- In recent months, we've received many questions about how we expect emerging markets will perform once the Federal Reserve does begin removing monetary stimulus.
- We believe once the market becomes comfortable with global vaccine rollouts and herd immunity, we will see a sustained resumption of the trends that began last year, including outperformance of emerging markets.
- The biggest risk to this view would be if the Fed suddenly changed course and reinstated the policies of the past decade, a scenario we view as unlikely.
For further details see:Taper Tantrum Redux? History Often Rhymes, But It Rarely Repeats