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Emerging Market Fund

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Emerging Market Fund
A mutual fund that invests predominantly or exclusively in the securities of a developing country or a group of developing countries. Emerging market funds may concentrate in a region ? such as the Middle East ? or in a given industry ? such as oil in emerging markets. Emerging market funds tend to be volatile as they are heavily exposed to political risk. However, they offer the possibility of a high return because at least some emerging markets ? notably Eastern Europe ? experienced high growth in the 1990s. See also: BRIC.


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