracks how deeply domestic finance connects to global markets.
FTSE Emerging Index : A stock-market index covering companies in countries FTSE Russell classifies as emerging markets. Its country classifications show how index providers operationalize the emerging-market label.
Frontier market : A smaller or less accessible financial market that is typically less developed than an emerging market. The distinction marks an earlier or more limited stage of financial-market integration.
Capital flight : A rapid outflow of financial assets from a country, often during political or economic uncertainty. Global financial links can transmit sudden investor withdrawals into domestic stress.
Institutional quality : The effectiveness, reliability, and accountability of a society’s public and private institutions. Institutional development helps explain differences in investment risk among emerging economies.
Country risk : The possibility that political, economic, or financial conditions in a country will harm investments or business activity. Emerging-market investors assess risks that can change quickly as economies integrate.
Show all 20