
“Emerging markets are absolute bargains by just about any yardstick. At the end of the third quarter, the MSCI Emerging Markets Index was trading at just 10 times earnings over the next 12 months (the price-to-earnings ratio). For global stocks, it was 13.4, and for the S&P 500 it was nearly 15. The average price-to-book ratio for emerging market stocks is under 1.5 today, compared with 2.5 for U.S. stocks. Historically, when emerging markets were that cheap over 10 years, stocks delivered average total returns of more than 50 percent over the next 12 months. For true contrarians, buying opportunities just don’t get any better than this.”
http://www.moneyandmarkets.com/triple-digit-gains-are-on-tap-for-this-investment-history-shows-56565
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