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The upcoming U.S election has once again triggered market sentiments towards investing in emerging markets.
Emerging markets have been one of the hottest investment areas since the early 2000s, with new funds and investments popping up all the time.
Emerging markets often seem to offer to provide new investment opportunities, their elevated economic growth rates offering higher expected returns—not to mention the benefits of diversification.
But there are a number of risks that potential investors should be aware of before planting seeds of their capital.
With high-risk, high-reward investments, you need to understand and evaluate each of the risks specific to emerging markets before jumping in.