There are several ways of classifying emerging markets. JP Morgan Wealth Management has looked at a system of three key factors: economies with a large private sector which focuses on making money in a competitive environment; economies where companies generate high earnings per share; and economies with strong and growing export industries. The likelihood of success should be higher with holding country exposure in these economies. It does not guarantee success, but these are the countries which have a good environment for generating higher returns. There are five countries in this intersection. Four are in Asia and one is our southern neighbor. More focus should be spent on studying the dynamics of these countries.
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